Consumer & Retail

Last Updated: 5 July 2026

PDD Holdings Inc. (NASDAQ: PDD) is the Dublin- and Shanghai-headquartered commerce group behind Pinduoduo, one of China's largest e-commerce platforms, and Temu, the cut-price global marketplace that has expanded into dozens of markets since 2022. The group monetises a vast base of merchants through online marketing services and transaction fees rather than holding inventory itself. This research covers the group's financial health, valuation, competitive position and the key risks investors should weigh. For live price action see our Live Charts, and check the Economic Calendar for upcoming macro events that move Chinese ADRs.

1. Company Snapshot

Field	Value
Company	PDD Holdings Inc. (operates Pinduoduo and Temu)
Ticker / Exchange	PDD / NASDAQ (1 ADS = 4 ordinary shares)
Headquarters	Dublin, Ireland and Shanghai, China
Sector	Consumer & Retail — e-commerce platforms
CEO / Leadership	Lei Chen and Jiazhen Zhao, Co-Chairmen and Co-Chief Executive Officers
Employees	~25,474 (as of 31 Dec 2025)
Market cap	~$117.3bn (3 Jul 2026, ADS price $82.39)
Revenue (net sales), FY2025	RMB431.8bn (~US$61.8bn), +10% year on year
Net income, FY2025	RMB99.4bn (~US$14.2bn) GAAP, −12% year on year
Dividend	None — the company has never paid a dividend
Fiscal year end	31 December

2. Bull & Bear Case

Bull Case

• Fortress balance sheet: Cash, cash equivalents and short-term investments stood at RMB436.1bn (~US$63.2bn) at 31 Mar 2026 with zero borrowings after the convertible bonds were repaid in December 2025 — well over half the current market cap is covered by liquid assets.
• Transaction services momentum: Transaction services revenue grew 20% year on year in Q1 2026 to RMB56.3bn, overtaking online marketing as the larger revenue stream and reflecting deepening monetisation of Pinduoduo and Temu order flow.
• Deep-value multiple: The ADSs trade at roughly 8.7x trailing GAAP earnings, and once net cash is stripped out the enterprise is valued at only about 4x EBITDA — an unusually low rating for a business generating ~RMB100bn of annual net income.
• Structural cash generation: Operating cash flow was RMB106.9bn in FY2025 with negligible capital expenditure, because the asset-light marketplace model (net property and equipment of just RMB1.3bn) converts nearly all operating profit into cash.

Bear Case

• Record regulatory penalty: On 17 Apr 2026 China's SAMR fined PDD RMB1.51bn — the largest share of a combined RMB3.6bn penalty across seven platforms — for food-safety verification failures, with regulators citing obstruction of the investigation and imposing a nine-month freeze on new bakery merchants.
• Profit decline with no floor guided: Net income fell 12% in FY2025 and a further 15% year on year in Q1 2026 as management pours resources into supply-chain and merchant-support investment, explicitly warning that results "may continue to fluctuate" — with no margin guidance offered.
• Ferocious competition: Alibaba, JD.com and Douyin are all subsidising the same value-focused Chinese consumer, moderating PDD's domestic growth (revenue up just 7–12% per quarter in 2025 versus 90% in 2023).
• Temu geopolitical exposure: Temu faces tariff and customs-regime changes in the US, EU Digital Services Act scrutiny and rising compliance costs across its international footprint, any of which could compress the economics of the fully-managed model.
• Governance and disclosure discount: PDD discloses no segment split for Temu, holds a US$60bn-plus cash pile with no dividend or buyback, and operates under a dual-class, VIE-linked structure — factors that keep the valuation persistently depressed.

3. Business Segments

PDD Holdings reports two revenue lines and does not break out Temu separately or give a geographic split.

Segment	% of revenue	What it is
Online marketing services and others	~50% (FY2025: RMB217.8bn)	Advertising, promoted placement and other marketing tools sold to merchants on Pinduoduo to boost product visibility
Transaction services	~50% (FY2025: RMB214.1bn)	Commission and service fees on transactions, payment processing and fulfilment-related services, including the fully/semi-managed Temu model

In Q1 2026 transaction services (RMB56.3bn, +20%) overtook online marketing (RMB49.9bn, +2%) as the larger line, a mix shift driven by Temu and by deeper monetisation of platform order flow.

4. Business Model & Moat

How it makes money. PDD runs marketplaces, not shops. On Pinduoduo, merchants list goods and pay for marketing tools and transaction services; PDD holds no inventory and runs almost no logistics of its own, keeping the model exceptionally asset-light. On Temu, the fully-managed and semi-managed models see merchants supply goods at agreed prices while PDD controls pricing, marketing and fulfilment through partners, earning the spread and service fees booked within transaction services.

Unit economics. Because capital expenditure is negligible (FY2025 depreciation of just RMB598m against RMB431.8bn of revenue), incremental gross profit converts heavily into operating profit and cash. FY2025 operating margin was 22% (RMB94.6bn on RMB431.8bn), down from 28% in 2024 as fulfilment, bandwidth and payment costs grew 23% and sales and marketing spend rose 13%.

The moat. PDD's edge is a team-purchase, gamified shopping experience feeding a merchant base that competes aggressively on price, plus scale-driven data on white-label supply chains. It is a real but narrower moat than ecosystem peers: switching costs for both users and merchants are low, which is why management is investing in supply-chain depth and first-party brands to make the platform stickier.

Capital allocation. The group retains essentially all cash generated — RMB436.1bn of cash and short-term investments and a further RMB95.2bn of longer-dated deposits and debt securities at 31 Mar 2026 — with no dividend, no buyback and only the 2025 repayment of RMB5.2bn convertible bonds as a return of capital to any security holder.

5. Financial Health

All figures below are taken from PDD Holdings' earnings press releases and SEC filings (6-K/20-F). PDD reports in RMB under US GAAP; EPS figures are diluted, per ADS (1 ADS = 4 ordinary shares).

Fiscal Year	Revenue (RMB m)	YoY %	GAAP EPS (RMB/ADS)	Adjusted EPS (RMB/ADS)	Dividend/share	Long-term debt (YE, RMB m)
2021	93,949.9	+58%	5.44	9.56	Nil	—
2022	130,557.6	+39%	21.93	27.45	Nil	1,575.8
2023	247,639.2	+90%	41.15	46.51	Nil	5,231.5
2024	393,836.1	+59%	76.01	82.71	Nil	0¹
2025	431,845.7	+10%	67.03	72.38	Nil	0²

¹ At 31 Dec 2024 the remaining RMB5.3bn of 0% convertible bonds was reclassified as a current liability ahead of maturity. ² Bonds fully repaid in December 2025 (RMB5.2bn financing outflow); the group now carries no borrowings, only lease liabilities. Adjusted EPS is the company's non-GAAP diluted EPS per ADS, which excludes share-based compensation and fair-value changes of certain investments.

Quarter	Revenue (RMB m)	Adjusted EPS (RMB/ADS)	GAAP EPS (RMB/ADS)
Q1 2026	106,229	9.51	8.48
Q4 2025	123,912.2	17.69	16.51
Q3 2025	108,276.5	21.08	19.70
Q2 2025	103,984.8	22.07	20.75
Q1 2025	95,672	11.41	9.94
FY2025 total	431,845.7	72.38	67.03

Cash flow remains formidable: net cash generated from operating activities was RMB106.9bn in FY2025 (down from RMB121.9bn in 2024 on lower net income) and RMB16.4bn in Q1 2026. Cash, cash equivalents and short-term investments reached RMB436.1bn (~US$63.2bn) at 31 Mar 2026, up from RMB422.3bn at year end, with a further RMB95.2bn of time deposits and debt securities held in other non-current assets. Q1 2026 profitability was dented below the operating line by a swing to net non-operating losses (including a RMB0.6bn net interest and investment loss and RMB2.0bn other losses), which is why net income fell 15% even as operating profit rose 22%.

6. Valuation

Raw metrics, July 2026. Not opinions on whether the stock is cheap or expensive.

Metric	Value
Market cap	~$117.3bn (~1,423m ADS-equivalents × $82.39, 3 Jul 2026)
Enterprise value	~$54.1bn (market cap ~$117.3bn + total debt $0 − cash & short-term investments ~$63.2bn per 31 Mar 2026 balance sheet; a further ~$13.8bn of long-dated deposits/securities in other non-current assets is not deducted)
Trailing P/E (GAAP)	~8.7x ($82.39 / trailing-twelve-month GAAP diluted EPS of ~RMB65.4 ≈ US$9.5 per ADS, Q2 2025–Q1 2026)
P/E (forward)	n/a — PDD does not issue earnings guidance, and ChartsView does not use analyst estimates
P/S (TTM)	~1.8x (market cap ~$117.3bn / TTM revenue RMB442.4bn ≈ US$64.1bn)
EV/EBITDA (TTM)	~3.8x (EV ~$54.1bn / TTM EBITDA ~RMB98.7bn ≈ US$14.3bn; EBITDA = TTM operating profit RMB98.1bn + FY2025 D&A RMB0.6bn)
P/FCF	~7.7x (market cap ~$117.3bn / FCF ~US$15.2bn; FCF = FY2025 operating cash flow RMB106.9bn less de-minimis capex — net property, equipment and software is only RMB1.3bn on a RMB630bn balance sheet)
52-week high	$139.41
52-week low	$71.94
Short interest (% of float)	~4.0% (~34.2m ADSs short, early Jul 2026)
Days to cover	~2.9

7. Growth Drivers

Management has framed 2026 as the start of a "next decade" built on supply-chain investment. The concrete drivers are: first, deeper monetisation of transaction services, which grew 20% year on year in Q1 2026 and is now the largest revenue line as Temu order flow and platform services scale. Second, the first-party brand and supply-chain programme, where the group says it will commit "significant resources, with an all-in mindset" to build own-label supply, potentially raising take-rates and stickiness. Third, continued international expansion of Temu, which has extended the addressable market far beyond Chinese e-commerce, albeit with rising compliance and logistics costs. Fourth, merchant-support initiatives (fee waivers and traffic support), which suppress near-term revenue but are designed to expand the long-tail merchant ecosystem that feeds advertising demand. Finally, the RMB436bn liquidity pile gives PDD the capacity to out-invest rivals through a subsidy cycle without touching capital markets.

8. Peer Comparison

Peer	Market cap (Jul 2026)	Key 2025 metric
Alibaba (NYSE: BABA)	~$230.7bn	TTM revenue ~RMB1,023.7bn — China e-commerce leader plus cloud/AI
JD.com (NASDAQ: JD)	~$36.0bn	TTM revenue ~RMB1,323.7bn — first-party retail, thin margins
Meituan (HKEX: 3690)	~HK$441.9bn (~US$56bn)	TTM revenue ~RMB369.7bn — local services/instant commerce rival
Amazon (NASDAQ: AMZN)	~$2,610bn	TTM revenue ~$742.8bn — Temu's largest Western competitor
Sea Limited (NYSE: SE)	~$63.3bn	TTM revenue ~$25.2bn — Shopee competes with Temu in SE Asia/LatAm
MercadoLibre (NASDAQ: MELI)	~$89.4bn	TTM revenue ~$31.8bn — LatAm e-commerce incumbent

Note the contrast: PDD generates more net income than any listed Chinese e-commerce peer (RMB99.4bn in FY2025) yet trades at roughly half Alibaba's market value and at a fraction of Western marketplace multiples — the market's price for regulatory, competitive and disclosure risk.

9. Insider Activity

No insider transactions are reported for PDD Holdings in US filings: as a foreign private issuer its directors and officers are exempt from SEC Form 4 reporting, and no material insider dealing has been disclosed through other channels over the past year. Leadership is anchored by Co-Chairmen and Co-Chief Executive Officers Lei Chen and Jiazhen Zhao, with Jun Liu as VP of Finance; founder Colin Huang stepped back from executive roles in 2021 but remains the largest individual shareholder.

10. Key Risks

• Regulatory (China): The 17 Apr 2026 SAMR action — a RMB1.51bn fine, confiscation of gains and a nine-month freeze on new bakery merchants, with regulators citing obstruction — shows enforcement risk is live and can escalate; further platform-economy penalties would hit both profits and sentiment.
• Regulatory (International): Temu is under EU Digital Services Act scrutiny and exposed to shifting US tariff and de-minimis customs rules; adverse rulings or duties would erode the price advantage that underpins its growth.
• Competitive: Alibaba, JD.com and Douyin are subsidising the same value-conscious shopper, while Amazon has launched its own low-price storefront against Temu; sustained subsidy wars compress take-rates and force higher marketing spend.
• Financial/Margin: Management's open-ended supply-chain investment programme comes with an explicit warning that profitability will fluctuate; FY2025 operating margin already fell six points to 22%, and there is no guidance framework to anchor expectations.
• Governance & disclosure: Minimal segment disclosure (no Temu split), a VIE-linked structure, concentrated founder ownership and a US$60bn cash pile with no shareholder returns all cap the multiple investors will pay.
• Geopolitical: As a China-linked ADR, PDD carries residual HFCAA delisting/audit-inspection risk and is a potential target in any broader US–China escalation affecting cross-border data or commerce.

11. Recent Developments

• 25 Mar 2026 — FY2025 results: growth slows, profits fall. Revenue rose 10% to RMB431.8bn but net income fell 12% to RMB99.4bn; management said 2026 begins a decade defined by "all-in" supply-chain investment, signalling continued margin pressure.
• 17 Apr 2026 — Record SAMR penalty. China's market regulator fined seven platforms a combined RMB3.6bn for food-safety verification failures; PDD took the heaviest hit at RMB1.51bn plus confiscated gains and a nine-month suspension on adding bakery merchants, with regulators describing obstruction of the probe.
• 27 May 2026 — Q1 2026 results miss expectations. Revenue grew 11% to RMB106.2bn and operating profit rose 22%, but net income fell 15% to RMB12.5bn on non-operating losses; the ADSs sold off as investors focused on the profit trajectory and regulatory overhang.
• 30 Jun 2026 — Xiongan build-out. By end-June PDD's new unit in the state-backed Xiongan New Area had more than 600 employees, making it the zone's largest private internet company, after registering an entity with RMB500m capital in late May and launching a hiring drive targeting over 5,000 local jobs — a visible bid to rebuild regulatory goodwill.

12. Key Dates

• 25 Aug 2026 — Q2 2026 results expected (consistent with the 25 Aug 2025 reporting date for the prior-year quarter)
• 18 Nov 2026 — Q3 2026 results expected (prior-year cadence: reported 18 Nov 2025)
• 25 Mar 2027 — Q4 and FY2026 results expected (prior-year cadence: reported 25 Mar 2026)

Exact dates are confirmed by the company roughly one week in advance via its investor-relations site. Discuss PDD with other members on the ChartsView Forum, and track upcoming macro catalysts on our Economic Calendar.

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Disclaimer: This research is produced by ChartsView for educational and informational purposes only. It does not constitute financial advice or a recommendation to buy or sell any security. All information is sourced from publicly available company filings, press releases, and official data. ChartsView does not use analyst opinions or third-party ratings. Always conduct your own due diligence and consider your personal financial situation before making investment decisions. Past performance is not indicative of future results.

Last Updated: 3 July 2026

O'Reilly Automotive, Inc. (Nasdaq: ORLY) is one of the largest specialty retailers of automotive aftermarket parts, tools, supplies, equipment and accessories in the United States, serving both do-it-yourself (DIY) and professional service provider customers through 6,644 stores across 48 US states, Puerto Rico, Mexico and Canada as of 31 March 2026, per the Q1 2026 earnings release (29 April 2026). In FY2025 the company generated record sales of $17.78 billion (up 6%), operating income of $3.46 billion (19.5% of sales) and diluted EPS of $2.97 (up 10%), per the Q4 2025 earnings release (4 February 2026) - its 33rd consecutive year of comparable store sales growth. The stock trades at approximately $90.28 (2 July 2026) against a 52-week range of $84.76 to $108.72, and Q2 2026 results are due on 29 July 2026, per the company's 1 July 2026 announcement. Track the shares on our Live Charts page, watch macro catalysts on the Economic Calendar, and discuss this research in the ChartsView Forum.

