Three Beverage Stocks to Buy When Thirsting for a Profit

Three beverage stocks to buy when thirsting for a profit could help to refresh personal portfolios.

Three beverage stocks to buy when thirsting for a profit address one of the keys to survival. The basic necessities for life are food, water, clothing, sleep and shelter. But, like many other industries in the 20th and 21st centuries, the beverage business has expanded far past just satisfying the basic need for water.

From energy drinks to coffee to sodas, there are many ways for people to quench their thirst. The variety creates plenty of opportunities for investors.

Worldwide, beverage market revenue is expected to show an annual growth rate of 10.04% beginning in 2024, resulting in a projected market volume of $380.4 billion by 2029, according to statista. As for 2024 alone, beverage market revenue is projected to reach $235.7 billion.

The beverage industry is impacted by trends, such as people turning to health-conscious choices. The result is beverages are evolving into all kinds of niche products.

The beverage industry can be assured of daily consumption of its products by consumers. Investing in this industry offers investors a refreshing way to seek profits in helping to meet one of life’s essential needs.

Three Beverage Investments to Buy When Thirsting for a Profit: Coca-Cola (NYSE:KO)

The Coca-Cola Company (NYSE: KO) is the largest non-alcoholic beverage company worldwide. Founded in Atlanta, Georgia over a century ago, the company’s unique business model and expansive list of products has made it a very profitable business.

While Coca-Cola is famous throughout the world for its popular sodas, the brand has expanded from the original creation. According to the company’s website, Coca-Cola has 200 brands worldwide, including Dasani, Gold Peak Tea, Powerade and Minute Maid.

In an article from The Motley Fool, Coca-Cola was listed as a stock that could be a wealth-builder, as the company has reliably paid a dividend for decades. Coca-Cola also has raised its dividend payment every year for the past 62 years.

Plus, Coca- Cola has been in investment guru Warren Buffett’s portfolio at Berkshire Hathaway for decades, and many see it as a solid long-term investment. From a collective 20 analysts tracked by www.StockRover.com, the beverage titan is given an overall rating of buy.

Chart courtesy of www.StockCharts.com.

Three Beverage Investments to Buy When Thirsting for a Profit: Celsius Holdings, Inc. (NASDAQ: CELH)

Celsius Holdings Inc. (NASDAQ: CELH), of Boca Raton, Florida, is an energy drink company that has been gaining popularity in the last few years. CELH makes lifestyle energy drink CELSIUS that is marketed as a better-for-you, zero-sugar alternative to traditional beverages.

“CELSIUS inspires global communities of fitness enthusiasts and promotes active lifestyles by disrupting the rapidly growing performance energy space,” the company claimed.

With the help of social media, technology and other innovations, the fitness industry has expanded in the past decade. According to a report from fitness group Personal Trainer Pioneer, the industry has experienced significant growth, which is shown by an increase in market value, revenue and the sheer number of fitness-related businesses and gym memberships.

As more people begin their athletic and fitness journeys, there is a demand for energy drinks like the ones Celsius advertises, its caffeinated beverage with zero-sugar.

Recently, Celsius Holdings (CELH) is getting a stock lift after revealing that Amazon (AMZN) and international sales drove revenue higher, according to yahoo finance.

In the Q2 2024 earnings call, John Fieldly, CEO of Celsius Holdings Inc., expressed optimism when talking about the company.

Celsius reported record second-quarter 2024 financial results recently across revenue, profit, gross margin that broadly reflect its positive momentum in an otherwise challenging macro environment, Fieldly said.

Based on ratings from 15 analysts at www.StockRover.com, the energy drink brand is given the rating of strong buy.

Chart courtesy of www.StockCharts.com.

Three Beverage Investments to Buy When Thirsting for a Profit: PepsiCo Inc. (NASDAQ: PEP)

Harrison, New York-based PepsiCo Inc. (NASDAQ: PEP) is a global leader in snacks and beverages, as it owns several household name brands, including the beverages Pepsi, Mountain Dew and Gatorade, among others. It is the second-largest beverage provider in the world, behind Coca-Cola.

The first Pepsi-Cola was created by a pharmacist in New Bern, North Carolina, in response to the popular soda known as Coca-Cola. PepsiCo has also taken advantage of tapping into the athletic market, as it has owned The Gatorade Company since 2001. The popular electrolyte drink is featured at many sports games and comes in several different flavors.

According to an article from The Motley Fool, the business has proven stable, as the board of directors has increased dividends for 52 straight years, including a 7% hike earlier this year.

It has a year-to-date gain of 3.82% so far in 2024. A consensus of 10 analysts followed by www.StockRover.com rates it as a buy.

Chart courtesy of www.StockCharts.com.

An Alternative Offers Sweetness

Another stock worth mentioning is Charlotte, North Carolina-based Krispy Kreme Inc., (NASDAQ: DNUT), a provider of doughnuts in the United States, the United Kingdom, Ireland, Australia, New Zealand, Mexico, Canada, Japan and elsewhere. But, on top of the cult classic donuts it sells, it also includes specialty coffee on its menus.

Mark Skousen, editor in chief of Forecasts & Strategies, a popular award-winning investment newsletter, likes the outlook for DNUT, mentioning it in one of his four trading services, Skousen Low-Priced Stock Trader.

In a previous alert from the service, Skousen explained that first-quarter earnings came in 17% higher than the Wall Street consensus. Due to expansion of the franchise throughout the United States, this stock is one to watch.

Jim Woods, a 30-plus-year veteran of the markets with varied experience as a broker, hedge fund trader, financial writer, author and newsletter editor, has also made successful beverage stock picks in the past in his service Bullseye Stock Trader.

Despite a volatile market, the beverage sector is worth looking at for investors who are thirsty and eager to make a profit.