Benzinga | Jan 4, 2022 07:51AM EST

Guggenheim Turns Bullish On This Beverage Giant

* Guggenheim analyst Laurent Grandet upgraded Coca-Cola Co (NYSE:KO) to Buy from Neutral with a price target of $66, up from $61, implying an 11.31% upside.

* Grandet said the company is exiting the fiscal 2021 transition year "stronger."

* The analyst added Coca-Cola is seeing strong emerging markets despite low vaccination rates and that its on-premise sales are recovering faster than expected.

* Grandet thinks the company's portfolio rationalization should lead to a "more focused and agile organization" with gross margin benefits.

* The analyst views Coca-Cola's valuation as "compelling" at current share levels and sees 12% annual earnings growth through FY23.

* Price Action: KO shares are trading higher by 0.94% at $59.86 in premarket on the last check Tuesday.