Coca-Cola Amatil Ltd’s Changing Market

Coca-Cola Amatil Ltd [ASX:CCL] has revealed at their AGM why the company is expecting a flat 2017. Sweet is no longer a big ticket item, as sales of sugar-filled soft drinks continue to fall.

David Gonski, the departing chairman as of Tuesday, affirmed the company’s position in his final speech. He did not mention the flagship brand once. His focus — providing ‘the right drink for every occasion.’

Diversification seems to be the name of the game. You only have to look at the launches of new and spin-off products. While Coke Life failed to boost sales, Barista Bros iced coffee proved to be a hit locally. This validates the company’s constant push for new products. An ongoing price for bottled water is also primarily to blame for a poor outlook. Numerous analysts highlight Mount Franklin’s higher cost as a big drawback.

What does this mean for Coca-Cola Amatil Ltd shareholders?

Investors looking to get out can take advantage of a share buyback program. There are still $268 million worth of shares available under the scheme.

While the news hasn’t impacted the share price yet, investors will clearly be looking for stronger signs of growth in the future. The household brand can tide small dips, but they won’t want to make a habit of it.

If you’re concerned about falling stock prices, I suggest you read up on Vern Gowdie’s report: ‘Sell These Five “Fatal” Stocks Now’. He provides a detailed look at why big name stocks might prove deadly. (Note that CCL is not among these five stocks.)

Vern’s expert, defensive financial plans can help you avoid the fallout of a bursting bubble by getting out before it’s too late.

For the full report, click here.

Ryan Clarkson-Ledward,

Free Report Reveals:

How You Could Turn $9,800 into $127,000 in Eight Simple Steps

Warren Buffett left college in 1951 with $9,800. Four years later he was worth $127,000.

Today… he’s the second richest man in the world with a $64 billion fortune.

How?

Through the principles of value investing.

In this special investor report, leading value investing expert Greg Canavan shows you exactly how to start making money the same way.

Enter your email in the box below and you’ll learn:

• Buffett’s five point checklist of an outstanding business (most investors are completely unaware of these points – to their detriment!)
• How to rocket your returns with this ONE rule (you’ll be ahead of 95% of investors with this single powerful secret)
• An inside view into keeping YOUR name off the suckers list (learn how to easily avoid dud stocks that lose you money).
• And much, much more…

To download your special investor report right now, take out a FREE subscription to Money Morning. for FREE today. Simply enter your email in the box below and click ‘Subscribe Now’.

We will collect and handle your personal information in accordance with our Privacy Policy. You can cancel your subscription at any time.

• Bio
• Latest Posts

Ryan Clarkson-Ledward

Latest posts by Ryan Clarkson-Ledward (see all)

• Innate Immunotherapeutics Share Price has Bombed 91.25% - 27/06/2017
• Clinical Trial Comment Sends Paradigm Share Price Plummeting - 16/06/2017
• NZ Milk Company a2 Upgrades Outlook, Share Price Rises - 16/06/2017
• Capitol Health Sell Off Sends Share Price Up - 14/06/2017
• Novatti Group Share Price Surged 30% in a day, why? - 13/06/2017