1. Company Snapshot

Field	Value
Name	O'Reilly Automotive, Inc.
Ticker / Exchange	ORLY / Nasdaq
Sector / Industry	Consumer & Retail / Automotive aftermarket parts retail
Market cap	~$74.8bn (2 July 2026, per S&P Global data via stockanalysis.com)
Enterprise value	~$80.8bn (market cap ~$74.8bn + long-term debt $6.20bn - cash $0.25bn, per the 31 March 2026 balance sheet; ~$85.6bn if operating lease liabilities are included, per S&P Global data)
FY2025 revenue	$17,782.0m, up 6% (Q4 2025 earnings release, 4 February 2026)
FY2025 operating income	$3.46bn, 19.5% of sales (Q4 2025 earnings release)
FY2025 net income / diluted EPS	$2.54bn / $2.97 (Q4 2025 earnings release)
FY2025 free cash flow	$1,563.3m (company-defined: operating cash flow $2,762.0m - capex $1,168.8m - excess tax benefit; Q4 2025 earnings release)
Employees	93,973 total employment at 31 March 2026 (Q1 2026 earnings release)
CEO	Brad Beckham, Chief Executive Officer (since January 2024); David E. O'Reilly, Executive Chairman
CFO	Jeremy Fletcher, EVP and Chief Financial Officer (since 2022)
Headquarters	Springfield, Missouri, USA (founded 1957 by the O'Reilly family)
Website	www.oreillyauto.com
Fiscal year-end	31 December
Next earnings	29 July 2026 after 3:30 p.m. CT (Q2 2026); conference call 30 July 2026 (company announcement, 1 July 2026)
Dividend	None - O'Reilly does not pay a dividend; capital is returned via buybacks ($2.10bn repurchased in FY2025, per the Q4 2025 release)
52-week high / low	$108.72 / $84.76 (early July 2026, per Yahoo Finance/CNBC data)
Short interest	2.96% of float; 3.47 days to cover (S&P Global data via stockanalysis.com, 2 July 2026)
Stock split note	15-for-1 forward split effective 10 June 2025; all per-share figures in this report are split-adjusted

2. Bull Case vs Bear Case

Bull Case

• Compounding machine with 33 straight years of comp growth: FY2025 marked the 33rd consecutive year of comparable store sales growth, with comps up 4.7% in FY2025 and accelerating to 8.1% in Q1 2026, per the Q4 2025 and Q1 2026 earnings releases.
• Professional business firing: Sales to professional service providers grew 10.4% to $8.65bn in FY2025 and posted double-digit comparable growth for a third consecutive quarter in Q1 2026, per company earnings releases - a share-gain story in the more resilient half of the aftermarket.
• Raised 2026 guidance: After Q1 2026 (EPS +16%, operating income +14%), management raised full-year diluted EPS guidance to $3.15-$3.25 on revenue of $18.7bn-$19.0bn and free cash flow of $1.8bn-$2.1bn, per the Q1 2026 earnings release.
• Relentless buybacks shrink the share count: The company repurchased $2.10bn of stock in FY2025 and a further $923m in Q1 2026 (plus $338m post-quarter), reducing diluted shares 2.5% year over year; since 2011 it has bought back $28.6bn of stock, per company releases.
• Store growth runway: 225-235 net new stores are planned for 2026, and the newer Mexico (121 stores) and Canada (28 stores) markets grew from 93 and 25 a year earlier, per the Q1 2026 earnings release.

Bear Case

• Balance sheet is levered by design: O'Reilly runs a shareholders' deficit of -$1.07bn with long-term debt of $6.20bn at 31 March 2026 (up from $5.52bn at year-end 2024), per company releases; adjusted debt to EBITDAR stands at 2.03x. Buybacks depend on debt markets staying open at acceptable cost.
• A ~$10bn acquisition would change the risk profile: Press reports on 2 July 2026 said O'Reilly has made a cash offer for Genuine Parts Company's automotive unit that could value it above $10 billion; ORLY shares fell over 4% on the report (Yahoo Finance/Stocktwits, 2 July 2026). If consummated, it would be the company's largest deal since 2008, with integration and leverage risk. Reported factually; the company has not confirmed terms.
• Premium valuation for mid-single-digit top-line growth: The shares trade at ~30x trailing GAAP earnings and ~40x free cash flow (S&P Global data, 2 July 2026) against 6% FY2025 revenue growth - little room for execution slips.
• Tariffs and cost inflation: The FY2025 10-K risk factors cite trade disputes and "the imposition of new or increased tariffs" on top of general inflation; parts cost inflation flows through the P&L of every aftermarket retailer.
• Tight liquidity metrics: The current ratio is 0.76 with negative working capital of ~$2.3bn (S&P Global data, July 2026), a supplier-financed model in which accounts payable stood at 124.6% of inventory at 31 March 2026 (Q1 2026 release) - efficient, but dependent on supplier-finance conditions.

3. What Does O'Reilly Actually Do?

O'Reilly sells automotive aftermarket parts, tools, supplies, equipment and accessories through a "dual market strategy" - the same store base serves both retail DIY customers at the counter and professional repair shops via commercial delivery. Revenue splits almost evenly between the two, per the Q4 2025 earnings release:

Segment	% of revenue	What it is
DIY customers	49.3% ($8,765.6m FY2025)	Retail sales to do-it-yourself car owners buying parts, fluids, batteries, tools and accessories in-store and online. Per the Q4 2025 earnings release revenue disaggregation.
Professional service providers	48.7% ($8,651.7m FY2025)	Wholesale-style commercial sales delivered to independent garages, repair chains and dealerships, supported by dedicated sales teams and rapid parts delivery. Per the Q4 2025 earnings release.
Other sales and adjustments	2.1% ($364.6m FY2025)	Specialty machinery sales, sales to independent parts stores and revenue adjustments. Per the Q4 2025 earnings release.

Geographically the business is overwhelmingly US-based: 6,495 of 6,644 stores are domestic (48 states plus Puerto Rico), with 121 in Mexico and 28 in Canada at 31 March 2026, per the Q1 2026 earnings release. Sales per weighted-average store were $2.77m over the twelve months to March 2026 (US and Puerto Rico operations), per the same release.

4. The Business Model

Revenue model and moat: The model is transactional retail with a distribution moat. O'Reilly's stores are replenished from a hub-and-distribution-centre network that gives same-day or overnight access to a deep parts assortment - the "industry-leading parts availability" management credits for share gains on both sides of the business, per the Q4 2025 earnings release. Professional customers in particular buy from whoever has the right part fastest, making availability and delivery speed the key switching cost.

Unit economics: Unit economics are strong for retail: FY2025 gross margin was 51.6% of sales and operating margin 19.5%, per the Q4 2025 earnings release. Inventory of $5.81bn at 31 March 2026 turned 1.6x, but is more than fully funded by suppliers - accounts payable were 124.6% of inventory - so growth consumes little working capital, per the Q1 2026 earnings release. Cash generated ($2.76bn operating cash flow in FY2025) funds new stores and distribution capacity (capex $1.17bn in FY2025) with the remainder returned via buybacks, a formula the company has run since 2011, per the Q4 2025 earnings release.

5. Financial Health

Five-year annual trend (per company Q4/full-year earnings releases; per-share figures adjusted for the 15-for-1 split of June 2025; O'Reilly reports GAAP only and pays no dividend):

Year	Revenue	YoY %	GAAP EPS	Adjusted EPS	Dividend/share	Long-term debt (YE)
2021	$13.33bn	+14.8%	$2.07	- (GAAP-only reporter)	none	- not in this report's source data
2022	$14.41bn	+8.1%	$2.23	- (GAAP-only reporter)	none	- not in this report's source data
2023	$15.81bn	+9.7%	$2.56	- (GAAP-only reporter)	none	- not in this report's source data
2024	$16,708.5m	+5.7%	$2.71	- (GAAP-only reporter)	none	$5,520.9m
2025	$17,782.0m	+6.4%	$2.97	- (GAAP-only reporter)	none	$6,016.9m

Note: FY2021-FY2023 revenue and EPS are as reported in the company's fourth-quarter earnings releases for those years (EPS divided by 15 for the June 2025 split); year-end long-term debt for those years was not pulled from primary sources for this report. Long-term debt rose further to $6,195.3m at 31 March 2026, per the Q1 2026 earnings release.

Quarterly trend, most recent first (per company earnings releases; O'Reilly does not report adjusted EPS):

Quarter	Revenue	Adjusted EPS	GAAP EPS
Q1 2026	$4.56bn	-	$0.72
Q4 2025	$4.41bn	-	$0.71
Q3 2025	$4.71bn	-	$0.85
Q2 2025	$4.52bn	-	$0.78
Q1 2025	$4.14bn	-	$0.62
FY2025 total	$17.78bn	-	$2.97

Direction of travel: revenue grew in every quarter of FY2025 and accelerated to +10.2% in Q1 2026, with comparable store sales moving from +3.6% (Q1 2025) to +8.1% (Q1 2026), per company releases. Q1 2026 operating cash flow was $1,032.9m against capex of $244.4m, leaving free cash flow of $785.1m, per the Q1 2026 earnings release. Cash was $252.6m at 31 March 2026 against long-term debt of $6,195.3m; during the quarter the company issued $847.4m of long-term debt, repaid $500.0m, and reduced commercial paper by $163.9m, per the Q1 2026 cash flow statement.

6. Valuation & Market Data

Raw metrics, July 2026. Not opinions on whether the stock is cheap or expensive.

Metric	Value
Share price	$90.28 (2 July 2026, intraday)
Market cap	~$74.8bn (2 July 2026)
Enterprise value	~$80.8bn (market cap ~$74.8bn + GAAP long-term debt $6.20bn - cash $0.25bn per the 31 March 2026 balance sheet; ~$85.6bn including ~$2.5bn of operating lease liabilities, per S&P Global data)
Trailing P/E (GAAP)	~30x ($90.28 / TTM diluted EPS $3.07; TTM EPS = FY2025 $2.97 - Q1 2025 $0.62 + Q1 2026 $0.72, per company releases)
P/E (forward)	~28x (S&P Global consensus-based data, 2 July 2026); company FY2026 guidance implies ~28x at the $3.20 midpoint
P/S (TTM)	~4.2x (TTM revenue $18.21bn, S&P Global data)
P/B	n/a - shareholders' equity is negative (-$1.07bn at 31 March 2026) due to cumulative buybacks
EV/EBITDA (TTM)	~20x (EV ~$80.8bn / TTM EBITDA ~$4.08bn; EBITDA = TTM operating income $3.56bn + TTM D&A $0.52bn, per company releases and S&P Global data; ~21x including lease liabilities in EV)
P/FCF	~39x (market cap ~$74.8bn / TTM FCF ~$1.91bn; FCF = TTM operating cash flow $3.04bn - capex $1.13bn). On FY2025 company-defined FCF of $1,563.3m the multiple is ~48x
52-week high	$108.72
52-week low	$84.76
Beta (5Y)	0.51
Average daily volume (20d)	~8.6m shares
Shares outstanding / float	828.7m / 821.0m
Short interest (% of float)	2.96% (settlement data via stockanalysis.com, 2 July 2026)
Days to cover	3.47
Dividend yield	n/a - no dividend paid; buyback yield ~2.7% (S&P Global data)
ROA / ROIC	13.8% / 35.9% (TTM, S&P Global data); ROE n/a on negative equity
Current ratio	0.76
Adjusted debt to EBITDAR	2.03x (company-calculated, twelve months to 31 March 2026, Q1 2026 earnings release)

7. What Are They Building / What's Coming

Per the Q1 2026 earnings release, the 2026 plan calls for 225 to 235 net new store openings and capital expenditures of $1.3bn-$1.4bn, funding stores, distribution capacity and technology. International remains the newest growth leg: the Mexico store base grew from 93 to 121 and Canada from 25 to 28 in the twelve months to March 2026, per the same release. Guidance raised with Q1 2026 results targets full-year revenue of $18.7bn-$19.0bn, operating margin of 19.3%-19.8% and diluted EPS of $3.15-$3.25.

The most consequential potential development is M&A: on 2 July 2026, press reports (Yahoo Finance, Stocktwits, citing a Wall Street Journal report) said O'Reilly has made a cash offer for Genuine Parts Company's automotive parts unit (NAPA) that could value the business at more than $10 billion, with a decision possible by the end of summer; Genuine Parts may instead retain or spin off the division, and rival bids could emerge. O'Reilly has not confirmed the offer in its own releases; if completed it would be the company's largest acquisition since 2008. Reported factually with attribution - this is not a ChartsView forecast.

8. Competitive Landscape

The US automotive aftermarket is a large, fragmented market where scale in distribution and parts availability drives share. O'Reilly's principal listed competitors:

Peer	Market cap (June/July 2026)	Key 2025/2026 metric
AutoZone (AZO)	~$52.5bn (1 July 2026, per companiesmarketcap/MacroTrends data)	Q3 FY2026 (12 weeks to 9 May 2026) net sales $4.8bn, +8.4% YoY, per AutoZone's Q3 FY2026 earnings release
Genuine Parts Company (GPC)	~$18.4bn (2 July 2026, after +13% move on bid reports, per Yahoo Finance)	Reported to have received a cash offer from O'Reilly for its automotive unit valuing it above $10bn (press reports, 2 July 2026); GPC said in February it was working with advisers on separating the auto business
Advance Auto Parts (AAP)	~$3.7bn (early July 2026, per companiesmarketcap data)	FY2025 (ended 3 January 2026) comparable sales +1.1% in Q4; FY25 adjusted operating margin 2.5%, per AAP's Q4 FY2025 earnings release
Walmart / Amazon (indirect)	-	General merchandisers and online marketplaces compete in DIY categories such as oil, batteries and accessories; no aftermarket-specific disclosures

O'Reilly's FY2025 revenue of $17.78bn and ~19.5% operating margin compare with low-single-digit margins at Advance Auto Parts, per the companies' respective FY2025 releases; AutoZone remains the closest peer in scale and profitability. Figures are USD from the cited sources.

9. Leadership and Ownership

Brad Beckham became Chief Executive Officer in January 2024, having risen through store operations over more than 25 years at the company; he previously served as co-president. David E. O'Reilly, of the founding family, serves as Executive Chairman. Jeremy Fletcher has been EVP and Chief Financial Officer since 2022, per MarketScreener/GlobalData executive records. Insider ownership is approximately 0.8% and institutional ownership approximately 86.3%, per S&P Global data via stockanalysis.com (2 July 2026).

Recent insider transactions from SEC Form 4 filings in 2026:

Name	Date	Type	Shares	Price	Value	Plan Type
Brad W. Beckham (CEO)	8 May 2026	Option exercise and sale	13,635	exercised at $17.12; sold at $95.00	~$1.3m (sale)	Open market
Philip M. Hopper (SVP)	7 May 2026	Option exercise and sale	3,700	$94.60 (wtd avg)	~$0.35m	Open market
John R. Murphy (Director)	18 May 2026	Sale	2,595	$88.67	~$0.23m	Open market
David E. O'Reilly (Exec Chairman)	29 Jan 2026	Restricted share award	3,733	$98.85 (grant price)	~$0.37m	Equity compensation grant
Jose A. Montellano Najera (SVP)	2026	Option grant	6,720 options	$91.54 exercise price	-	Equity compensation grant

Source: SEC Form 4 filings as summarised by StockTitan's SEC filing feed, January-May 2026.

10. Risks and Challenges

• Consumer demand and the economy (Market & Demand): Per the FY2025 10-K risk factors, the economy in general, inflation, consumer debt levels and product demand can all affect results; DIY customers are sensitive to household budgets.
• Tariffs and trade policy (Regulatory): The FY2025 10-K cites trade disputes and changes in trade policies, "including the imposition of new or increased tariffs", as a risk to product costs and availability.
• Competition (Competitive): The FY2025 10-K lists competition and the market for auto parts among principal risks; AutoZone, NAPA/Genuine Parts, Advance Auto Parts and online channels all contest the same customers.
• Increased debt levels (Financial): The FY2025 10-K specifically flags "our increased debt levels" and "credit ratings on public debt"; long-term debt rose from $5.52bn (December 2024) to $6.20bn (March 2026), per company balance sheets, while equity is negative.
• Acquisition execution (Operational): The FY2025 10-K cites risks associated with the performance of acquired businesses; the reported ~$10bn bid for Genuine Parts' auto unit (press reports, 2 July 2026) would materially raise integration stakes if completed.
• Supply chain disruption (Operational): Per the FY2025 10-K, availability of key products and supply chain disruptions are a standing risk for a business holding $5.81bn of inventory across 6,644 stores.
• Cyber and IT failure (Cyber & Physical): The FY2025 10-K cites damage, failure or interruption of information technology systems, including information security and cyber-attacks.
• Weather (Environmental & Weather): The FY2025 10-K lists weather among factors that can influence demand - mild winters reduce part failures while severe weather disrupts store operations.

11. Recent Developments

• 02 Jul 2026 - Reported ~$10bn cash bid for Genuine Parts' automotive unit. Press reports said O'Reilly has made a cash offer for GPC's auto parts business (NAPA) that could value it above $10 billion, with a decision possible by end of summer; GPC shares rose ~13% and ORLY fell over 4% on the report. O'Reilly has not confirmed the offer. Source: Yahoo Finance / Stocktwits, citing Wall Street Journal reporting.
• 01 Jul 2026 - Q2 2026 earnings date set. Results will be released after 3:30 p.m. CT on Wednesday 29 July 2026, with the conference call on Thursday 30 July 2026 at 10:00 a.m. CT. Source: company press release.
• Mid-Jun 2026 - Shares consolidate near 50-day average. ORLY traded around $90-93 in late June 2026, roughly 15% below its 52-week high of $108.72, with a 50-day moving average of $90.78. Source: S&P Global market data via stockanalysis.com, 2 July 2026.

12. Key Dates Coming Up

• 29 Jul 2026 — Q2 2026 earnings release, after 3:30 p.m. Central Time. Confirmed by company press release, 1 July 2026.
• 30 Jul 2026 — Q2 2026 earnings conference call, 10:00 a.m. Central Time. Confirmed by company press release, 1 July 2026.
• 31 Aug 2026 — (Indicative end-of-summer timing) Possible decision on Genuine Parts' automotive unit sale process, in which O'Reilly is a reported bidder, per press reports of 2 July 2026 (timing indicative, not company-confirmed).
• 21 Oct 2026 — Q3 2026 earnings expected (date indicative), based on the company's historical cadence (Q3 2025 was reported on 22 October 2025); date not yet confirmed by the company.

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Disclaimer: This research is produced by ChartsView for educational and informational purposes only. It does not constitute financial advice or a recommendation to buy or sell any security. All information is sourced from publicly available company filings, press releases, and official data. ChartsView does not use analyst opinions or third-party ratings. Always conduct your own due diligence and consider your personal financial situation before making investment decisions. Past performance is not indicative of future results.

See also: Technical analysis on Monster Beverage · Monster Beverage company tracker

Last Updated: 30 June 2026

Monster Beverage Corporation is the world’s number-two energy-drink company by US share and one of the most profitable consumer-staples businesses on the market. It sells Monster Energy, Reign, Bang, NOS, Full Throttle and a portfolio of affordable and strategic brands through a global distribution alliance with The Coca-Cola Company, which also owns just under a fifth of the business. After a strong 2025 the company entered 2026 with accelerating momentum: first-quarter net sales jumped almost 27%, international sales crossed 45% of the total for the first time, and the balance sheet is now entirely free of debt. This report walks through the snapshot, the bull and bear case, the segments, the business model, five years of financials, the valuation, growth drivers, peers, insider activity, risks, recent developments and the key dates ahead.

1. Company Snapshot

Field	Value
Company	Monster Beverage Corporation
Ticker / Exchange	NASDAQ: MNST
Sector	Consumer Staples — Energy Drinks & Beverages
CEO / Leadership	Hilton H. Schlosberg (Chief Executive Officer & Vice Chairman); Rodney C. Sacks (Chairman)
Employees	~6,891 (as of 31 December 2025)
Market cap	~$95.2 billion (Jun 2026)
Share price	~$97.31 (29 Jun 2026); 52-week range $58.09–$97.87
FY2025 revenue (net sales)	$8,294.3 million (+10.7% YoY)
FY2025 net income	$1,905.4 million
FY2025 GAAP diluted EPS	$1.94 (adjusted $2.06)
Most recent quarter	Q1 2026 (ended 31 Mar 2026): net sales $2,353.3m, +26.9%
Dividend	None — Monster pays no dividend
Coca-Cola ownership	The Coca-Cola Company holds ~19.6% of Monster

2. Bull & Bear Case

Bull Case

• International runway: First-quarter 2026 international net sales rose 44.9% to $1.06 billion, around 45% of the total — a company record. China and India sales nearly doubled (+95% and +94.5%). Energy drinks are only 8–13% of the ready-to-drink category outside the US versus 19% domestically, leaving a long penetration runway.
• Coca-Cola distribution moat: The Coca-Cola Company owns ~19.6% of Monster and distributes its products through one of the world’s largest beverage networks, opening markets such as Thailand and Pakistan that would be hard to reach alone.
• Pristine, cash-rich balance sheet: Monster repaid its term loan in full during 2025 and ended Q1 2026 with no debt and roughly $3.0 billion of cash and short-term investments (plus a further $0.77 billion of longer-term investments), funding continuous buybacks.
• Pricing power and a benign category: Competitor Red Bull’s price increases create room for Monster pricing; the energy category has proven resilient and Monster has crossed the $2 billion quarterly net-sales threshold for the first time in a fiscal first quarter.
• Profitability and scale: FY2025 operating income rose 25.3% to $2.42 billion at a 29.2% operating margin, with gross margin back up to 55.8%, demonstrating that pricing and supply-chain actions are outpacing cost inflation.

Bear Case

• Premium valuation: At roughly 47x trailing GAAP earnings and ~34x EV/EBITDA, the shares price in years of high growth; any stumble in volume or margin could trigger a de-rating.
• Intensifying competition: Celsius grew FY2025 revenue 85.5% to $2.52 billion (helped by its $1.8 billion Alani Nu acquisition) and now holds about a fifth of the US RTD-energy dollar share, while Red Bull remains the global leader. Share gains are getting harder to come by at home.
• Margin pressure from mix and inputs: Q1 2026 gross margin slipped to 55.0% from 56.5% on geographic mix, higher aluminium-can and freight-in costs — a reminder that international growth can dilute margin.
• Regulatory and health scrutiny: Energy drinks face proposals on caffeine, sugar, food dyes and the “generally recognised as safe” process, plus possible sales restrictions (including under SNAP) and tariff exposure on inputs.
• Alcohol Brands drag: The Alcohol Brands segment continues to lose money and absorb impairment charges, and its net sales fell again in Q1 2026.

3. Business Segments

Monster reports four segments. The Monster Energy Drinks segment dominates the mix; the Strategic Brands segment houses the brands acquired from Coca-Cola plus affordable brands Predator and Fury; Alcohol Brands covers craft beer, flavoured malt beverages and hard seltzers; and Other is mainly the American Fruits & Flavors subsidiary. The table below uses full-year 2025 net sales.

Segment	% of revenue	What it is
Monster Energy Drinks	~92.4%	Core Monster Energy, Ultra, Juice, Java, Reign, Bang, NOS and Full Throttle energy drinks ($7,665.9m FY2025)
Strategic Brands	~5.7%	Brands acquired from Coca-Cola (Burn, Mother, Relentless, NOS) plus affordable energy brands Predator & Fury ($468.7m)
Alcohol Brands	~1.6%	Craft beer, flavoured malt beverages and hard seltzers (Jai Alai, Dale’s Pale Ale, The Beast) ($134.7m)
Other	~0.3%	Third-party sales of American Fruits & Flavors products ($25.0m)

4. Business Model & Moat

How it makes money. Monster is a holding company that develops and markets energy drinks but largely outsources bottling, canning and distribution. It sells concentrate and finished product to a network of bottlers and distributors — chiefly The Coca-Cola Company’s system — which handle the capital-intensive logistics. That asset-light model is why Monster converts sales into cash so efficiently: FY2025 operating cash flow was about $2.10 billion against capital expenditure of only $132.3 million.

Unit economics. The company sold roughly 959 million 192-ounce equivalent cases in 2025 at an average net sales per case of about $8.48. Gross margin runs in the mid-50s percent, and because the brand does the marketing while partners do the trucking, incremental volume drops through to operating income at a high rate.

The moat. Monster’s advantages are its brand equity with younger consumers, decades of shelf-space and cold-vault positioning, and the Coca-Cola alliance that gives near-global distribution reach. The Coca-Cola stake (~19.6%) aligns the two companies and is difficult for any rival to replicate. Switching costs for retailers are low, but the combination of brand pull and distribution muscle creates durable scale advantages.

You can follow MNST price action on our Live Charts page and track market-moving releases on the Economic Calendar.

5. Financial Health

Monster delivered double-digit FY2025 net-sales growth, record profitability and a debt-free balance sheet. The five-year trend below is drawn from the company’s annual results releases; per-share figures for 2021 and 2022 are restated for the 2-for-1 stock split effected in March 2023.

Fiscal Year	Revenue ($m)	YoY %	GAAP EPS	Adjusted EPS	Dividend / share	Long-term debt (YE)
FY2021	5,541.4	—	$1.29	—	Nil	$0m
FY2022	6,311.3	+13.9%	$1.12	—	Nil	$0m
FY2023	7,140.0	+13.1%	$1.54	—	Nil	$0m
FY2024	7,492.7	+4.9%	$1.49	$1.66	Nil	$374.0m
FY2025	8,294.3	+10.7%	$1.94	$2.06	Nil	$0m

Monster pays no dividend; it returns capital through buybacks. It carried no long-term debt until it drew a term loan in May 2024 (~$374m at year-end 2024), which it repaid in full during 2025. The quarterly trend below shows the most recent quarter first, with the full-year 2025 total in bold.

Quarter	Revenue	Adjusted EPS	GAAP EPS
Q1 2026	$2,353.3m	$0.58	$0.58
Q4 2025	$2,131.1m	$0.51	$0.46
Q3 2025	$2,200.0m	$0.56	$0.53
Q2 2025	$2,108.6m	$0.52	$0.50
Q1 2025	$1,854.6m	$0.47	$0.45
FY2025 total	$8,294.3m	$2.06	$1.94

6. Valuation

Raw metrics, June 2026. Not opinions on whether the stock is cheap or expensive.

Metric	Value
Market cap	~$95.2 billion (~$97.31 × ~977.9m shares, Jun 2026)
Enterprise value	~$92.2 billion (market cap ~$95.2bn + total debt $0 − cash & short-term investments ~$2.99bn per Q1 2026 balance sheet)
Trailing P/E (GAAP)	~47x (market cap ~$95.2bn / trailing-12-month net income ~$2.03bn; TTM GAAP EPS ~$2.07)
P/E (forward)	~42x (price ~$97.31 / consensus FY2026 EPS ~$2.29)
P/S (TTM)	~10.8x (market cap ~$95.2bn / TTM net sales ~$8.79bn)
EV/EBITDA (TTM)	~34x (EV ~$92.2bn / EBITDA ~$2.71bn; EBITDA = TTM operating income ~$2.58bn + D&A ~$0.13bn)
P/FCF	~48x (market cap ~$95.2bn / FCF ~$1.97bn; FCF = FY2025 operating cash flow $2.10bn − capex $0.13bn)
52-week high	$97.87
52-week low	$58.09
Short interest (% of float)	~2.8% of float (MarketBeat, Jun 2026)
Days to cover	~3.9 days

7. Growth Drivers

Several structural drivers underpin Monster’s outlook. First, international expansion: with overseas markets only lightly penetrated and Coca-Cola opening new geographies (Thailand launched January 2026, plus Pakistan), foreign sales rose 44.9% in Q1 2026 and now make up roughly 45% of the total. Second, product innovation: the Ultra, Reign Storm, Java and Killer Brew lines plus new launches keep the brand fresh across flavour and wellness niches. Third, affordable energy: the Predator and Fury brands target price-sensitive emerging markets where the category is still forming. Fourth, the category itself: energy remains one of the fastest-growing beverage categories worldwide, and the Coca-Cola system gives Monster a structural distribution advantage. Finally, capital returns: with no debt and strong free cash flow, Monster continues to repurchase shares (about $100 million bought back in Q1 2026, with roughly $400 million of authorisation remaining as of May 2026).

8. Peer Comparison

Monster sits within the global beverage and energy-drink complex. Coca-Cola is both a ~19.6% shareholder and its distribution partner; PepsiCo owns Rockstar; Celsius is the fast-growing US challenger; and privately held Red Bull remains the global category leader.

Peer	Market cap (Jun 2026)	Key 2025 metric
The Coca-Cola Company (KO)	~$344 billion	Owns ~19.6% of Monster and is its global distribution partner
PepsiCo (PEP)	~$194 billion	FY2025 revenue ~$93.9 billion; owns Rockstar Energy
Keurig Dr Pepper (KDP)	~$45.6 billion	Diversified beverage major and US energy distributor
Celsius Holdings (CELH)	~$7.6 billion	FY2025 revenue $2.52 billion, +85.5% (Alani Nu deal)
Red Bull (private)	Private	~32% US energy-drink share vs Monster’s ~35%

9. Insider Activity & Ownership

Chief Executive Officer Hilton H. Schlosberg and Chairman Rodney C. Sacks remain the company’s most significant individual insiders. Recent Form 4 activity has been dominated by scheduled equity grants, bona fide gifts and estate-planning transfers into trusts rather than large open-market selling. The Coca-Cola Company’s ~19.6% holding is the largest single stake.

Name	Date	Type	Shares	Price	Value	Plan Type
Rodney C. Sacks (Chairman)	13 Mar 2026	Equity grant (stock + RSUs + options)	270,400 + 15,200 RSUs	$77.11 (option strike)	—	Annual award
Rodney C. Sacks (Chairman)	2026 (3 sales)	Sale	206,543	—	~$15.2m	Pre-arranged
Rodney C. Sacks (Chairman)	08 May 2026	Option exercise	16,903	—	—	Option exercise
Hilton H. Schlosberg (CEO)	12 Mar 2026	Bona fide gift	11,341	—	—	Gift
Hilton H. Schlosberg (CEO)	Mar 2026	Transfer to trusts	1,151,867	—	—	Estate planning

10. Key Risks

• Valuation (Market): At ~47x trailing earnings and ~34x EV/EBITDA, the multiple leaves little room for disappointment and is sensitive to any slowdown in volume or margin.
• Competition (Operational): Celsius/Alani Nu and Red Bull are pressing hard for US share, and private label and new entrants could erode pricing over time.
• Regulatory and health (Regulatory): Energy drinks face potential restrictions on caffeine, sugar and food dyes, the GRAS process, and demographic or SNAP-related sales limits.
• Coca-Cola dependence (Operational): Monster relies heavily on the Coca-Cola bottling/distribution system; any change in that relationship or in bottler behaviour would matter materially.
• Input costs and supply chain (Macro): Aluminium (including the Midwest Premium), freight and tariff exposure can compress gross margin, as seen in Q1 2026.
• Foreign exchange (Macro): With ~45% of sales abroad, currency swings can move reported revenue and margin in either direction.
• Alcohol Brands losses (Financial): The alcohol segment remains loss-making and has repeatedly required impairment charges.

11. Recent Developments

• 07 May 2026 — Record Q1 2026 results. Net sales rose 26.9% to $2.35 billion, operating income +28.1% to $730.0 million and diluted EPS +27.6% to $0.58; the shares rose sharply on the print as international growth accelerated.
• 08 Jun 2026 — International expansion via Coca-Cola. Coverage highlighted Monster using Coca-Cola’s network to push into markets such as Thailand and Pakistan, with China up ~95% and India up ~94.5% in Q1 2026 and EMEA up 52.5%.
• 26 Feb 2026 — FY2025 results. Full-year net sales rose 10.7% to $8.29 billion and net income rose 26.3% to $1.91 billion; about $500 million remained on the buyback authorisation.
• 25 Feb 2026 — Regional leadership changes. Rob Gehring became CEO Americas, Guy Carling CEO EMEA & OSP and Emelie Tirre Chief Strategy Officer, effective 25 February 2026.
• 23 Jun 2026 — Valuation in focus. With the stock near 52-week highs and trading around 43x earnings, commentary noted strong momentum supported by competitor Red Bull’s price increases alongside elevated valuation.

12. Key Dates

• 06 Aug 2026 — Q2 2026 results (estimated; date not yet confirmed by the company)
• 04 Nov 2026 — Q3 2026 results (estimated)
• 07 May 2026 — Q1 2026 results released
• 26 Feb 2026 — FY2025 results released

Track upcoming catalysts on the ChartsView Economic Calendar and discuss the stock on the Forum.

