The Coca-Cola Company KO stock has rolled down 11.3% in the past three months. With this decline, KO shares have underperformed the broader Consumer Staples sector’s dip of 8.2% and the S&P 500’s rally of 2.

Companies that make shareholders wealthy must be efficient and profitable, and Coca-Cola meets both criteria. In a given year, the company converts roughly 20% to 30% of its sales into free cash flow and earns a solid 15% return on invested capital. In other words, good things happen when Coca-Cola invests in the business.

Historically, Coca-Cola KO and PepsiCo PEP have been popular stocks among hedge funds and institutional investors. Speaking to the credibility of Coca-Cola and Pepsi stock, both are owned by renowned institutional investors such as Vanguard Group and BlackRock BLK.