$Coca-Cola FEMSA (KOF.US)$The Mexican company, which was lis...

It has grown amid fluctuations in revenue over the past 5 years, with an average growth rate of 4.4%, and an average growth rate of 3.3% in operating profit. Net profit shrank sharply in 2019 and 2020 due to other revenue, with an average growth rate of 6.8% in the past 4 years. Interest expenses in 2022 accounted for 7.9% of operating profit, and the interest burden is reasonable. The gross margin has basically been around 45% in the past 5 years, and the return on net assets increased to 15.4% in 2022.

In the first three quarters of 2023, revenue increased 9.2%, operating profit increased 12.9%, and net profit increased 19%.

Currently, the price-earnings ratio is 19.3, and the price-earnings ratio is TTM 15.9. If net profit increases by 19% for the whole year, the price-earnings ratio will drop to 16.2, and the dividend ratio will drop to 3.5%. The dividends have been basically stable for the past 10 years. The valuation is still somewhat high compared to the long-term net profit growth rate. Let's wait and see.