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Disclaimer: This research is produced by ChartsView for educational and informational purposes only. It does not constitute financial advice or a recommendation to buy or sell any security. All information is sourced from publicly available company filings, press releases, and official data. ChartsView does not use analyst opinions or third-party ratings. Always conduct your own due diligence and consider your personal financial situation before making investment decisions. Past performance is not indicative of future results.

Last Updated: 29 June 2026

Mondelēz International (NASDAQ: MDLZ) is the Chicago-based global snacking giant behind Oreo, Cadbury Dairy Milk, Milka, Ritz, LU, Toblerone and Clif Bar, selling in more than 150 countries. Full-year 2025 net revenues reached $38.537bn, up 5.8% (organic +4.3%), but profitability was hit hard by record cocoa costs: GAAP operating income fell 44.1% and adjusted EPS dropped 14.6% in constant currency to $2.92. Into 2026, the picture is improving — Q1 organic revenue grew 3.0%, cocoa costs are showing signs of easing on a stronger West African harvest, and the company has raised its dividend again. This report sets out how Mondelēz makes money, the primary-source financials, the valuation, and the risks that come with a chocolate-heavy portfolio. See live pricing on our Live Charts and reporting dates on the Economic Calendar.

1. Company Snapshot

Field	Value
Ticker / Exchange	MDLZ / NASDAQ
Headquarters	Chicago, Illinois, USA
CEO	Dirk Van de Put (Chair & CEO)
CFO	Amit Banati (EVP & CFO, effective 1 July 2026)
Employees	~91,000
Fiscal year end	31 December
FY2025 net revenues	$38,537m (+5.8% YoY; organic +4.3%)
FY2025 GAAP EPS (diluted)	$1.89
FY2025 adjusted EPS	$2.92
Market cap	~$77.9bn (late June 2026)
Dividend	$0.50 per share quarterly (~$2.00 annualised)

2. Bull and Bear Case

Bull Case

• Iconic global snacking scale: A portfolio of category-leading biscuit and chocolate brands (Oreo, Cadbury, Milka, Ritz, LU, Toblerone) across 150+ countries gives Mondelēz durable pricing power, demonstrated by 5.8% reported and 4.3% organic revenue growth in 2025 despite extreme input-cost pressure.
• Emerging-market engine: Emerging markets grew 6.3% in Q1 2026, led by India, Brazil and China, and remain the company's structural growth driver as snacking penetration rises with incomes.
• Cocoa cost relief in sight: A stronger West African cocoa harvest points to easing of the input headwind that crushed 2025 margins, which would allow gross margin to recover as elevated hedged costs roll off.
• Strong cash returns: Mondelēz generated $4.5bn of operating cash flow and $3.2bn of free cash flow in 2025, returned $4.9bn to shareholders, and has just raised its quarterly dividend to $0.50 per share, guiding to ~$3bn free cash flow in 2026.

Bear Case

• Cocoa cost shock: Record cocoa prices drove full-year 2025 GAAP operating income down 44.1% and adjusted EPS down 14.6% in constant currency; the chocolate-heavy mix leaves margins exposed to a volatile soft commodity.
• Volume elasticity: Volume/mix fell 3.7% in 2025 and 0.5% in Q1 2026 as price increases met consumer resistance, raising questions about how much further pricing can offset costs without losing units.
• Balance-sheet leverage: Total debt was $21.0bn against $1.5bn of cash at 31 March 2026 (net debt $19.5bn), a meaningful load in a higher-rate environment.
• Leadership and systems transition: A new CFO (Amit Banati) takes over on 1 July 2026 as Luca Zaramella moves to COO, alongside a multi-year ERP system implementation — change that adds execution risk during a difficult cost cycle.

3. Business Segments

Mondelēz reports across four geographic regions. Europe is the largest, reflecting its strong chocolate and biscuit franchises, while AMEA and Latin America provide the fastest emerging-market growth. The figures below are full-year 2025 net revenues.

Segment	% of revenue	What it is
Europe	39.0% ($15,027m)	Largest region — chocolate (Milka, Cadbury, Toblerone) and biscuits (LU, Oreo) across Western and Eastern Europe.
North America	27.7% ($10,679m)	Biscuits and snacks led by Oreo, Ritz, Chips Ahoy! and Tate's Bake Shop.
AMEA (Asia, Middle East & Africa)	20.6% ($7,932m)	High-growth emerging markets including India and China; biscuits, chocolate and gum.
Latin America	12.7% ($4,899m)	Brazil, Mexico and the region — powders, biscuits and confectionery with strong pricing.

4. Business Model and Economics

How it makes money. Mondelēz sells branded packaged snacks — primarily biscuits and chocolate, plus baked snacks, gum and candy — through grocery, convenience, e-commerce and traditional trade. Its moat is brand equity and distribution: leading shelf positions for global "power brands" combined with deep local brands, which together support consistent pricing and high repeat purchase.

Unit economics. Adjusted gross margin was 37.8% in 2024 but compressed sharply in 2025 (adjusted operating income margin fell to 13.2%) as cocoa and other input costs spiked. The company's playbook is to offset cost inflation with net pricing, productivity and mix, while protecting volume through brand investment — a balance that became much harder in the 2025 cocoa shock. When commodity costs normalise, the operating leverage works in reverse and margins recover.

Capital allocation. Mondelēz is a cash-generative, dividend-growth business: it produced $4.5bn of operating cash flow in 2025, pays a rising dividend (just lifted to $0.50 per quarter), and buys back stock, while carrying ~$21bn of total debt used to fund acquisitions and returns.

5. Financial Health

All figures below are from Mondelēz's quarterly and full-year earnings releases (most recently Q1 2026 on 28 April 2026 and Q4/FY2025 on 3 February 2026). The fiscal year ends 31 December.

Fiscal Year	Revenue	YoY %	GAAP EPS	Adjusted EPS	Dividend/share	Long-term debt (YE)
FY2021	$28,720m	+8.0%	$3.04	$2.87	~$1.33	—
FY2022	$31,496m	+9.7%	$1.96	$2.91	~$1.47	—
FY2023	$36,016m	+14.3%	$3.62	$3.08	~$1.62	$16,887m
FY2024	$36,441m	+1.2%	$3.42	$3.36	~$1.79	$15,664m
FY2025	$38,537m	+5.8%	$1.89	$2.92	~$1.94	$17,222m

Quarterly progression (most recent first; Q1 2026 is the first quarter of the current fiscal year, followed by the four quarters of FY2025):

Quarter	Revenue	Adjusted EPS	GAAP EPS
Q1 2026 (Mar 2026)	$10,080m	$0.67	$0.44
Q4 2025 (Dec 2025)	$10,496m	$0.72	$0.51
Q3 2025 (Sep 2025)	$9,744m	$0.73	$0.57
Q2 2025 (Jun 2025)	$8,984m	$0.73	$0.49
FY2025 total (Q1–Q4 2025)	$38,537m	$2.92	$1.89

Revenue has compounded steadily — from $28.7bn in 2021 to $38.5bn in 2025 — but earnings were highly volatile in 2025 as cocoa costs surged: GAAP operating income fell to $3,548m and adjusted EPS to $2.92. Note that 2025 GAAP EPS of $1.89 was further depressed by unfavourable mark-to-market swings on commodity and currency derivatives and pension-settlement losses, so it understates underlying profitability versus the $2.92 adjusted figure. The balance sheet carries long-term debt of $17,222m at year-end 2025 (total debt $21.0bn including short-term borrowings and current maturities), against $2,125m of cash.

6. Valuation

Raw metrics, June 2026. Not opinions on whether the stock is cheap or expensive.

Metric	Value
Market cap	~$77.9bn (price ~$60.71, late June 2026)
Trailing P/E (GAAP)	~32x (price ~$60.71 ÷ FY2025 GAAP EPS $1.89) — depressed by mark-to-market derivative losses and pension settlements; on adjusted EPS of $2.92 it is ~21x
P/E (forward)	~20x (price ~$60.71 ÷ FY2026 adjusted EPS of ~$2.98–$3.13, from management's flat-to-+5% constant-currency guidance on the $2.92 base plus a ~$0.06 currency tailwind)
P/S (TTM)	~2.0x (market cap ~$77.9bn ÷ FY2025 revenue $38.537bn)
Enterprise value	~$97.4bn (market cap ~$77.9bn + total debt $21.024bn − cash $1.524bn per the 31 Mar 2026 balance sheet)
EV/EBITDA (TTM)	~20x on GAAP EBITDA (EV ~$97.4bn ÷ EBITDA ~$4.9bn = FY2025 operating income $3,548m + D&A $1,358m). On adjusted EBITDA (~$6.4bn, using adjusted operating income) it is ~15x; GAAP is depressed by mark-to-market derivative losses
P/FCF	~24x (market cap ~$77.9bn ÷ FY2025 free cash flow $3.2bn; FCF = operating cash flow $4.5bn − capex ~$1.3bn; management guides ~$3bn FCF for 2026)
52-week high	$71.15
52-week low	$51.20
Short interest (% of float)	~2.5% of float (most recent reported; ~32.4m shares)
Days to cover	~3 days

7. What They Are Building

Mondelēz's strategy is to lead the future of snacking by concentrating investment behind its biscuit and chocolate "power brands" and its highest-growth markets. The company is pushing premiumisation and well-being variants, expanding distribution in emerging markets (where it is adding routes-to-market in India, Brazil and China), and investing in brand marketing and innovation even through the cocoa-cost squeeze. Operationally, it is part-way through a multi-year ERP system implementation intended to modernise its finance and supply-chain systems by the end of 2028, and it continues to reshape the portfolio through bolt-on acquisitions and selective divestitures in snacking-adjacent categories. The near-term emphasis is protecting volumes and brand health while pricing for cocoa inflation, so that margins can rebuild as input costs ease.

8. Competitive Landscape

Mondelēz competes with the world's largest food and snacking companies across biscuits, chocolate and broader packaged foods. Market caps are as of late June 2026.

Peer	Market cap (Jun 2026)	Key 2025 metric
Nestlé (NSRGY)	~$265bn	World's largest food company; confectionery, coffee, nutrition
PepsiCo (PEP)	~$194bn	~$92bn revenue; Frito-Lay snacks and beverages
Mondelēz (MDLZ)	~$78bn	FY2025 revenue $38.5bn; global biscuits & chocolate
The Hershey Company (HSY)	~$36bn	US chocolate leader; strong seasonal franchise
Kraft Heinz (KHC)	~$27bn	Packaged foods; mid single-digit margins, restructuring
General Mills (GIS)	~$19bn	Cereals and snacks; defensive packaged-food peer

Within snacking, Mondelēz's closest direct rivals on chocolate and biscuits are Nestlé, Hershey, Mars and Ferrero, while it competes for shelf space and consumer wallet against PepsiCo's Frito-Lay in salty snacks. Its global brand portfolio and emerging-market footprint distinguish it from more US-centric peers.

9. Leadership and Ownership

Mondelēz is led by Dirk Van de Put, who has served as Chief Executive Officer since 2017 and as Chair since 2018. The most significant recent change is in the finance seat: on 15 June 2026 the company named Amit Banati — previously CFO of Kenvue — as Executive Vice President and Chief Financial Officer, effective 1 July 2026, while long-serving CFO Luca Zaramella moves to Executive Vice President and Chief Operating Officer, taking responsibility for the four regions, sales, marketing and supply chain. The reshuffle, first announced in late January 2026, is a notable leadership transition during a difficult cost cycle.

No material open-market insider buying or selling has been disclosed in recent Form 4 filings; routine equity-compensation grants and vestings are the principal insider activity, and the company is institutionally owned with no controlling shareholder.

10. Key Risks

• Commodity / cocoa costs (Input costs): Cocoa is the dominant swing factor; record prices drove 2025 margins and adjusted EPS sharply lower, and renewed cost spikes would hit a chocolate-heavy portfolio hard.
• Volume elasticity (Demand): Volume/mix has declined as pricing rises (−3.7% in 2025); further price-led growth risks losing units if consumers trade down or shrink baskets.
• Currency exposure (Macro): With most revenue outside the US, a strong dollar materially reduces reported revenue and EPS, as seen in the constant-currency versus reported gaps through 2024–25.
• Balance-sheet leverage (Balance sheet): Total debt of ~$21.0bn against $1.5bn of cash means rising rates or refinancing increase interest costs and constrain flexibility.
• Execution and transition (Operational): A new CFO from 1 July 2026, a COO reshuffle and a multi-year ERP implementation running to 2028 add execution risk during a fragile margin recovery.
• Competition and private label (Competitive): Intense competition from Nestlé, Hershey, Mars, PepsiCo and growing private-label penetration can pressure share and pricing in key categories.

11. Recent Developments

• 28 Apr 2026 — Q1 2026 results. Net revenues rose 8.2% to $10,080m (organic +3.0%), GAAP EPS increased 41.9% to $0.44 and adjusted EPS was $0.67, beating expectations; emerging markets grew 6.3%.
• 15 Jun 2026 — New CFO named. Mondelēz appointed Amit Banati (ex-Kenvue) as EVP and CFO effective 1 July 2026, with Luca Zaramella moving to EVP and Chief Operating Officer.
• June 2026 — Dividend raised. The Board declared a regular quarterly dividend of $0.50 per share, payable 14 July 2026 to holders of record on 30 June 2026.
• June 2026 — Cocoa cost relief signs. A stronger West African cocoa harvest pointed to easing input-cost pressure on the chocolate portfolio after the elevated prices of 2025.
• 03 Feb 2026 — Q4 and FY2025 results. Full-year net revenues were $38,537m (+5.8%; organic +4.3%) but adjusted EPS fell 14.6% in constant currency to $2.92 on record cocoa costs; the company guided 2026 to flat-to-+5% adjusted EPS growth.

12. Key Dates

• 01 Jul 2026 — Amit Banati becomes EVP and Chief Financial Officer
• 14 Jul 2026 — Quarterly dividend of $0.50/share paid (record date 30 June 2026)
• 28 Jul 2026 — Expected Q2 2026 earnings release
• Expected October 2026 — Q3 2026 earnings release

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Disclaimer: This research is produced by ChartsView for educational and informational purposes only. It does not constitute financial advice or a recommendation to buy or sell any security. All information is sourced from publicly available company filings, press releases, and official data. ChartsView does not use analyst opinions or third-party ratings. Always conduct your own due diligence and consider your personal financial situation before making investment decisions. Past performance is not indicative of future results.

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Last Updated: 28 June 2026

Lululemon Athletica (NASDAQ: LULU) is the premium athletic-apparel brand that effectively created the "athleisure" category, selling technical leggings, tops, footwear and accessories direct to consumers through its own stores and e-commerce. After more than a decade of rapid, high-margin growth, the company has entered a far more difficult chapter: its core North American business has stalled, margins are compressing, earnings are going backwards, the long-time CEO has departed, and a reputational misstep in China — its fastest-growing major market — has compounded the pressure. The shares have roughly halved in 2026. Yet the balance sheet is debt-free, cash generation remains strong, international growth is still robust, and the valuation has collapsed to a fraction of its former multiple. This report lays out the picture from primary filings.

For live pricing and technical levels, see our Live Charts, track the macro backdrop on the Economic Calendar, and discuss ideas in the Forum.

1. Company Snapshot

Field	Value
Exchange / Ticker	NASDAQ: LULU
Sector	Consumer & Retail — Apparel
Market cap	~$13.4bn (26 Jun 2026)
Revenue (FY2025)	$11.10bn (fiscal year ended 1 Feb 2026)
Net income (FY2025)	$1.58bn
CEO	Interim Co-CEOs Meghan Frank (CFO) and André Maestrini (President); permanent CEO search underway after Calvin McDonald's departure
Employees	~39,000
Headquarters	Vancouver, British Columbia, Canada
Founded	1998
Fiscal year end	Sunday nearest 31 January (FY2025 ended 1 Feb 2026)
Dividend	None — cash returned via share buybacks

2. Bull & Bear Case

Bull Case

• Fortress balance sheet & cash generation: Lululemon carries no funded debt, ended Q1 FY2026 with ~$1.5bn of cash, generated ~$1.6bn of operating cash flow in FY2025, and is buying back stock aggressively (~$1.2bn repurchased in FY2025).
• International growth engine: International revenue rose 22% in FY2025 with China Mainland up 29%, and the brand remains under-penetrated outside North America — a multi-year runway if execution holds.
• Depressed valuation: At roughly 9.5x trailing earnings and ~4.5x EV/EBITDA, the shares trade far below the premium multiple the brand commanded for most of the past decade.

Bear Case

• Americas momentum has stalled: Americas comparable sales fell in FY2025 and again in Q1 FY2026, with management blaming product misfires and adverse social-media commentary hitting traffic in the core market.
• Intensifying premium competition: Vuori, Alo Yoga, On and Hoka are taking share in premium athleisure, eroding Lululemon's once-unrivalled position with affluent shoppers.
• Margin compression: FY2025 gross margin fell 260bps and operating margin 380bps, with Q1 FY2026 operating margin down a further 730bps as discounting and tariffs bite.
• Earnings going backwards: GAAP EPS fell to $13.26 in FY2025 from $14.64, Q1 FY2026 EPS dropped to $1.69 from $2.60, and full-year FY2026 guidance was cut to ~$11.05.
• Leadership vacuum & China reputational risk: Long-time CEO Calvin McDonald has departed, leaving interim Co-CEOs, while a Great Wall promotional misstep sparked a backlash in its fastest-growing major market.

3. Revenue Segments

Lululemon operates as a single reportable segment but discloses revenue by geography. The split below uses FY2025 disclosures; percentages are approximate and derived from reported growth rates and the $11.10bn total.

Segment	% of revenue (FY2025)	What it is
Americas (US & Canada)	~74% (~$8.2bn)	The mature core market and profit engine; FY2025 net revenue fell ~1% with comparable sales down 3% — the current soft spot.
International	~26% (~$2.9bn)	The growth engine; FY2025 net revenue rose 22%, led by China Mainland +29% and Rest of World +16%.

By product category, FY2025 women's revenue rose 5%, men's 4% and accessories 8%; women's remains roughly two-thirds of sales. Lululemon ended FY2025 with 811 company-operated stores (816 by Q1 FY2026).

4. Business Model

Lululemon designs technical athletic apparel and sells it predominantly direct to consumers, capturing full retail margin rather than sharing it with wholesalers.

How it makes money: Revenue comes from company-operated stores and e-commerce (the large majority of sales), supplemented by outlets, wholesale and licensed locations. A vertically integrated, mostly full-price model historically produced gross margins near 58–60% and operating margins in the low-to-mid 20s.

Unit economics & brand moat: The moat is brand and community — ambassador programmes, in-store events and a reputation for fabric innovation that supports premium pricing. That pricing power is now being tested: FY2025 gross margin slipped to 56.6% and operating margin to 19.9% as competition and discounting intensified.

Capital allocation: With no funded debt, Lululemon directs free cash flow into new stores, international expansion and large share buybacks (~$1.2bn in FY2025); it pays no dividend.

5. Financial Health

Annual figures are from Lululemon's audited statements and earnings releases. The company reports GAAP EPS; the Adjusted EPS column reflects company-disclosed adjusted figures, which for FY2022 and FY2023 exclude MIRROR / lululemon Studio impairment charges.

Fiscal Year	Revenue	YoY %	GAAP EPS	Adjusted EPS	Dividend / Share	Long-Term Debt (YE)
FY2021	$6.26bn	—	$7.49	$7.79	Nil	$0m
FY2022	$8.11bn	+29.6%	$6.68	$10.07	Nil	$0m
FY2023	$9.62bn	+18.6%	$12.20	$12.77	Nil	$0m
FY2024	$10.59bn	+10.1%	$14.64	$14.64	Nil	$0m
FY2025	$11.10bn	+4.9%	$13.26	$13.26	Nil	$0m

FY2024 was a 53-week year. Lululemon carries operating lease liabilities but no funded or long-term debt — hence $0m above. Quarterly trend (most recent first); the bold row is the last completed fiscal year, FY2025. Q1 FY2026 is the first quarter of the current fiscal year.

Quarter	Revenue	Adjusted EPS	GAAP EPS
Q1 FY2026 (May 2026)	$2.47bn	$1.69	$1.69
Q4 FY2025 (Feb 2026)	$3.64bn	$5.01	$5.01
Q3 FY2025 (Nov 2025)	$2.6bn	$2.59	$2.59
Q2 FY2025 (Aug 2025)	$2.5bn	$3.10	$3.10
FY2025 (full year)	$11.10bn	$13.26	$13.26

6. Valuation

Raw metrics, June 2026. Not opinions on whether the stock is cheap or expensive.

Metric	Value
Market Cap	~$13.4bn (26 Jun 2026 close $117.57 × ~114m shares)
Enterprise Value	~$11.9bn (market cap ~$13.4bn + funded debt $0 − cash ~$1.51bn per 3 May 2026 balance sheet)
Trailing P/E (GAAP)	~9.5x ($117.57 / TTM GAAP EPS ~$12.35; TTM = FY2025 $13.26 − Q1 FY2025 $2.60 + Q1 FY2026 $1.69)
P/E (forward)	~10.6x ($117.57 / FY2026 guidance EPS midpoint ~$11.05; company guide $10.95–$11.15)
P/S (TTM)	~1.2x (market cap ~$13.4bn / TTM revenue ~$11.20bn)
EV/EBITDA (TTM)	~4.5x (EV ~$11.9bn / EBITDA ~$2.66bn; EBITDA = FY2025 operating income $2.21bn + D&A ~$0.45bn)
P/FCF	~14.7x (market cap ~$13.4bn / FCF ~$0.91bn; FCF = FY2025 operating CF $1.60bn − capex ~$0.69bn)
52-week high	$252.24
52-week low	$104.44
Short interest (% of float)	~1.0% (low)
Days to cover	~0.4 days

7. What They're Building

Lululemon's turnaround plan centres on reigniting its North American core while continuing to scale internationally. Management says the priority for 2026 is improving full-price sell-through in North America and refreshing the product "engine" after a run of launches that failed to resonate — with early signals of sequential improvement in full-price sales cited in Q1 FY2026.

Strategically, the company is leaning on three growth pillars it has communicated for some time: expanding men's, growing e-commerce/digital, and accelerating international, where China Mainland and Rest-of-World remain the standout performers. New categories such as footwear, plus continued store expansion (816 stores at Q1 FY2026, with international additions), round out the build-out. The open question is leadership: a permanent CEO is still to be appointed, and the strategic direction will ultimately be shaped by that hire.

8. Competitive Landscape

Lululemon faces both scaled incumbents and a wave of fast-growing premium challengers eating into its franchise.

Peer	Market Cap (Jun 2026)	Key 2025 metric
Nike (NKE)	~$60bn	Largest sportswear company by market value; itself trading near multi-year lows
Deckers / HOKA & UGG (DECK)	~$14.4bn	HOKA running franchise expanding apparel into Lululemon's run/lifestyle overlap
On Holding (ONON)	~$13bn	Premium running brand scaling apparel and community quickly
Vuori	Private (~$5.5bn last valuation, 2024)	Fast-growing premium DTC rival pulling affluent shoppers from Lululemon
Alo Yoga	Private	Captured ~14% of the premium DTC athleisure market by early 2026

9. Leadership & Ownership

Following the departure of long-time CEO Calvin McDonald, Lululemon is run by interim Co-CEOs Meghan Frank (also CFO) and André Maestrini (President), with board chair Marti Morfitt taking an expanded Executive Chair role while the board searches for a permanent chief executive. Notably, insiders have been buying on the decline.

Name	Date	Type	Shares	Price	Value	Plan Type
Charles Bergh (Director)	16 Jun 2026	Buy	4,275	~$117.04	~$0.50m	Open-market purchase
André Maestrini (Interim Co-CEO)	01 Apr 2026	Buy	3,275	—	—	Open-market purchase
Nicole Neuburger (Chief Brand Officer)	09 Apr 2026	Sale	622	$161.00	~$0.10m	Open-market sale

Founder Chip Wilson, who retains a large stake and a public voice, has pressed for board change to "regain commercial momentum." The shares are otherwise largely institutionally held.

10. Key Risks

• Brand & demand softness (Operational): Negative Americas comparable sales, product misfires and adverse social-media commentary are pressuring traffic in the core market.
• Intensifying competition (Operational): Vuori, Alo, On and Hoka are taking premium share, threatening Lululemon's pricing power and growth.
• China reputational risk (Operational): The Great Wall event backlash highlights cultural and execution risk in its fastest-growing major market.
• Leadership transition (Governance): A departed CEO and interim Co-CEO structure create strategic uncertainty until a permanent leader is appointed.
• Margin compression (Financial): Gross and operating margins are falling, with tariffs and discounting adding further pressure to profitability.
• Guidance & expectations (Market): FY2026 revenue and EPS guidance has been cut, and earnings are now expected to decline year on year.

11. Recent Developments

• 04 Jun 2026 — Q1 FY2026 results and guidance cut. Revenue rose 4% to $2.47bn, but diluted EPS fell to $1.69 from $2.60 and operating margin dropped 730bps; the company cut full-year FY2026 guidance to $11.0–$11.15bn revenue and $10.95–$11.15 EPS.
• 18 Jun 2026 — China Great Wall backlash and apology. Lululemon apologised after a Great Wall yoga event featuring a Japanese taiko drum sparked social-media backlash in China; it acknowledged failing to foresee cultural issues and removed related content.
• 16 Jun 2026 — Insider buying on the dip. Board member Charles Bergh purchased roughly $0.5m of stock at about $117 per share, one of several insider purchases during the decline.
• 17 Mar 2026 — Full-year fiscal 2025 results. Revenue rose 5% to $11.10bn with international up 22% (China +29%) but Americas down 1%; gross margin fell 260bps and diluted EPS was $13.26 versus $14.64.

12. Key Dates

• Expected Sep 2026 — Second-quarter fiscal 2026 results (guided revenue $2.45–$2.48bn, EPS $1.76–$1.81)
• Expected H2 2026 — Appointment of a permanent CEO (search underway)
• Expected Dec 2026 — Third-quarter fiscal 2026 results
• Expected Mar 2027 — Fourth-quarter and full-year fiscal 2026 results

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Disclaimer: This research is produced by ChartsView for educational and informational purposes only. It does not constitute financial advice or a recommendation to buy or sell any security. All information is sourced from publicly available company filings, press releases, and official data. ChartsView does not use analyst opinions or third-party ratings. Always conduct your own due diligence and consider your personal financial situation before making investment decisions. Past performance is not indicative of future results.

Last Updated: 26 June 2026

Keurig Dr Pepper (NASDAQ: KDP) is one of North America’s largest beverage companies, built from the 2018 merger of Keurig Green Mountain and Dr Pepper Snapple. It sells carbonated soft drinks, water, juice, mixers and energy alongside the Keurig single-serve coffee system. The story right now is transformation: on 1 April 2026 KDP closed its roughly US$18.3 billion acquisition of Dutch coffee group JDE Peet’s, and management intends to split the enlarged business into two independent public companies — a refreshment-beverage player (“Beverage Co.”) and a global coffee champion (“Global Coffee Co.”). This report covers the company as reported for full-year 2025 and the first quarter of 2026, before the JDE Peet’s results were consolidated. You can follow the live price on our Live Charts page.

1. Company Snapshot

Field	Value
Ticker / Exchange	KDP (NASDAQ)
Sector	Consumer & Retail — Beverages
CEO	Tim Cofer (Chief Executive Officer)
CFO	Anthony DiSilvestro
Headquarters	Burlington, Massachusetts & Frisco, Texas, USA
Employees	More than 50,000 (pre-JDE Peet’s; materially higher post-close)
Share price (Jun 2026)	$31.40
Market cap (Jun 2026)	~$43.9 billion
Revenue (FY2025)	$16.60 billion
GAAP net income (FY2025)	$2.08 billion
GAAP diluted EPS (FY2025)	$1.53
Adjusted diluted EPS (FY2025)	$2.05
Dividend / yield	$0.92 per share annual / ~2.9%
Fiscal year end	31 December

2. Bull and Bear Case

Bull Case

• Resilient cold-beverage engine: U.S. Refreshment Beverages grew net sales 11.9% in Q1 2026, with Dr Pepper having overtaken Pepsi to become the No. 2 carbonated soft drink in the United States, supported by GHOST, Core Hydration and other recent additions.
• Transformational coffee scale: the JDE Peet’s acquisition unites Keurig’s leading North American single-serve system with JDE Peet’s near-300-year, 100-plus-market coffee portfolio (Peet’s, L’OR, Jacobs), creating a global coffee leader.
• Value-unlocking separation: management plans to split into two focused public companies, which can give investors cleaner exposure to a steady beverage cash-compounder and a global coffee growth story, with about US$400 million of targeted cost synergies over three years.
• Consistent execution and pricing power: KDP delivered four consecutive quarters of year-over-year EPS growth in 2025 and full-year net sales up 8.2%, showing the brand portfolio can pass through cost inflation.
• Reliable shareholder returns: a ~2.9% dividend yield backed by strong, if currently pressured, free cash flow gives a cushion while the transformation plays out.

Bear Case

• Balance-sheet leverage: the ~US$18.3 billion JDE Peet’s deal was funded with substantial new debt, preferred stock and a non-controlling-interest sale, materially raising leverage and complicating the capital structure ahead of the split.
• Execution and integration risk: simultaneously integrating JDE Peet’s and separating into two companies is a complex, multi-year undertaking that diverts management attention and carries significant one-off costs.
• Coffee softness: U.S. Coffee net sales fell 2.3% in Q1 2026 with volume/mix down 8.2%, and elevated green-coffee costs continue to pressure that segment’s margins.
• Margin compression: Q1 2026 adjusted operating margin fell to 21.1% from 23.3% a year earlier on inflation and higher marketing spend, and GAAP EPS dropped 47.8% on transaction costs.
• Mature core categories: much of the legacy portfolio sits in low-single-digit-growth U.S. soft-drink and water categories that depend on continued pricing and share gains.

3. Business Segments

For full-year 2025 (before JDE Peet’s consolidation) KDP reported three segments. Percentages are share of FY2025 total net sales of $16.60 billion.

Segment	% of revenue	What it is
U.S. Refreshment Beverages	~63% ($10.4bn)	Carbonated soft drinks, water, juice, mixers and energy — Dr Pepper, 7UP, Canada Dry, Snapple, Mott’s, A&W, GHOST, Core Hydration.
U.S. Coffee	~24% ($4.0bn)	The Keurig single-serve brewing system, K-Cup pods and brewers across the U.S. and Canada.
International	~13% ($2.2bn)	Beverages and coffee outside the U.S., led by Mexico (Peñafiel, mineral water) and Canada.

4. Business Model

KDP makes money by manufacturing, marketing and distributing branded beverages and coffee, earning the spread between what consumers and retailers pay for its products and the cost of ingredients, packaging, manufacturing and route-to-market.

How it sells beverages. In refreshment beverages, KDP owns a direct-store-delivery and warehouse network that places Dr Pepper and its stablemates on shelves, in coolers and at fountains nationwide. Scale in distribution, combined with strong brand equity, gives pricing power and shelf advantage, and the company has bolted on faster-growing brands such as GHOST (energy) and Core Hydration (water).

How it sells coffee. The coffee model is a razor-and-blade system: Keurig brewers seed households, and the recurring, higher-margin sales come from K-Cup pods. JDE Peet’s adds roast-and-ground, beans, instant and ready-to-drink coffee across more than 100 international markets.

Unit economics and capital return. The business is cash-generative, funding a growing dividend and bolt-on M&A. The pending separation is designed to let a steady beverage cash-compounder and a growth-oriented global coffee company each pursue their own capital-allocation strategies.

5. Financial Health

All figures below are from KDP’s earnings press releases and SEC filings. The annual table covers the five fiscal years to 31 December 2025.

Fiscal Year	Revenue	YoY %	GAAP EPS	Adjusted EPS	Dividend/share	Long-term debt (YE)
FY2021	$12.68bn	+9.2%	$1.50	$1.60	$0.60	—
FY2022	$14.06bn	+10.8%	$1.01	$1.68	$0.75	—
FY2023	$14.81bn	+5.4%	$1.55	$1.79	$0.80	—
FY2024	$15.35bn	+3.6%	$1.05	$1.92	$0.86	$12,912m
FY2025	$16.60bn	+8.2%	$1.53	$2.05	$0.92	$13,036m

Note: FY2024 GAAP EPS of $1.05 was depressed by $306m of goodwill and $412m of intangible-asset impairments. Long-term obligations were $12,912m at YE2024 and $13,036m at YE2025; the Q1 2026 figures rose sharply due to JDE Peet’s acquisition financing.

