CCH  Coca Cola Hellenic Bottling Co

Exchange

NYSE

Sector

Consumer Non-Durables

Industry

Beverages (Production/Distribution)

Market Cap.

8.499B

Vuru Grade

45.07/100

Current Price

$23.33
0.00 (0.00%)

Growth Price

$18.97
Overvalued by 18.68%

Stability Price

$4.76
Overvalued by 79.59%

Company Metrics

  • P/E 30.54
  • P/S 0.93
  • P/B 2.23
  • EPS 0.764
  • Cash ROIC 9.34%
  • Cash Ratio 0.30
  • Dividend 0.666 / 2.85%
  • Avg. Vol. 19,768.00
  • Shares 364.29M
  • Market Cap. 8.499B

Company Description

Coca-Cola Hellenic Bottling Company S.A. engages in the production, sale, and distribution of alcohol-free beverages primarily in Europe. It principally operates as a bottler of The Coca-Cola Company's products. The company offers sparkling, still, and water beverages, as well as combined still and water beverages, including juices, waters, sports and energy drinks, and other ready-to-drink bevera... more


Download 10 Years of Financial Statements:
Income Statement   Balance Sheet   Cash Flow

News

32.43
MarketWatch - Aug 7, 2014
Coca-Cola HBC AG ADR. Coca-Cola HBC AG holding company, engages in the production, sale, and distribution of ready-to-drink, primarily non-alcoholic beverages, under franchise from the Coca-Cola company.
A Look at the Health of Coca-Cola Hbc Ag ADR (CCHGY)
Nelson Research - 11 hours ago
Coca-Cola Hbc Ag ADR (CCHGY)'s previous close was $-0.23. Previous close refers to the prior day's value of a given security.
What Next for COCA-COLA HBC AG ADR (CCHGY) Stock
BZ Weekly - Nov 10, 2017
Penny stock shareholders are becoming inquisitive about COCA-COLA HBC AG ADR (OTCMKTS:CCHGY), following the fact that the share price has moved $0.79, reaching the $21.75 price level in a recent trade.
How Social Networks Are Helping Coca Cola Win The Soda War With Pepsi In ...
Seeking Alpha - Dec 31, 2011
CCH is traded in the US as an ADR listed on the NYSE, and is the second largest Coke bottler in the world by volume after Coca-Cola Enterprises; it is a riskier investment because it operates in distressed European economies such as Italy and Ireland, ...
COCA-COLA HBC ADR : The Queen Recognises Investment Success with Royal Visit ...
4-traders (press release) - Oct 22, 2010
Her Majesty The Queen, accompanied by His Royal Highness The Duke of Edinburgh, today visited the Coca-Cola Hellenic bottling plant in County Antrim, Northern Ireland, to tour the recently opened factory and to officially open the new Coca-Cola ...
Swiss Stock Market Craters 10%: Let's Analyze Four Swiss ADRs
Seeking Alpha - Jan 15, 2015
As far as I could tell Coca-Cola HBC AG (OTC:CCHBF) is no longer listed on the NYSE and trades on the US OTC market and thus I am no longer interested in it.
Coca-Cola Hbc Ag ADR (CCHGY) Price Holds Above Ichimoku Cloud
The Times - Jun 14, 2017
Coca-Cola Hbc Ag ADR (CCHGY) shares opened the last session at $34.0700, touching a high of $34.5300 and a low of $34.0700 , yielding a change of 0.79.
UK stocks close higher after weak construction figure hits pound
MarketWatch - Oct 3, 2017
U.K. stocks closed with gains Tuesday, helped by the pound's stumble after disappointing construction data suggested the British economy is slowing further.
Coca-Cola Hellenic (OTC:CCHGY) Was Downgraded by JP Morgan to Neutral; Cohu ...
Herald KS - Nov 13, 2017
Cohu Incorporated (NASDAQ:COHU) had a decrease of 7.52% in short interest. COHU's SI was 465,800 shares in November as released by FINRA.
European stocks end slightly higher, stretch winning run to 9 sessions
MarketWatch - Oct 3, 2017
European stock markets closed with small gains Tuesday after trading in tight ranges, as investors absorbed developments in Catalonia after the weekend's chaotic independence vote.
Growth Rate Assumed by Market

We did a reverse valuation to calculate the growth rate the market is assuming for CCH to be considered fairly valued at its current market price. It's useful to compare this to the growth rate we're assuming for the Growth Price.

