Coke Vs. Coffee: Can Coca-Cola Stay Fizzy? Starbucks' Rebound After Earnings?

Tuesday's earnings day showdown pits Coca-Cola Co KO against Starbucks Corp SBUX — and investors are brewing some strong opinions. Will fizzy classics or frothy lattes win?

Warren Buffett’s Coca-Cola Bet Is More Cheers Than Jeers

Coke’s bubbling optimism is hard to miss. Shares are up 16% year-to-date, and technically, KO is giving off more cheers than jeers.

Chart created using Benzinga Pro

Despite slight selling pressure, KO stock is flashing multiple bullish signals against its 20-day, 50-day, and 200-day moving averages. Plus, Warren Buffett‘s Berkshire Hathaway continues to sip the stock, holding a robust 9.3% stake – the portfolio’s fourth-largest holding. As Coca-Cola reports its first quarter earnings, Wall Street expects the company to post $0.72 in EPS and $11.14 billion in revenue.

Helping the buzz? Coke is uncorking its iconic “Share a Coke” campaign for a Gen Z revival, aiming to blend IRL nostalgia with viral shareability. “The iconic Share a Coke is back and supercharged at a global level,” hyped Islam ElDessouky, Global VP of Creative at Coca-Cola. In a world where likes feel fleeting, Coke is betting that real-world connections and personalized cans will pour back the love.

Starbucks Needs A Caffeine Boost

Meanwhile, Starbucks needs more than a caffeine boost. Shares have sunk over 9% year-to-date and a sharp 14% this month.

Chart created using Benzinga Pro

Despite some flickers of buying pressure, SBUX stock remains technically bearish against longer-term averages. When it reports Tuesday afternoon, Wall Street analysts expect $0.50 EPS and $8.86 billion in revenue.

All eyes are on new CFO Rachel Ruggeri, who's brewing a turnaround after a bitter stretch of slumping sales. “It's about getting real-world moments, amplified,” says Starbucks leadership, but investors are wondering if new management can re-steam the brand before customers cool completely.

In the battle of Coke versus Coffee, one stock looks ready to pop – the other might need a double shot.

Read Next: