Coca-Cola’s Growth Fizzles

Coca-Cola’s shares have taken a hit after the company forecast modest growth, and it’s no surprise. Despite a 22% rise over the last year, bringing its market value to around $335 billion, it seems the soda giant’s luck is running out. Demand concerns are to blame, and it’s a pretty straightforward story: if people don’t want your product as much, you won’t sell as much of it.

The Numbers Don’t Lie

It’s not all bad news, of course. A $335 billion market value is still nothing to sneeze at. But when you’re a company as big as Coca-Cola, modest growth just won’t cut it. Investors want to see big returns, and if Coke can’t deliver, they’ll take their money elsewhere. Don’t expect a dramatic turnaround anytime soon, though – it’s unlikely the company will suddenly start selling more soda out of thin air.