Future Free Cash Flow Growth Rate

This is the annual growth rate we've applied to calculate CCH's Free Cash Flow for the next 10 years. To calculate it, we looked at several time periods of the last 10 years. Feel free to adjust it, but we limit the initial growth rate to 20% and slow it down over the years. Otherwise, long-term sustainability issues come into play.

Discount Rate

The discount rate is the annual rate of return an investor requires to take the risk of investing in a single stock. To account for that risk, this should be above 8-10%, as this is the avg. annual rate of return for the S&P500 over the past 100 years.

$23.33 Current Price

$18.97 Growth Price (DCF)

Overvalued by 18.68%


Growth Rate Assumed by Market: 6.65%


Future Free Cash Flow Growth Rate: -3.9%


Discount Rate: 15.0%


Show Free Cash Flow numbers

$4.76 Stability Price (EPV)

Overvalued by 79.59%


Discount Rate: 15.0%

$29.64 Book Price

Undervalued by 27.03%


Poor Cash Return on Invested Capital over the past 5 years

CCH has been unable to consistently generate sufficient returns from its investments in buildings, projects and equipment. This could be due to poor management, lack of an economic moat or the capital intensive nature of the business.

CCH has only created $9.34 of cash for every $100 invested.
Figures in EUR. Fiscal year ends in December
20122013201420152016
Free Cash Flow 358.10M 404.70M 35.95M 407.80M 415.50M
divided by
Invested Capital 4.58B 4.46B 455.06M 3.54B 4.02B
Cash ROIC 7.83% 9.08% 7.90% 11.53% 10.35%

Poor Return on Equity over the past 5 years

CCH has shown an inability to deliver strong results for shareholders. This could be due to poor management, CCH operating in a highly competitive industry, or having a weak business in general.

CCH has only generated $7.93 of Earnings for every $100 of Shareholders' Equity.
Figures in EUR. Fiscal year ends in December
20122013201420152016
Net Income 193.40M 221.20M 37.95M 280.70M 344.00M
divided by
Stockholders' Equity 3.01B 2.97B 994.16M 2.82B 2.87B
Return on Equity 6.43% 7.45% 3.82% 9.95% 12.00%

Excellent Business Performance over the past 10 years

CCH has been able to maintain profitability in good times and bad. This could mean CCH has an extremely strong business or has the ability to scale down costs when needed. This should be a fairly resilient business, but double check for future sustainability by looking at its Risk Factors in the Annual Report.

CCH has created positive free cash flow for 9 or more of the past 10 years.
Figures in EUR. Fiscal year ends in December
2007200820092010201120122013201420152016
Free Cash Flow 169.00M 286.80M 613.30M 611.70M 474.90M 358.10M 404.70M 35.95M 407.80M 415.50M

Weak Balance Sheet

CCH's financial position is not ideal. The key is to check whether CCH is using debt to fuel its growth and the sustainability of that tendency. Highly capital intensive businesses (see Economic Moat) follow this route, which can deeply impact the future prospects of the business.
Figures in EUR. Fiscal year ends in December
2007200820092010201120122013201420152016
Cash 175.99M 750.00M 243.60M 330.30M 491.80M 452.70M 752.00M 570.39M 504.30M 581.10M
Current Assets 1.70B 2.38B 1.75B 1.93B 2.05B 1.97B 2.15B 669.28M 1.87B 2.06B
Total Assets 7.85B 7.52B 6.80B 7.23B 7.24B 7.25B 7.27B 1.18B 6.53B 6.56B
Current Liabilities 1.55B 2.27B 1.64B 2.04B 1.92B 2.22B 2.07B 156.30M 2.49B 1.97B
Total Liabilities 4.32B 4.68B 4.30B 4.25B 4.34B 4.24B 4.31B 187.58M 3.71B 3.70B
Stockholder' Equity 3.54B 2.84B 2.49B 2.99B 2.90B 3.01B 2.97B 994.16M 2.82B 2.87B
Current Ratio 1.09 1.05 1.06 0.95 1.07 0.89 1.04 4.28 0.75 1.05
TL-to-TA 0.55 0.62 0.63 0.59 0.60 0.59 0.59 0.16 0.57 0.56

Consistent Reinvestment of Profits over the past 10 years

CCH has consistently retained profits. This may put CCH in a strong position to invest for the future, by buying new machinery, investing in R&D or a number of other options. By effectively using these earnings, CCH can greatly improve their long-term economic picture.
Figures in EUR. Fiscal year ends in December
2007200820092010201120122013201420152016
Retained Earnings 1.56B 993.00M 1.21B 1.74B 1.64B 1.90B 2.13B 235.57M 2.82B 3.12B
Retained Earnings Growth - -36.49% 22.00% 43.71% -5.76% 15.50% 12.14% -88.91% 1,095.60% 10.77%

Highly Competitive Industry over the past 10 years

It's likely that CCH is in an industry with low barriers to entry, spurring high competition. If Gross Margins are at least satisfactory, it's likely CCH invests heavily in R&D and Sales, General & Administrative expenses.