Quarterly net sales and EPS (most recent first):

Quarter	Revenue	Adjusted EPS	GAAP EPS
Q1 2026	$3.98bn	$0.39	$0.20
Q4 2025	$4.50bn	$0.60	$0.26
Q3 2025	$4.31bn	$0.54	$0.49
Q2 2025	$4.16bn	$0.49	$0.40
Q1 2025	$3.64bn	$0.42	$0.38
FY2025 total	$16.60bn	$2.05	$1.53

For FY2025, operating cash flow was $1,991m, capital expenditure was $486m, depreciation and amortisation totalled $753m and GAAP operating income was $3,575m. At YE2025 KDP held $1,026m of cash against $13,036m of long-term obligations and $3,105m of short-term borrowings and current debt.

6. Valuation

Raw metrics, June 2026. Not opinions on whether the stock is cheap or expensive.

Metric	Value
Market cap	~$43.9bn (Jun 2026)
Trailing P/E (GAAP)	~20.5x ($31.40 / FY2025 GAAP EPS $1.53)
P/E (forward)	~13.8x ($31.40 / ~$2.28 implied FY2026 adjusted EPS, on low-double-digit guided growth from $2.05)
P/S (TTM)	~2.6x (market cap ~$43.9bn / FY2025 revenue $16.60bn)
P/FCF	~29x (market cap ~$43.9bn / FCF ~$1.51bn; FCF = operating CF $1,991m − capex $486m per FY2025 cash flow statement)
Enterprise value	~$59.0bn (market cap ~$43.9bn + total debt ~$16.1bn − cash ~$1.0bn per YE2025 balance sheet; pre-JDE Peet’s close — post-deal net debt is materially higher)
EV/EBITDA (TTM)	~13.6x (EV ~$59.0bn / EBITDA ~$4.33bn; EBITDA = operating income $3,575m + D&A $753m per FY2025 statements)
52-week high	$35.94
52-week low	$24.88
Short interest (% of float)	Not published in retrieved sources; KDP short interest is historically low. Verify on Finviz/MarketBeat.
Days to cover	Not published in retrieved sources. Verify on Finviz/MarketBeat.

7. What They Are Building

KDP’s near-term agenda is dominated by two linked moves. First, the integration of JDE Peet’s, completed on 1 April 2026, which adds a near-300-year coffee heritage and a portfolio spanning more than 100 markets, with leading brands including Peet’s, L’OR and Jacobs. Second, the planned separation of the combined company into two independent, publicly traded businesses: a refreshment-beverage company (Beverage Co.) led by current CEO Tim Cofer, and a global coffee company (Global Coffee Co.), with Rafael Oliveira named as the future CEO of the coffee business. Management targets about US$400 million of cost synergies over three years and expects EPS accretion to begin in year one. Alongside the structural work, KDP continues to scale recently acquired growth brands such as GHOST in energy and Core Hydration in water, and to defend Dr Pepper’s newly won No. 2 position in U.S. carbonated soft drinks.

8. Competitive Landscape

KDP is the third-largest beverage company in North America, behind Coca-Cola and PepsiCo, and competes with global energy and coffee players. Market caps are as of June 2026.

Peer	Market cap (Jun 2026)	Key 2025 metric
The Coca-Cola Company (KO)	~$344bn	Roughly 47% U.S. carbonated soft-drink share
PepsiCo (PEP)	~$211bn	~$93.9bn trailing revenue
Monster Beverage (MNST)	~$88bn	Leading U.S. energy-drink player; +43.8% one-year share gain
Nestlé (coffee/water)	~$258bn	~$108bn revenue; rival in coffee and bottled water

9. Leadership and Ownership

Keurig Dr Pepper is led by Tim Cofer as Chief Executive Officer, with Anthony DiSilvestro as Chief Financial Officer; Rafael Oliveira has been named to lead the future Global Coffee Co. on separation. Recent Form 4 activity has been routine rather than directional: filings in March and June 2026 reflect restricted-stock-unit vesting and tax-withholding share dispositions (for example, SVP & Controller Angela A. Stephens’ RSU conversion on 1 June 2026 at $30.20), and director Robert Gamgort continued to hold roughly 1.94 million shares. There was no material insider open-market buying or selling that would signal a clear change in conviction during the period reviewed.

10. Key Risks

• Leverage and capital structure (Financial): the debt, preferred-stock and non-controlling-interest financing used for JDE Peet’s has sharply increased leverage and could constrain flexibility or pressure credit ratings.
• Integration and separation execution (Operational): combining JDE Peet’s while standing up two independent companies is complex, costly and could miss timing or synergy targets.
• Input-cost inflation (Macro): elevated green-coffee, aluminium and other commodity costs can compress margins faster than pricing can recover them.
• Coffee demand softness (Operational): declining U.S. Coffee volume/mix points to weak brewer and pod demand that may persist.
• Competitive intensity (Operational): Coca-Cola, PepsiCo, Monster and Nestlé compete aggressively on price, innovation and shelf space.
• Regulatory and tax (Regulatory): tariffs, trade restrictions and changes in tax rules could raise costs or disrupt supply chains.

11. Recent Developments

• 25 Aug 2025 — Acquisition and split announced. KDP agreed to acquire JDE Peet’s and to subsequently separate into two independent public companies, a refreshment-beverage player and a global coffee champion.
• 01 Apr 2026 — JDE Peet’s acquisition closed. KDP completed the roughly US$18.3 billion acquisition and named Rafael Oliveira as CEO of the future Global Coffee Co.
• 23 Apr 2026 — Q1 2026 results. Net sales rose 9.4% to $3.98bn; GAAP diluted EPS fell to $0.20 on transaction costs while adjusted EPS was $0.39. Full-year guidance was reaffirmed.
• 20 May 2026 — Dividend declared. The board declared a quarterly cash dividend of $0.23 per share, payable 10 July 2026 to holders of record on 26 June 2026.

12. Key Dates

• 10 Jul 2026 — Q2 2026 cash dividend payment date ($0.23 per share)
• 06 Aug 2026 — Second-quarter 2026 results and conference call (before market open)
• Expected 2026–2027 — Planned separation into Beverage Co. and Global Coffee Co.

For scheduled market-moving events, see our Economic Calendar, and discuss this company with other investors in the ChartsView Forum.

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Disclaimer: This research is produced by ChartsView for educational and informational purposes only. It does not constitute financial advice or a recommendation to buy or sell any security. All information is sourced from publicly available company filings, press releases, and official data. ChartsView does not use analyst opinions or third-party ratings. Always conduct your own due diligence and consider your personal financial situation before making investment decisions. Past performance is not indicative of future results.

See also: Technical analysis on Nike · Nike company tracker

Last Updated: 19 June 2026

NIKE, Inc. (NYSE: NKE) is the world's largest athletic footwear and apparel company, selling sneakers, sportswear and equipment under the Nike, Jordan and Converse brands through its own stores and digital channels and through wholesale partners worldwide. The Beaverton, Oregon company is in the middle of a difficult turnaround. Fiscal 2025 (ended 31 May 2025) revenue fell 10% to $46.3 billion and earnings more than halved as returning CEO Elliott Hill unwound a previous strategy that had over-emphasised Nike's own direct channels at the expense of wholesale partners and core sport categories. His "Win Now" plan — refocusing on performance sport, rebuilding retail relationships and clearing excess inventory — is designed to stabilise the business before returning it to growth. With fourth-quarter and full-year fiscal 2026 results due at the end of June 2026, this report lays out where Nike stands today using only its primary filings and current market data.

1. Company Snapshot

Field	Value
Company	NIKE, Inc.
Ticker / Exchange	NKE / NYSE
Sector	Consumer & Retail (athletic footwear & apparel)
CEO	Elliott Hill (President & CEO)
Headquarters	Beaverton, Oregon, USA
Employees	Approximately 76,000
Revenue (FY2025, ended 31 May 2025)	$46.3 billion
Net income (FY2025)	$3.2 billion
Diluted EPS (FY2025)	$2.16
Market capitalisation (Jun 2026)	Approximately $67 billion
Share price (15 Jun 2026)	$45.20
Shares outstanding	Approximately 1.48 billion
Dividend per share (FY2025)	Approximately $1.60

2. Investment Thesis: Bull vs Bear

Bull Case

• Iconic, defensible brand: Nike remains the dominant global sports brand with unmatched marketing reach, athlete and league partnerships, and the high-margin Jordan franchise — assets that competitors cannot easily replicate.
• Self-inflicted problems are fixable: Much of the recent decline stems from strategy missteps (over-rotating to direct channels, neglecting wholesale and sport categories) that the "Win Now" plan is directly reversing, rather than a permanent loss of brand relevance.
• Wholesale re-engagement is working: Wholesale revenue has begun growing again as Nike rebuilds relationships with retail partners, broadening distribution and helping clear inventory.
• Strong balance sheet and cash returns: Nike holds about $9.2 billion of cash and short-term investments, has raised its dividend for over two decades, and continues to buy back stock, giving it room to invest through the turnaround.
• Insider conviction: CEO Elliott Hill and directors including Tim Cook bought Nike shares in the open market in April 2026, a signal of management confidence near multi-year lows.

Bear Case

• Earnings are in a deep trough: FY2025 diluted EPS of $2.16 was down 42%, and FY2026 is expected to remain pressured by tariffs, promotions and inventory clean-up — the recovery timeline is uncertain.
• Greater China weakness: China sales have fallen for six consecutive quarters, removing what was once a key high-margin growth engine.
• Intensifying competition: Nike's share of the global sports-footwear market has slipped from roughly 25% in 2016 to about 19%, with On, Hoka, New Balance, Adidas and Skechers all gaining ground.
• Tariff and margin headwinds: Higher US tariffs represent an estimated ~$1 billion cost headwind, compressing gross margin until sourcing shifts and price increases take effect.
• Valuation prices in recovery: At roughly 21x trailing earnings on trough profits, the shares already embed an expectation that the turnaround succeeds.

3. Business Segments

Nike reports operationally by geography for the Nike Brand, plus its Converse subsidiary. The split below uses FY2025 revenue.

Segment	% of revenue	What it is
North America	Approximately 42% (~$19.6bn)	Nike Brand footwear, apparel and equipment across the United States and Canada — the largest single market.
Europe, Middle East & Africa (EMEA)	Approximately 26% (~$12.3bn)	Nike Brand sales across the EMEA region.
Greater China	Approximately 14% (~$6.6bn)	Nike Brand sales in mainland China, Hong Kong, Macau and Taiwan; historically high-margin but recently in decline.
Asia Pacific & Latin America (APLA)	Approximately 14% (~$6.3bn)	Nike Brand sales across the rest of Asia Pacific and Latin America.
Converse	Approximately 4% (~$1.7bn)	The Converse sneaker brand, reported separately from the Nike Brand.

4. Business Model & Competitive Position

An asset-light brand and design engine. Nike designs and markets products that are manufactured by independent contract factories, mostly in Asia. This keeps capital intensity low and gross margins high (42.7% in FY2025 even in a weak year), with value created through brand, design, athlete endorsements and marketing rather than factory ownership.

Two routes to the consumer. Nike sells through "Nike Direct" (its own stores and digital apps) and through wholesale partners. The previous strategy pushed hard toward direct, but that alienated retail partners and reduced the brand's shelf presence; the current plan rebalances toward a healthier mix of both, using wholesale to widen reach while keeping direct for premium experiences and data.

The turnaround under Elliott Hill. Hill, a Nike veteran who returned as CEO in late 2024, has reorganised the company around sport categories such as running, basketball and football, branded internally as the "sport offense." The near-term goals are to clear excess inventory, restore full-price selling, rebuild wholesale and reignite product innovation — setting the stage for a return to growth once tariff and promotional pressures ease.

5. Financial Health

Nike reports on a fiscal year ending 31 May. The five-year table below is drawn from Nike's annual results releases. Nike reports primarily on a GAAP basis, so the adjusted EPS column mirrors GAAP diluted EPS. Long-term debt is the year-end balance-sheet figure.

Year	Revenue	YoY %	GAAP EPS	Adjusted EPS	Dividend/share	Long-term debt (YE)
FY2025	$46.3bn	−10.0%	$2.16	$2.16	$1.60	$7.96bn
FY2024	$51.4bn	+0.3%	$3.73	$3.73	$1.48	$7.90bn
FY2023	$51.2bn	+9.6%	$3.23	$3.23	$1.33	$8.93bn
FY2022	$46.7bn	+4.9%	$3.75	$3.75	$1.19	$8.92bn
FY2021	$44.5bn	+19.1%	$3.56	$3.56	$1.07	$9.41bn

The quarterly table below shows Nike's four fiscal-2025 quarters, most recent first, with the bold full-year total. Nike reports diluted EPS on a GAAP basis, shown in both columns.

Quarter	Revenue	Adjusted EPS	GAAP EPS
Q4 FY2025 (ended May 2025)	$11.1bn	$0.14	$0.14
Q3 FY2025 (ended Feb 2025)	$11.3bn	$0.54	$0.54
Q2 FY2025 (ended Nov 2024)	$12.4bn	$0.78	$0.78
Q1 FY2025 (ended Aug 2024)	$11.6bn	$0.70	$0.70
FY2025 total	$46.3bn	$2.16	$2.16

Balance-sheet highlights at 31 May 2025: cash, cash equivalents and short-term investments of $9.2 billion (down about $2.4 billion year-on-year after share repurchases, dividends, debt repayment and capital spending); inventories of $7.5 billion; and long-term debt of $7.96 billion with no current portion of long-term debt outstanding. Full-year operating cash flow was $3.70 billion and depreciation and amortisation was $0.78 billion.

6. Valuation

Raw metrics, June 2026. Not opinions on whether the stock is cheap or expensive.

Metric	Value
Market cap	~$67bn (share price $45.20 × ~1.48bn shares, 15 Jun 2026)
Trailing P/E (GAAP)	~20.9x ($45.20 / $2.16 FY2025 diluted EPS, on trough earnings)
P/E (forward)	n/m — NIKE provides revenue and gross-margin guidance but not full-year EPS guidance; FY2026 is a turnaround-trough year that distorts any forward multiple
P/S (TTM)	~1.4x (~$67bn / $46.3bn FY2025 revenue)
Enterprise value	~$65.6bn (market cap ~$67bn + total debt ~$8.0bn − cash & short-term investments ~$9.2bn, per FY2025 balance sheet)
EV/EBITDA (TTM)	~14.9x (EV ~$65.6bn / EBITDA ~$4.4bn; EBITDA = operating income ~$3.6bn (gross profit $19.8bn less SG&A ~$16.2bn) + D&A $0.78bn). FY2025 earnings are depressed, so this multiple is elevated versus a normalised year.
P/FCF	~22x (~$67bn / FCF ~$3.0bn; FCF = operating CF $3.70bn − capex ~$0.7bn per FY2025 cash flow statement)
52-week high	$80.17
52-week low	$41.35
Short interest (% of float)	~3.5% (approximately 51 million shares short)
Days to cover	~2.6

7. Capital Returns & Balance Sheet

Nike has increased its dividend for more than two decades and paid roughly $1.60 per share in fiscal 2025; in November 2025 it raised the quarterly rate again to $0.41. Across FY2025 the company returned approximately $5.3 billion to shareholders through dividends and share repurchases, even as earnings fell — a reflection of confidence in the longer-term franchise and a strong balance sheet.

That balance sheet is a genuine strength during the turnaround: about $9.2 billion of cash and short-term investments against roughly $8.0 billion of long-term debt leaves Nike in a near-net-neutral position, with no current portion of long-term debt due. This gives management latitude to invest in product, marketing and inventory clean-up without balance-sheet strain. Track the share price and key technical levels on the ChartsView Live Charts page.

8. Peer Comparison

Nike competes against both established sportswear giants and fast-growing challenger brands. The table below shows the closest listed peers.

Peer	Market cap (Jun 2026)	Key 2025 metric
Adidas (ADS)	~$34bn (€31.5bn)	Nike's largest direct rival; returned to solid revenue growth in 2025 on strong demand for retro/lifestyle footwear.
On Holding (ONON)	~$28bn	Fast-growing premium running brand expanding at roughly 30% annually, taking performance-running share from Nike.
Deckers Outdoor (DECK)	~$16bn	Owner of fast-growing HOKA and UGG; HOKA has become a leading performance-running challenger to Nike.

