Coca-Cola Co (KO) is overvalued and Primo Brands Corp (PRMB) is slightly undervalued.
Against our estimates of intrinsic value, PRMB trades at the wider discount: a margin of safety of +9%, against -80% for KO.
Values as of the 22 Sept 2026 close.
Discounting its cash flows at 7.4% (average of 3 methods) values the shares at $49.15; the price of $88.61 is 80% above that value, and 82% of that value comes from beyond year five.
Leak Score 65/100 on 10 of 12 signals
Discounting its cash flows at 7.3% (average of 3 methods) values the shares at $21.64; the price of $19.64 is 9% below that value, and 83% of that value comes from beyond year five.
Leak Score 0/100 on 2 of 12 signals
| Metric | KO | PRMB |
|---|---|---|
| Verdict | Overvalued | Slightly undervalued |
| Price | $88.61 | $19.64 |
| Intrinsic value | $49.15 | $21.64 |
| Margin of safety | -80% | +9% |
| Leak Score | 65/100 (10/12) | 0/100 (2/12) |
| Market cap | $381.2B | $7.1B |
| Revenue growth, 5 years | 7.9% | 27.8% |
| Operating margin | 31.9% | 10.4% |
| Net margin | 28.3% | 1.5% |
| Return on equity | 44.2% | 3.6% |
| Debt to equity | 1.20 | 1.91 |
| P/E | 26.7x | 71.8x |
| Forward P/E | 25.1x | 13.2x |
| P/B | 10.6x | 2.4x |
| Dividend yield | 2.5% | 2.4% |