Only $4.65 of every $100 of Revenue have been profit, on average over the past 10 years.
Figures in EUR. Fiscal year ends in December
2007200820092010201120122013201420152016
Net Income 494.91M 227.60M 421.60M 434.90M 268.90M 193.40M 221.20M 37.95M 280.70M 344.00M
divided by
Revenue 6.18B 6.98B 6.54B 6.79B 6.85B 7.04B 6.87B 1.46B 6.35B 6.22B
Net Profit Margin 8.01% 3.26% 6.44% 6.40% 3.92% 2.75% 3.22% 2.60% 4.42% 5.53%

Shrinking Pricing Power over the past 10 years

CCH has shrinking gross margins, suggesting that they are no longer able to set prices without consideration of the cost of goods sold. As gross margins shrink, CCH's flexibility to weather inflationary enviroments will diminish, which weakens their overall economic moat. Look at its future prospects to determine sustainability and whether the economic moat will continue to shrink or if it will rebound.

$35.85 of every $100 worth of sales have been Gross Profit, on average over the past 10 years.
Figures in EUR. Fiscal year ends in December
2007200820092010201120122013201420152016
Gross Profit 2.53B 2.81B 2.64B 2.74B 2.60B 2.52B 2.44B 202.80M 2.33B 2.30B
divided by
Revenue 6.18B 6.98B 6.54B 6.79B 6.85B 7.04B 6.87B 1.46B 6.35B 6.22B
Gross Margin 40.96% 40.27% 40.32% 40.39% 37.87% 35.81% 35.43% 13.87% 36.67% 36.96%

High Capital Intensity over the past 10 years

CCH spends large amounts of capital buying new equipment or investing in new facilities to stay competitive. Over the long term, those costs may have to be fuelled by debt. Look at the growth of Shareholders' Equity to see if this strategy is having a positive or negative impact.

159.21% of Profits are being spent on Capital Expenditures, like Property, Plant, & Equipment, required to run the business.
Figures in EUR. Fiscal year ends in December
2007200820092010201120122013201420152016
Capital Expenditure 571.02M 590.50M 383.90M 376.20M 370.80M 395.50M 380.20M 116.25M 331.50M 347.80M
divided by
Net Income 494.91M 227.60M 421.60M 434.90M 268.90M 193.40M 221.20M 37.95M 280.70M 344.00M
Capital Expenditure Ratio 115.38% 259.45% 91.06% 86.50% 137.90% 204.50% 171.88% 306.29% 118.10% 101.10%

Inconsistent Dividend History over the past 10 years

CCH has started distributing dividends in the past couple years or has recently suspended their dividend distribution. The reliability of future distributions is unclear.
Figures in EUR. Fiscal year ends in December
2007200820092010201120122013201420152016
Dividend Paid 82.90M 102.80M 107.60M 109.00M 6.50M - 123.70M - 131.10M 144.70M
divided by
Shares Outstanding 363.90M 366.30M 365.60M 363.50M 363.80M 367.55M 365.20M 26.99M 365.20M 363.50M
Dividend Paid Per Share 0.30 0.38 0.39 0.40 0.02 - 0.45 - 0.48 0.53
Price at Year End 41.78 13.88 22.76 26.19 16.70 22.64 28.82 23.33 4.42 4.48
Dividend Yield 0.73% 2.71% 1.73% 1.53% 0.14% - 1.57% - 10.88% 11.90%

History of Stock Buybacks over the past 10 years

CCH has some history of delivering increased value for shareholders in the form of stock buybacks. These have helped improve financial metrics and increase each shareholders' relative ownership stake in the company, due to fewer shares outstanding and holding the same number of shares.
Figures in EUR. Fiscal year ends in December
2007200820092010201120122013201420152016
Shares Outstanding 363.90M 366.30M 365.60M 363.50M 363.80M 367.55M 365.20M 26.99M 365.20M 363.50M
Stock Bought Back - -0.65% 0.19% 0.58% -0.08% -1.02% 0.64% 1,253.07% -92.61% 0.47%
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