Which company has a higher market capitalization?

Coca-Cola has a higher market capitalization than Pepsi, primarily due to its larger global brand recognition, extensive distribution network, and diversified product portfolio, which includes not just soft drinks but also a variety of beverages across categories.

Market capitalization is calculated by multiplying a company's stock price by its outstanding shares. Coca-Cola, as one of the most valuable brands in the world, tends to exhibit a higher stock price and has historically maintained a stronger market position compared to Pepsi, which, while also a strong brand, has a different market strategy and product focus.

Additionally, Coca-Cola's profitability and brand loyalty have contributed to its sustained higher market capitalization over time. This reflects investor confidence in Coca-Cola's growth prospects and stability in the beverage industry. In contrast, Pepsi has been focusing more on diversifying into snacks and other food products, which may affect its market perception relative to Coca-Cola’s core strengths in beverages.