Coca-Cola and PepsiCo Post Results -- Is the Fizz Running Out of the Food & Beverage Sector?

Coca-Cola and PepsiCo Post Results -- Is the Fizz Running Out of the Food & 
Beverage Sector? 
LONDON -- (Marketwire) -- 02/14/13 --  The food and beverage sector
has been at the forefront of traders' minds this week, with the
world's largest soft drinks maker Coca-Cola announcing results on
Tuesday, 12 February, and peer PepsiCo reporting later today. 
Coca-Cola shares fell following its results announcement, with the
company missing analyst expectations for fourth quarter revenues.
Revenues grew 4% to $11.46 billion, missing consensus forecasts for a
sharper rise to $11.53 billion. Despite the miss, Coca-Cola remains
confident that it will meet its full-year global volume growth
targets of between 3% and 4%. Analysts are widely expecting PepsiCo
to announce a 0.8% rise in revenue to $19.7 billion, and a 9% slide
in earnings per share to $1.05 -- its fourth consecutive quarter of
declining profit growth.  
The Pepsi Challenge 
If PepsiCo's results slide below analyst estimates, this could
disappoint investors and put downward pressure on the stock, pushing
prices lower in the coming days. However, if the results beat
expectations, this could have a positive impact on Pepsi's share
Spread betting can be a great way of taking advantage of the share
price moves of companies such as Coca-Cola and PepsiCo, especially
during earnings season. With spread betting, you can make a profit
irrespective of whether a company's share price moves up or down. If
you expect prices to rise, you go long or buy the company's shares.
If, however, you expected shares to fall, you simple need to go short
or sell the company's shares. If you were right and prices move in
the direction you had anticipated, you would net a profit. However,
if prices move against you, you would net a loss that could exceed
your initial deposit if you do not manage your risk. 
To potentially profit from any positive or negative price movement in
PepsiCo shares when it posts results today, all you need to do is
determine whether you expect prices to rise or fall following the
results announcement and take a position accordingly. 
Find out more about spread betting with financial spread betting
provider City Index.  
With spread betting your losses are magnified in the same way as your
gains if the market moves against you and can result in losses
exceeding your initial outlay. Please ensure you fully understand the
risks involved. 
Joshua Raymond
City Index
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