One-glance verdict
Undervalued
$71.16 our estimate vs market $23.61
67% below our estimate, below the bear case
Fundamentals snapshot
Embotelladora Andina S.A.
AKO-A · NYQ · Consumer Defensive · Beverages - Non-Alcoholic
Current price
$23.61
52-week range
$20.02 - $26.96
Market cap
$3.72B
Balance sheet
Watch
7.14x Adequate
Net cash $0.00. Interest coverage shows how many times profit covers the interest bill.
What stands out
3 Rewards
3 Risks
3 rewards · 3 risks
- Reward Revenue grew 3.7% last year.
- Reward Returns 23.7% on equity, ahead of 66% of its peers.
- Risk Stock trades 97965.7% above its 5-year average P/E.
- Risk Operating margin compressed from 12.8% to 0.0% over 3 years.
What this company does
Embotelladora Andina S.A.
Embotelladora Andina S.A. is a big drink company that makes and sells Coca-Cola drinks, along with many other popular beverages like juices, water, and even some alcoholic drinks and snacks, across South America. Most of their earnings come from selling these drinks, and their financial health is often looked at through how much money they keep after paying for things like making the drinks and getting them to stores (their operating margin). This matters because it shows how efficiently they run their business and how much profit they can make from what they sell.
How the company got here
Embotelladora Andina S.A. has a long history, starting in 1946. It began by bottling and distributing Coca-Cola products in Chile. Over the decades, the company grew by expanding its territory and product offerings. A key turning point was its expansion into other Latin American countries like Brazil, Argentina, and Paraguay, transforming it into a regional beverage powerhouse. This growth was fueled by strategic acquisitions and a focus on building a strong distribution network.
What it actually does
Embotelladora Andina S.A. is essentially a major bottler and distributor of beverages. Think of them as the company that takes the concentrate from brands like Coca-Cola and turns it into the finished drinks you buy in stores. They also bottle and sell a wide variety of other drinks, including juices, teas, energy drinks, and even water. Beyond their own brands, they also distribute alcoholic beverages and even some snacks and ice cream for other companies.
Coca-Cola Trademark Beverages
This is the core of Embotelladora Andina's business, where they bottle and distribute well-known drinks like Coca-Cola, Sprite, and Fanta. They also handle other Coca-Cola owned brands such as Powerade (an isotonic drink, which helps replenish fluids and electrolytes lost during exercise) and Minute Maid juices. This segment is the largest part of their operations, making up a significant portion of their overall sales and revenue.
Other Beverages
Beyond the Coca-Cola umbrella, Embotelladora Andina bottles and distributes a diverse range of other non-alcoholic drinks. This includes various fruit juices and flavored beverages, iced teas, seed-based drinks, and energy drinks like Monster and Reign. They also offer purified and mineral water under their own brands. This segment allows them to cater to a wider variety of consumer tastes and preferences.
Alcoholic Beverages and Other Products
Embotelladora Andina also acts as a distributor for a variety of alcoholic beverages from other brands, such as Campari, Aperol, and various wines and spirits. Additionally, they are involved in distributing confectionery items like Mentos, ice cream, and even some beers. While not their primary focus, these diverse product lines help them leverage their extensive distribution network and reach more consumers.
What management is betting on now
Management is focused on strengthening their position in the markets where they operate, which includes Chile, Brazil, Argentina, and Paraguay. They are likely investing in expanding their production capacity and improving their distribution efficiency to ensure their products reach consumers effectively. A key priority is likely to continue growing sales of both their core Coca-Cola products and their expanding portfolio of other beverages and consumer goods, adapting to changing consumer demands.
Price history
How the share price has moved
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Is it cheap or expensive?
Fair value $71.16 vs current price $23.61
Our most-likely fair value is $71.16 a share — about 201.4% above today's price of $23.61, so the stock currently looks cheap (undervalued).
Is it drowning in debt?
Watch
Net cash $0 - more cash than debt. Interest coverage 7.1x.
Net debt
$0.00
Interest coverage
7.14x
Embotelladora Andina S.A.'s profit covers its interest bill about 7.1 times over.
Watch
Worse cushion
Baseline
Better cushion
AKO-A
BASELINE
Embotelladora Andina S.A.
Total debt — Interest coverage 7.14x This is the baseline the peer rows are being compared against.
Total debt $5.06B Interest coverage 8.00x +12% vs AKO-A Has roughly the same debt cushion as AKO-A.
Total debt $13.64B Interest coverage 10.19x +43% vs AKO-A Carries about 1.4x more debt cushion than AKO-A.
Total debt $2.62B Interest coverage 22.28x +212% vs AKO-A Carries about 3.1x more debt cushion than AKO-A.
Total debt $3.44B Interest coverage 8.91x +25% vs AKO-A Carries about 1.2x more debt cushion than AKO-A.
Total debt $33.53B Interest coverage 4.84x -32% vs AKO-A Carries about 1.5x less debt cushion than AKO-A.
What you should know
The case for and against AKO-A
3 Rewards
3 Risks
Rewards
-
Revenue grew 3.7% last year.
-
Returns 23.7% on equity, ahead of 66% of its peers.
-
Free cash flow was positive in 4/10 years.
Risks
-
Stock trades 97965.7% above its 5-year average P/E.
-
Operating margin compressed from 12.8% to 0.0% over 3 years.
-
Net debt grew 8.2% over 3 years.
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
12.69x
Forward P/E
—
P/B
0.02x
P/S
—
EV/EBITDA
—
PEG ratio
1.22x
Profitability
How much profit each dollar creates
Gross margin
39.5%
Operating margin
0.0%
Net margin
8.3%
ROE
23.7%
ROA
8.7%
Health
Liquidity and balance-sheet strength
Debt / equity
0.86x
Current ratio
1.61x
Quick ratio
1.03x
Total debt
—
Total cash
—
Growth
How the business has been compounding
Revenue TTM
$3.38B
Revenue 5Y CAGR
8.0%
EPS TTM
1.86
EPS 5Y CAGR
28.9%
Cash flow
How much cash the business throws off
Operating CF TTM
—
Free CF TTM
$185.31M
FCF margin
5.5%
Dividend
Shareholder payout
Yield
3.8%
Payout ratio
19.8%
Last ex-div date
2026-10-23