Can drinks duo Coca-Cola and PepsiCo continue to deliver earnings fizz?

Higher selling prices have helped the consumer staples pair to beat forecasts and raise guidance, so far

Investors will be watching to see how price increases have impacted volumes when beverages giant CocaCola (KO:NYSE) and snacks-to-soft drinks rival PepsiCo (PEP:NASDAQ) serve up first quarter results on 24 April and 25 April respectively.

Affordable treats such as fizzy drinks or crisps can get consumers through the stresses of everyday life, but there is a limit to how many price increases shoppers can swallow before higher selling prices dampen demand. The market will be thirsty to digest commentary around pricing, raw material inflation and supply chain challenges from Coca-Cola’s James Quincey and PepsiCo’s Ramon Laguarta, while the absence of sales and earnings per share growth upgrades could leave a sour taste. [JC]