9. Insider Activity

In contrast to many large caps, Nike has seen open-market insider buying near multi-year lows — generally read as a confidence signal.

Name	Date	Type	Shares	Price	Value	Plan Type
Elliott Hill (President & CEO)	13 Apr 2026	Open-market purchase	23,660	$42.27	~$1.0m	Discretionary
Tim Cook (Director)	10 Apr 2026	Open-market purchase	25,000	~$42	~$1.05m	Discretionary
Robert H. Swan (Director)	Late 2025	Open-market purchase	~8,700	n/a	n/a	Discretionary

10. Risk Factors

• Turnaround execution risk: The investment case depends on Elliott Hill's "Win Now" plan restoring growth and margins; any stall in inventory clean-up, wholesale recovery or product innovation would extend the earnings trough.
• Greater China deterioration: Six straight quarters of declining China sales threaten what was historically a high-margin growth engine, with competitive and macro pressures persisting.
• Competitive share loss: On, Hoka, New Balance, Adidas and Skechers continue to win share in performance and lifestyle categories, and regaining momentum is not guaranteed.
• Tariffs and input costs: Higher US tariffs represent an estimated ~$1 billion cost headwind that compresses gross margin until sourcing changes and price increases offset it.
• Consumer and macro sensitivity: As a discretionary brand, Nike is exposed to weaker consumer spending, foreign-exchange swings and promotional intensity across its key markets.
• Inventory and channel risk: Clearing excess inventory through wholesale and promotions can pressure margins and brand pricing in the near term.

11. Recent Developments

• 31 Mar 2026 — Q3 FY2026 results beat on earnings. Nike reported third-quarter revenue of $11.3 billion (roughly flat year-on-year) and EPS of $0.35, ahead of expectations, with wholesale up 5% but Greater China down 17% — a sixth consecutive quarterly decline there.
• Apr 2026 — Insider buying. CEO Elliott Hill purchased about $1.0 million of stock and director Tim Cook bought 25,000 shares in the open market, signalling management and board confidence near multi-year lows.
• 28 May 2026 — Q4 FY2026 earnings date set. Nike announced it will report fourth-quarter and full-year fiscal 2026 results on 30 June 2026.
• FY2026 — Tariff mitigation. Management flagged an estimated ~$1 billion tariff headwind and is responding with sourcing shifts and selective price increases, expecting gross-margin improvement to begin from the second quarter of fiscal 2027.
• 26 Jun 2025 — Full-year 2025 results. Nike reported FY2025 revenue of $46.3 billion (down 10%) and diluted EPS of $2.16, describing results as in line with expectations as the "Win Now" actions took hold.

12. Key Dates

• 30 Jun 2026 — Q4 and full-year fiscal 2026 earnings release and conference call
• 30 Sep 2026 — Expected Q1 fiscal 2027 earnings release (indicative)
• 31 Mar 2026 — Q3 fiscal 2026 results (reported)
• 26 Jun 2025 — Q4 and full-year fiscal 2025 results (reported)

Keep ahead of Nike's reporting calendar and other catalysts with the ChartsView Economic Calendar, and share your view on the turnaround on the ChartsView Forum.

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Disclaimer: This research is produced by ChartsView for educational and informational purposes only. It does not constitute financial advice or a recommendation to buy or sell any security. All information is sourced from publicly available company filings, press releases, and official data. ChartsView does not use analyst opinions or third-party ratings. Always conduct your own due diligence and consider your personal financial situation before making investment decisions. Past performance is not indicative of future results.

Last Updated: 01 Nov 2026

The Coca-Cola Company (NYSE: KO) is the world’s largest non-alcoholic beverage company. It mostly sells concentrate and syrups to independent bottlers, which make and distribute the drinks, and it also owns some bottling operations and finished-goods brands such as fairlife. FY2025 net revenues rose 2% to $47.9bn, comparable EPS rose 4% to $3.00 and GAAP EPS was $3.04. In 2026 growth has picked up: Q3 2026 organic revenue rose 7%, unit case volume rose 5% and comparable EPS rose 11% to $0.91. On 27 Oct 2026 the company raised its 2026 outlook to at least 5% organic revenue growth, at least 11% comparable EPS growth and at least $13.0bn of free cash flow. Since the last version of this report (18 Jun 2026) Henrique Braun has completed his first two quarters as CEO, the sale of a controlling stake in Coca-Cola Beverages Africa has won South African approval, and Coca-Cola is exploring a sale of Costa Coffee again. All figures come from Coca-Cola’s earnings releases and SEC filings. There are no analyst opinions, price targets or ratings in this report.

1. Company Snapshot

Field	Value
Ticker / Exchange	KO / NYSE
CEO / Leadership	Henrique Braun, CEO (since 31 Mar 2026); James Quincey, Executive Chairman; John Murphy, President and CFO; Rob Gehring, President of North America (named 25 Sep 2026)
Sector	Consumer staples — non-alcoholic beverages
Headquarters	Atlanta, Georgia
Employees	~65,900 at 31 Dec 2025, down from ~69,700 mainly because of bottler divestitures (FY2025 10-K)
Market cap	~$404.7bn ($94.08 at 30 Oct 2026 close × ~4,302m shares)
FY2025 Revenue	$47,941m net revenues (+1.9%)
FY2025 earnings	GAAP diluted EPS $3.04 (+23%); comparable EPS $3.00 (+4%); GAAP operating income $13,762m
Q3 2026	Net revenues $13,380m (+7%); organic revenue +7%; GAAP EPS $0.93; comparable EPS $0.91 (+11%)
Dividend	$0.53 quarterly ($2.12 annualised), the 64th consecutive annual increase; ~2.25% yield at $94.08

2. Bull & Bear Case

Bull Case

• Growth accelerating and guidance raised: Q3 2026 organic revenue rose 7% with unit case volume up 5%, and the 2026 outlook was raised to at least 5% organic growth and at least 11% comparable EPS growth.
• Zero Sugar momentum: Coca-Cola Zero Sugar volume rose 16% in Q3 2026, and low and no-calorie drinks put the company in a position to benefit from health and GLP-1 trends.
• Strong cash generation and dividend record: 2026 free cash flow is guided at least $13.0bn, and the $0.53 quarterly dividend was the 64th consecutive annual increase.
• Margins expanding: Q3 2026 comparable operating margin rose to 32.9% from 31.9%, and GAAP operating income rose 12%.
• Lighter, higher-margin model: Selling bottling operations in Africa and Southeast Asia and exploring an India listing cut 2027 revenue by about 8% but comparable EPS by only about 2%, according to the company.

Bear Case

• IRS tax dispute: Coca-Cola lost in the US Tax Court and has paid $6.0bn for 2007–2009. It estimates potential further tax and interest of about $14bn for 2010–2025 if it loses its appeal.
• Valuation near highs: The shares closed at $94.08 on 30 Oct 2026, close to the 52-week high of $95.37, at ~27.8x trailing GAAP EPS and ~26x EV/EBITDA.
• Soft pricing and North America: Q3 2026 price/mix rose only 1%, Asia Pacific price/mix fell 2% and North America unit case volume was flat.
• Portfolio changes shrink revenue: The company expects an acquisition and divestiture headwind of about 8% to 2027 comparable net revenues, mainly from deconsolidating Coca-Cola Beverages Africa.
• Heavy insider selling: Executive Chairman James Quincey sold more than 1.7m shares in 2026 and other executives also sold, with no open-market insider purchases found.

3. Business Segments

Coca-Cola reports four geographic operating segments plus Bottling Investments and Corporate. Percentages use Q3 2026 net revenues of $13,380m; intersegment eliminations of $(192)m make up the difference.

Segment	% of revenue	What it is
North America	40.3% ($5,386m, +3%)	Concentrate and finished drinks in the US and Canada, including fairlife, BODYARMOR and Minute Maid. Q3 operating income $1,766m.
Europe, Middle East & Africa	23.2% ($3,104m, +4%; organic +7%)	Concentrate sales to bottlers such as Coca-Cola Europacific Partners and Coca-Cola HBC, plus Costa Coffee. Q3 operating income $1,171m.
Latin America	14.6% ($1,958m, +25%; organic +16%)	Concentrate sales across Mexico, Brazil and the rest of the region. Q3 operating income $1,152m.
Asia Pacific	11.7% ($1,563m, +4%; organic +6%)	Concentrate sales in Japan, China, India, Southeast Asia and Oceania. Q3 operating income $563m.
Bottling Investments	11.4% ($1,523m, +13%)	Company-owned bottlers, mainly in Africa, India and Southeast Asia, several of which are being sold. Q3 operating income $205m.
Corporate	0.3% ($38m)	Head-office costs and other items. Q3 operating loss $(392)m.

4. Business Model & Moat

How it makes money. Coca-Cola sells concentrate and syrups to franchised bottlers, which pay for them and make, bottle and deliver the drinks. This keeps most factories, trucks and staff off Coca-Cola’s balance sheet and supports a comparable operating margin above 30%. Finished-goods businesses such as fairlife and the remaining company-owned bottlers add revenue at lower margins.

Brand and distribution moat. Coca-Cola owns some of the world’s best-known drink brands and sells through a bottling system that reaches retailers and restaurants in more than 200 countries and territories. That reach and the marketing budget behind it are very hard for new brands to copy.

Asset-light strategy. The company has spent years refranchising bottlers to partners. Deals now under way in Africa and Southeast Asia, and a possible listing of its Indian bottler, continue that shift.

5. Financial Health

Annual figures are from Coca-Cola’s Q4 earnings releases and SEC XBRL filings. Adjusted EPS is the company’s comparable (non-GAAP) EPS. Long-term debt is the non-current amount on the year-end balance sheet. Dividends are declared per share.

Fiscal Year	Revenue ($m)	YoY %	GAAP EPS	Adjusted EPS	Dividend/share	Long-term debt (YE)
FY2021	$38,655m	+17.1%	$2.25	$2.32	$1.68	$38,116m
FY2022	$43,004m	+11.3%	$2.19	$2.48	$1.76	$36,377m
FY2023	$45,754m	+6.4%	$2.47	$2.69	$1.84	$35,547m
FY2024	$47,061m	+2.9%	$2.46	$2.88	$1.94	$42,375m
FY2025	$47,941m	+1.9%	$3.04	$3.00	$2.04	$42,119m

FY2021 growth is against FY2020 net revenues of $33,014m, which were hit by the pandemic. FY2025 GAAP EPS includes gains on bottler and stake sales, partly offset by a $960m BODYARMOR trademark impairment in Q4.

Quarterly progression, most recent first, with the FY2025 total in bold:

Quarter / Half	Revenue	Adjusted EPS	GAAP EPS
Q3 2026	$13,380m	$0.91	$0.93
Q2 2026	$13,380m	$0.97	$1.03
Q1 2026	$12,472m	$0.86	$0.91
Q4 2025	$11,822m	$0.58	$0.53
Q3 2025	$12,455m	$0.82	$0.86
Q2 2025	$12,535m	$0.87	$0.88
Q1 2025	$11,129m	$0.73	$0.77
FY2025 total	$47,941m	$3.00	$3.04

Q1 2026 had six more days than Q1 2025, and Q4 2026 will have six fewer days than Q4 2025. Over the four quarters to 2 Oct 2026, net revenues were $51,054m, GAAP EPS ~$3.39 and comparable EPS ~$3.32.

Cash flow and balance sheet. All figures are from SEC XBRL data and Coca-Cola’s earnings releases (FY2025 10-K and Q3 2026 10-Q).

• Operating cash flow: $7,408m in FY2025, after a $6.1bn contingent payment for fairlife in Q1 2025; $12,471m in the nine months to 2 Oct 2026; $16,227m trailing twelve months.
• Capital expenditure: purchases of property, plant and equipment were $2,112m in FY2025 and $1,063m in the nine months to 2 Oct 2026, $1,945m trailing twelve months.
• Depreciation & amortisation: $1,050m in FY2025; $1,019m trailing twelve months.
• Operating income: GAAP operating income was $13,762m in FY2025 and $15,337m trailing twelve months.
• Debt at 2 Oct 2026: loans and notes payable $73m, current maturities of long-term debt $4,923m and long-term debt $36,623m, ~$41,619m in total.
• Cash at 2 Oct 2026: cash and equivalents $13,454m, short-term investments $231m and marketable securities $2,910m, ~$16,595m in total. Assets held for sale were $6,275m.

6. Valuation

Raw metrics, October 2026. Not opinions on whether the stock is cheap or expensive.

Metric	Value
Market cap	~$404.7bn (price $94.08 at 30 Oct 2026 close × ~4,302m shares)
Enterprise value	~$429.7bn (market cap ~$404.7bn + total debt ~$41.6bn − cash, short-term investments and marketable securities ~$16.6bn per 2 Oct 2026 balance sheet)
Trailing P/E (GAAP)	~27.8x (price $94.08 / TTM GAAP EPS ~$3.39, Q4 2025–Q3 2026). On TTM comparable EPS of ~$3.32 the multiple is ~28.3x
P/E (forward)	~28.3x ($94.08 / FY2026 comparable EPS of at least ~$3.33, implied by guidance of at least 11% growth on FY2025’s $3.00)
P/S (TTM)	~7.93x ($404.7bn / TTM net revenues $51.1bn)
EV/EBITDA (TTM)	~26.3x (EV ~$429.7bn / TTM EBITDA ~$16.4bn; EBITDA = GAAP operating income $15.34bn + D&A $1.02bn from the cash flow statement, Q4 2025–Q3 2026). Operating income is after the $960m Q4 2025 BODYARMOR impairment
P/FCF	~28.3x (market cap ~$404.7bn / TTM FCF ~$14.3bn; FCF = operating CF $16.2bn − capex $1.9bn, Q4 2025–Q3 2026)
Dividend yield	~2.25% ($2.12 annualised / $94.08)
52-week high	$95.37
52-week low	$67.27
Short interest (% of float)	~1.16% (49.6m shares at the 15 Oct 2026 settlement, MarketBeat; Yahoo Finance shows 1.16%)
Days to cover	~3.0 days (MarketBeat, on average volume of 16.9m shares; Yahoo Finance 3.06)

7. What Are They Building

Coca-Cola is focused on low and no-sugar drinks, dairy and protein, new marketing systems and a lighter bottling footprint.

• Zero Sugar and lighter drinks: Coca-Cola Zero Sugar volume rose 16% in Q3 2026 and Diet Coke rose 6%. The company also launched a US cane-sugar Coca-Cola alongside the existing recipe in autumn 2025.
• fairlife capacity: The $650m fairlife plant in Webster, New York, had a soft opening on 20 Aug 2026 and is designed to take 5–6m lb of milk a day, with three lines expected to be fully running in late 2026.
• Marketing and digital: A new Chief Digital Officer role was created in Jan 2026, and on 22 Oct 2026 the company named WPP Open X, Omnicom and Dentsu to run a new data and AI-driven marketing set-up from 01 Dec 2026.
• Affordability: Smaller packs such as mini cans are growing in North American convenience stores.
• Refranchising: Coca-Cola HBC is buying 75% of Coca-Cola Beverages Africa for $2.6bn, bottling operations in Singapore, Malaysia and Myanmar are held for sale, and the company is exploring a public listing of Hindustan Coca-Cola Holdings in India.

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8. Competitive Landscape

Coca-Cola competes with other soft drink, energy drink and bottling companies. Market caps are 30 Oct 2026 closing values from Yahoo Finance. Metrics come from each company’s FY2025 results.

Peer	Market cap (Oct 2026)	Key 2025 metric
PepsiCo (PEP)	~$187.2bn	FY2025 net revenue $93.9bn (+2%), core EPS $8.14, per PepsiCo Q4 2025 release
Monster Beverage (MNST)	~$92.7bn	FY2025 net sales $8.29bn (+10.7%), per Monster Q4 2025 release
Coca-Cola Europacific Partners (CCEP)	~$49.7bn	FY2025 revenue ~€20.9bn (+2.3%), per CCEP FY2025 results
Keurig Dr Pepper (KDP)	~$48.8bn	FY2025 net sales $16.6bn (+8.2%), adjusted EPS $2.05, per KDP Q4 2025 release
Celsius Holdings (CELH)	~$7.4bn	FY2025 revenue $2.52bn (+85.5%), per Celsius FY2025 release

Coca-Cola said it gained global value share in non-alcoholic ready-to-drink beverages in Q3 2026, but lost share in parts of EMEA.

