Bank of America Merrill Lynch: The fundamentals of Coca-Cola Company (KO.US) remain stable, reiterates "buy" rating.

Bank of America Corp issued a research report, reaffirming its "buy" rating on Coca-Cola Company (KO.US) and raising its target price from $77 to $78 to reflect the company's better-than-expected earnings per share in the second quarter. However, analysts at Bank of America Corp stated that despite Coca-Cola Company's second quarter earnings beating expectations, the stock performed poorly on the day of the earnings release, mainly due to lower-than-expected unit sales and overall market pressure. The analyst acknowledged that Coca-Cola Company faces short-term challenges, but pointed out that third quarter sales trends are expected to improve, which could help boost performance sequentially. Coca-Cola Company's fundamentals remain strong, benefiting from over fifty years of consistent dividend increases and a global brand reputation. Coca-Cola Company is one of the world's largest beverage companies. The company is best known for its soft drink, "Coca-Cola," and also produces, markets, and distributes a variety of beverages, including carbonated soft drinks, non-alcoholic beverage concentrates and syrups, and alcoholic beverages. As of the stock market close on August 8th, Coca-Cola Company fell by 0.13% to $70.34. The stock has risen by nearly 15% year-to-date, outperforming the S&P 500 index.