The Coca-Cola Company (KO)vsStrategic Education Inc (STRA)
KO
The Coca-Cola Company
$88.29
+0.52%
CONSUMER DEFENSIVE · Cap: $379.87B
STRA
Strategic Education Inc
$81.66
+0.78%
CONSUMER DEFENSIVE · Cap: $1.81B
Smart Verdict
WallStSmart Research — data-driven comparison
The Coca-Cola Company generates 3797% more annual revenue ($50.13B vs $1.29B). KO leads profitability with a 28.6% profit margin vs 10.5%. STRA appears more attractively valued with a PEG of 0.66. STRA earns a higher WallStSmart Score of 66/100 (B-).
KO
Buy63
out of 100
Grade: C+
STRA
Strong Buy66
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-40.1%
Fair Value
$63.02
Current Price
$88.29
$25.27 premium
Margin of Safety
+71.8%
Fair Value
$273.85
Current Price
$81.66
$192.19 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 40 in profit
Strong operational efficiency at 34.9%
Keeps 29 of every $100 in revenue as profit
Generating 5.1B in free cash flow
Reasonable price relative to book value
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Growing faster than its price suggests
Attractively priced relative to earnings
Earnings expanding 24.8% YoY
Areas to Watch
Moderate valuation
Trading at 10.5x book value
Elevated debt levels
Expensive relative to growth rate
4.9% revenue growth
Smaller company, higher risk/reward
ROE of 7.9% — below average capital efficiency
Comparative Analysis Report
WallStSmart ResearchBull Case : KO
The strongest argument for KO centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 28.6% and operating margin at 34.9%.
Bull Case : STRA
The strongest argument for STRA centers on Price/Book, Debt/Equity, Altman Z-Score. PEG of 0.66 suggests the stock is reasonably priced for its growth.
Bear Case : KO
The primary concerns for KO are P/E Ratio, Price/Book, Debt/Equity.
Bear Case : STRA
The primary concerns for STRA are Revenue Growth, Market Cap, Return on Equity.
Key Dynamics to Monitor
KO profiles as a mature stock while STRA is a value play — different risk/reward profiles.
STRA carries more volatility with a beta of 0.50 — expect wider price swings.
KO is growing revenue faster at 6.7% — sustainability is the question.
KO generates stronger free cash flow (5.1B), providing more financial flexibility.
Bottom Line
STRA scores higher overall (66/100 vs 63/100). Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
The Coca-Cola Company
CONSUMER DEFENSIVE · BEVERAGES - NON-ALCOHOLIC · USA
The Coca-Cola Company is an American multinational beverage corporation incorporated under Delaware's General Corporation Law and headquartered in Atlanta, Georgia. The Coca-Cola Company has interests in the manufacturing, retailing, and marketing of nonalcoholic beverage concentrates and syrups.
Visit Website →Strategic Education Inc
CONSUMER DEFENSIVE · EDUCATION & TRAINING SERVICES · USA
Strategic Education, Inc., offers postsecondary education and non-degree programs. The company is headquartered in Herndon, Virginia.
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