Would investing $ 1,000 in Coca-Cola or Pepsi have you enriched it?



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Coca-Cola, the parent company of the popular Coca-Cola soft drink, and PepsiCo, owner of its longtime rival, Pepsi, are struggling to conquer more soda drinkers around the world.

CNBC: Coca-Cola Action as of January 30, 2019

According to CNBC's calculations, a $ 1,000 investment in Coca-Cola in 2009 would represent more than $ 2,700 as of January 30, 2019. If you invest $ 1,000 in PepsiCo at the same time, your investment would exceed $ 2,600. The difference between the two is only about $ 100.

Although corporate stock prices have been largely stable over the years, any individual stock may over or underperform, and past performance can not predict future results.

Ivan Feinseth of Tigress Financial Partners considers that Pepsi and the traditional soft drink market are a major problem: "The biggest problem Pepsi faces" and similar companies, he said about "Squawk Box "from CNBC," is that there is no carbonate soda growth.

"The company must continue to develop or acquire other alternatives: sparkling water, flavored seltzers, flavored teas, sports drinks, salvage drinks.It is there that growth lies, in the markets of niche drinks. "

Coca-Cola and Pepsi-Co both offer non-soft drinks products and continue their acquisitions to diversify their product portfolios. Pepsi-Co, owner of the popular Cheetos, Doritos and Lays snack brands, as well as Gatorade and Lipton brands, has announced plans to acquire the SodaStream soft drink maker.

Coca-Cola made six new acquisitions in 2018, including the Costa Coffee coffee chain, although Chief Executive Officer James Quincey said in CNBC's "Squawk on the Street" show that investors should not expect the company to keep up the pace in 2019. Instead, he says the company will "absorb" the investments it made last year

At the 49th World Economic Forum in Davos, Quincey said, "I think we're in the 2019 phase, where we're probably going to see a little less growth or a little less tailwind." The macroeconomic year will be a little bit more difficult and we have to get by. "

CNBC: PepsiCo Shares as of January 30, 2019

Other investors suggest that concerns over the coming years will be good for these companies. Jim Cramer, host of "Mad Money," said in early January that investors should opt for stocks like Coca-Cola and Pepsi-Co, which could behave well even in the event of a potential recession or a stock market crash.

"You buy stocks of companies that hold up well in times of recession – even if I do not think we're going into a company – that are also backed by lower gross costs," Cramer said. He particularly pointed to Coca-Cola and PepsiCo: "These are the safety actions – it's worth being detained."

If you want to invest for the first time, expert investors such as Buffett, Mark Cuban and Tony Robbins suggest you start with index funds, which hold all the stock of an index, offer low turnover rates, corresponding fees and tax accounts. They also fluctuate with the market to eliminate the risk of choosing individual stocks.

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