9. Leadership & Insider Activity

Henrique Braun became CEO on 31 Mar 2026, succeeding James Quincey, who remains Executive Chairman. John Murphy is President and CFO. Form 4 filings in 2026 show only open-market sales by insiders, most of them alongside option exercises. The largest are listed below; grants and option exercises are not listed.

Name	Date	Type	Shares	Price	Value	Plan Type
Bruno Pietracci (Executive)	20 Aug 2026	Sale	111,365	$90.93	~$10.1m	Not verified
Nancy Quan (EVP)	19 Aug 2026	Sale	50,000	$90.39	~$4.5m	Not verified
John Murphy (President and CFO)	31 Jul 2026	Sale	152,483	$87.31	~$13.3m	No 10b5-1 box checked; after exercising options
James Quincey (Executive Chairman)	28–29 Jul 2026	Sale	527,087	~$90.05	~$47.5m	10b5-1 plan adopted 05 Mar 2026; after exercising options
James Quincey (Executive Chairman)	05 Jun 2026	Sale	436,296	$80.13	~$35.0m	Not verified
James Quincey (Executive Chairman)	07 May 2026	Sale	200,000	$78.90	~$15.8m	Not verified
James Quincey (then CEO)	03 Mar 2026	Sale	250,688	$79.14	~$19.8m	Not verified
James Quincey (then CEO)	03 Feb 2026	Sale	337,824	$77.10	~$26.0m	Not verified

Discuss insider activity on the ChartsView Forum.

10. Key Risks

• IRS tax litigation (Legal): The Eleventh Circuit heard Coca-Cola’s appeal against the Tax Court ruling on 25 Jun 2026, and no decision had been found by 1 Nov 2026. The company estimated potential further tax and interest of about $14bn for 2010–2025 at 31 Dec 2025 and says it is more likely than not to prevail. Its 2026 tax guidance excludes any loss.
• Currency (Macro): About 3 points of 2026 comparable EPS growth come from currency, and the company expects a slight currency headwind in 2027. Currency cut comparable EPS by 7 and 9 points in FY2023 and FY2024.
• Health trends and SNAP limits (Regulatory): GLP-1 weight-loss drugs and sugar reduction could cut demand for full-sugar drinks, and about 22 US states have USDA waivers restricting soda purchases with SNAP benefits.
• Sugar taxes and ingredients (Regulatory): The 10-K lists new beverage taxes, warning labels and scrutiny of sweeteners and colourings as risks.
• Pricing and volume (Market): Q3 2026 price/mix rose only 1%, Asia Pacific price/mix fell 2% and North America volume was flat, so growth relies on emerging-market volume.
• Portfolio change and execution (Operational): The Africa bottler sale, the Southeast Asia sales, a possible India listing and a renewed Costa sale process all change the business at once. An earlier Costa auction ended in Dec 2025 without a deal.
• Cyber and supply disruption (Operational): A ransomware incident suspended fairlife production in Jul 2026 before most output resumed on 27 Jul 2026, and the new Webster plant opened later than first planned.

11. Recent Developments

• 27 Oct 2026 — Q3 2026 results and guidance raised. Net revenues rose 7% to $13.38bn, organic revenue rose 7% and comparable EPS rose 11% to $0.91. The 2026 outlook was raised to at least 5% organic revenue growth, at least 11% comparable EPS growth and at least $13.0bn of free cash flow.
• 22 Oct 2026 — Marketing agency review completed. WPP Open X keeps global creative and most media, Omnicom wins North America media and Dentsu keeps Japan and Korea, from 01 Dec 2026.
• 15 Oct 2026 — Dividend declared. The board declared the regular $0.53 quarterly dividend, payable on 15 Dec 2026 to holders of record on 01 Dec 2026.
• 08 Oct 2026 — Costa sale explored again. Semafor reported that Coca-Cola is again exploring a sale of Costa Coffee, which it bought for about $5.1bn in 2018.
• 25 Sep 2026 — New North America head. Rob Gehring was named President of the North America operating unit.
• 11 Sep 2026 — Africa bottler deal approved. South Africa’s Competition Tribunal conditionally approved Coca-Cola HBC’s purchase of 75% of Coca-Cola Beverages Africa. Coca-Cola expects the deal to close in Q4 2026.
• 20 Aug 2026 — fairlife plant opens. The $650m fairlife plant in Webster, New York, began production with a soft opening.
• 16 Jul 2026 — fairlife cyber incident. A ransomware attack temporarily suspended fairlife production; most production at its four US plants had resumed by 27 Jul 2026, and the company called the incident not material.

Macro data that move consumer stocks are tracked on the Economic Calendar.

12. Key Dates

• 01 Dec 2026 — record date for the $0.53 quarterly dividend
• 15 Dec 2026 — payment of the $0.53 quarterly dividend
• Expected Dec 2026 — completion of Coca-Cola HBC’s purchase of 75% of Coca-Cola Beverages Africa (company expects Q4 2026)
• Expected Feb 2027 — Q4 and full-year 2026 results with 2027 guidance (date not yet announced; third-party calendars show 8–10 Feb 2027)
• Expected Feb 2027 — board decision on the 65th consecutive annual dividend increase (the last two were approved in mid-to-late February)
• Expected Jun 2027 — closing of the Singapore, Malaysia and Myanmar bottling sales, due by mid-2027
• TBC — Eleventh Circuit ruling on the IRS tax appeal

Coca-Cola has not yet confirmed its Q4 2026 results date or its 2027 annual meeting date.

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Disclaimer: This research is produced by ChartsView for educational and informational purposes only. It does not constitute financial advice or a recommendation to buy or sell any security. All information is sourced from publicly available company filings, press releases, and official data. ChartsView does not use analyst opinions or third-party ratings. Always conduct your own due diligence and consider your personal financial situation before making investment decisions. Past performance is not indicative of future results.

See also: Technical analysis on McDonald’s · McDonald’s company tracker

Last Updated: 18 June 2026

McDonald's Corporation is the world's leading global foodservice retailer, with more than 45,000 restaurants across over 100 countries, roughly 95% of which are owned and operated by independent franchisees. The model is as much real estate and royalties as it is hamburgers: McDonald's collects rent and a percentage of sales from franchisees, producing high-margin, recurring income that makes reported revenue of $26.9bn sit atop systemwide sales of around $139bn. This report examines McDonald's segments, financial health, valuation, peers and risks using only primary-source filings. For live pricing see our Live Charts and scheduled releases on the Economic Calendar.

1. Company Snapshot

Field	Value
Company	McDonald's Corporation
Ticker / Exchange	MCD (NYSE)
Sector / Industry	Consumer Discretionary — Quick-Service Restaurants
Headquarters	Chicago, Illinois, USA
CEO	Christopher J. Kempczinski (Chairman, President & CEO)
Employees	~150,000 company employees worldwide (plus ~2m in franchised restaurants), year-end 2025
Market cap	~$202bn (mid-June 2026)
Revenue (FY2025)	$26.885bn total revenues
Net income (FY2025)	$8.563bn
FY2025 GAAP diluted EPS	$11.95
Dividend (FY2025)	~$7.17 per share declared; quarterly rate raised to $1.86

2. Bull & Bear Case

Bull Case

• Franchise and real-estate moat: with ~95% of restaurants franchised, McDonald's earns high-margin rent and royalty income that is far more stable than operating restaurants directly.
• Value leadership: the McValue platform, including a sub-$3 menu and $4 breakfast deal, defends traffic against trade-down pressure and reinforces the brand's affordability positioning.
• Loyalty flywheel: loyalty sales grew roughly 20% to about $37bn across 70 markets in 2025, giving McDonald's a vast first-party data and personalisation advantage.
• Global scale and unit growth: a pipeline toward 50,000 restaurants supports durable systemwide-sales growth, with Q1 2026 comparable sales up 3.8% across all segments.
• Reliable capital return: McDonald's is a long-standing dividend grower, funding rising payouts and buybacks from dependable franchise cash flows.

Bear Case

• Stretched consumer: growth hinges on defending value perception; pressured low-income consumers and trade-down dynamics make pricing a constant balancing act.
• Franchisee margin squeeze: royalties and rent depend on franchisee profitability, which is pressured by labour, food and remodel-capex costs.
• Labour and wage legislation: rising minimum wages, such as California's fast-food wage law, lift cost bases for both company and franchised restaurants.
• Currency drag: with the majority of revenue earned abroad, a strong dollar consistently pulls reported growth below constant-currency results.
• Negative equity and leverage: McDonald's operates with a shareholders' deficit after years of debt-funded buybacks, leaving little balance-sheet cushion if cash flows weaken.

3. Business Segments

McDonald's reports three segments. Reported revenue skews to the U.S. and International Operated Markets because those restaurants are company-operated or conventionally franchised, whereas the developmental-licensed markets contribute large systemwide sales but only modest reported revenue.

Segment	% of revenue	What it is
U.S.	~41%	The home market — company-operated and franchised restaurants generating rent, royalties and company sales.
International Operated Markets	~49%	Wholly and majority-owned markets such as the UK, Germany, France, Canada and Australia.
International Developmental Licensed Markets & Corporate	~10%	Largely licensed/affiliated markets including Japan, China, Latin America and the Middle East; small in reported revenue but large in systemwide sales and restaurant count.

4. Competitive Moat

Brand and ubiquity. The Golden Arches is one of the most recognised brands worldwide, backed by unmatched real-estate locations and drive-thru density that newcomers cannot easily replicate.

Franchise economics. The asset-light franchise model converts global scale into high-margin, recurring rent and royalty streams, smoothing earnings through economic cycles.

Digital and loyalty. A rapidly scaling loyalty programme and digital ordering ecosystem deepen customer frequency and give McDonald's a data advantage in personalisation and value targeting.

5. Financial Health

McDonald's has delivered steady revenue and earnings growth over five years, funded by strong operating cash flow. The company deliberately runs with negative book equity — a result of debt-funded buybacks and dividends rather than operational weakness — so long-term debt has trended steadily higher.

Year	Revenue ($bn)	YoY %	GAAP EPS	Adjusted EPS	Dividend/share	Long-term debt (YE, $bn)
FY2021	$23.223	+21%	$10.04	$9.28	$5.25	$35.6
FY2022	$23.183	0%	$8.33	$9.27	$5.66	$35.9
FY2023	$25.494	+10%	$11.56	$11.56	$6.23	$37.2
FY2024	$25.920	+2%	$11.39	$11.72	$6.78	$38.424
FY2025	$26.885	+4%	$11.95	$12.20	$7.17	$39.973

Quarterly trend (most recent first), with the full-year 2025 total in bold:

Quarter	Revenue ($bn)	Adjusted EPS	GAAP EPS
Q1 2026	$6.517	$2.83	$2.78
Q4 2025	$7.009	$3.12	$3.03
Q3 2025	$7.078	$3.22	$3.18
Q2 2025	$6.843	$3.19	$3.14
FY2025 total	$26.885	$12.20	$11.95

FY2025 operating cash flow was $10.551bn with capital expenditure of $3.365bn, giving company-defined free cash flow of $7.186bn. Total depreciation and amortisation was approximately $2.0bn (full figure disclosed in the 10-K).

6. Valuation

Raw metrics, June 2026. Not opinions on whether the stock is cheap or expensive.

Metric	Value
Market cap	~$202bn (mid-June 2026)
Trailing P/E (GAAP)	~23.5x
P/E (forward)	~21.8x
P/S (TTM)	~7.5x (market cap ~$202bn / FY2025 revenue $26.885bn)
Enterprise value	~$241bn (market cap ~$202bn + total debt ~$40.0bn − cash ~$0.77bn per FY2025 balance sheet)
EV/EBITDA (TTM)	~16.7x (EV ~$241bn / EBITDA ~$14.4bn; EBITDA = operating income $12.39bn + D&A ~$2.0bn)
P/FCF	~28x (market cap ~$202bn / FCF $7.19bn; FCF = operating CF $10.55bn − capex $3.37bn per FY2025 cash flow statement)
52-week high	~$341.75
52-week low	~$271.85
Short interest (% of float)	~1.22%
Days to cover	~2.2 days

7. Growth Strategy & Capital Allocation

McDonald's growth rests on its "Accelerating the Arches" framework and a "three-for-three" emphasis on value leadership, marketing and menu innovation, supported by aggressive unit expansion toward a target of 50,000 restaurants. The McValue platform and loyalty programme are central to defending traffic and frequency in a value-conscious environment, with constant-currency systemwide sales growth of around 6% in Q1 2026. Capital allocation favours a steadily rising dividend — raised to a quarterly rate of $1.86 in 2026 — alongside share buybacks, funded by dependable franchise cash flows even as the balance sheet runs with negative equity. Share ideas with other investors on the ChartsView Forum.

8. Peer Comparison

Peer	Market cap (June 2026)	Key 2025 metric
Chipotle Mexican Grill (CMG)	~$59bn	FY2025 revenue ~$12bn+ with strong unit-level economics
Yum! Brands (YUM)	~$42bn	Owner of KFC, Taco Bell and Pizza Hut; nine-month 2025 revenue $5.70bn
Restaurant Brands International (QSR)	~$31bn	Owner of Burger King, Tim Hortons and Popeyes

9. Insider Activity

Insider activity at McDonald's in 2026 has been routine, driven by annual equity-award vesting and sell-to-cover transactions rather than discretionary buying. Chairman and CEO Christopher Kempczinski and CFO Ian Borden featured in the early-2026 filings; no notable open-market insider buying was recorded.

Name	Date	Type	Shares	Price	Value	Plan Type
Christopher J. Kempczinski	12 Feb 2026	Sale (post-vesting)	26,277	~$331.35	~$8.7m	Award-related
Christopher J. Kempczinski	13 Feb 2026	Sale (post-vesting)	26,276	~$333.54	~$8.8m	Award-related
Ian Borden	13 Feb 2026	Disposal (tax withholding)	2,368	~$331.35	~$0.8m	Sell-to-cover

10. Key Risks

• Consumer spending and value perception: growth relies on defending affordability; pressured consumers and trade-down behaviour make pricing a continuous balancing act.
• Franchisee financial health: royalties and rent depend on franchisee profitability, which is squeezed by labour, food and remodel-capex costs.
• Labour costs and wage legislation: rising minimum wages and tight labour markets raise both company and franchisee cost bases.
• Commodity and input inflation: volatility in beef, chicken, dairy, potatoes, packaging and energy can compress margins.
• Foreign-exchange exposure: with most revenue earned outside the U.S., a strong dollar materially dampens reported results.
• Competition and litigation: intense rivalry from Yum, Restaurant Brands, Chipotle, Starbucks and regional players, plus ongoing franchise-relations, labour and food-safety legal exposure.

11. Recent Developments

• 07 May 2026 — Q1 2026 earnings. Revenue rose 9% to $6.517bn with global comparable sales up 3.8% and positive across all segments; GAAP EPS was $2.78 and adjusted EPS $2.83.
• 21 Apr 2026 — McValue expansion. McDonald's broadened its value platform with an "Under $3 Menu" and a $4 breakfast meal deal to defend traffic and value perception.
• 16 Jun 2026 — Dividend paid. The quarterly dividend of $1.86 per share was paid, reflecting the increase declared in late 2025.
• 11 Feb 2026 — FY2025 results. Full-year revenue reached $26.885bn with EPS of $11.95; loyalty sales grew about 20% to roughly $37bn across 70 markets.
• 2026 — Restructuring continues. The "Accelerating the Organization" programme proceeds, with related pre-tax charges recorded in 2025.

12. Key Dates

• 05 Aug 2026 — Expected Q2 2026 earnings release (before market open)
• 15 Sep 2026 — Expected Q3 2026 quarterly dividend payment
• 04 Nov 2026 — Expected Q3 2026 earnings release
• 15 Dec 2026 — Expected announcement of the next annual dividend increase

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Disclaimer: This research is produced by ChartsView for educational and informational purposes only. It does not constitute financial advice or a recommendation to buy or sell any security. All information is sourced from publicly available company filings, press releases, and official data. ChartsView does not use analyst opinions or third-party ratings. Always conduct your own due diligence and consider your personal financial situation before making investment decisions. Past performance is not indicative of future results.