Best Free-Cash-Flow Margins: Consumer Defensive
The Consumer Defensive cash machines of the S&P 500
Updated October 11, 2026
Cash conversion is structural before it’s managerial — an asset-light business model throws off more of each sales dollar than a capital-hungry one, whoever runs it. So the fair question isn’t whether a Consumer Defensive company clears a market-wide bar; it’s who converts best inside the sector, where everyone faces roughly the same capital demands. The Consumer Defensive median free-cash-flow margin is 10%; these are the names furthest above it.
| # | Stock | FCF margin | Free cash flow (TTM) | Revenue (TTM) |
|---|---|---|---|---|
| 1 | MOAltria Group, Inc.Tobacco | 38% | $8.3B | $21.9B |
| Tobacco — converts 38% of revenue to free cash ($8.3B on $21.9B in sales), against a Consumer Defensive median of 10%. | ||||
| 2 | PMPhilip Morris International Inc.Tobacco | 30% | $12.7B | $42.5B |
| Tobacco — converts 30% of revenue to free cash ($12.7B on $42.5B in sales), against a Consumer Defensive median of 10%. | ||||
| 3 | KOThe Coca-Cola CompanyBeverages - Non-Alcoholic | 29% | $14.3B | $50.1B |
| Beverages - Non-Alcoholic — converts 29% of revenue to free cash ($14.3B on $50.1B in sales), against a Consumer Defensive median of 10%. | ||||
| 4 | BF.BBrown-Forman CorporationBeverages - Wineries & Distilleries | 24% | $925M | $3.9B |
| Beverages - Wineries & Distilleries — converts 24% of revenue to free cash ($925M on $3.9B in sales), against a Consumer Defensive median of 10%. | ||||
| 5 | MNSTMonster Beverage CorporationBeverages - Non-Alcoholic | 23% | $2.1B | $9.2B |
| Beverages - Non-Alcoholic — converts 23% of revenue to free cash ($2.1B on $9.2B in sales), against a Consumer Defensive median of 10%. | ||||
| 6 | HSYThe Hershey CompanyFood Confectioners | 21% | $2.5B | $12.2B |
| Food Confectioners — converts 21% of revenue to free cash ($2.5B on $12.2B in sales), against a Consumer Defensive median of 10%. | ||||
| 7 | CLColgate-Palmolive CompanyHousehold & Personal Products | 18% | $3.9B | $21.0B |
| Household & Personal Products — converts 18% of revenue to free cash ($3.9B on $21.0B in sales), against a Consumer Defensive median of 10%. | ||||
| 8 | PGThe Procter & Gamble CompanyHousehold & Personal Products | 18% | $15.9B | $87.0B |
| Household & Personal Products — converts 18% of revenue to free cash ($15.9B on $87.0B in sales), against a Consumer Defensive median of 10%. | ||||
| 9 | CHDChurch & Dwight Co., Inc.Household & Personal Products | 18% | $1.1B | $6.2B |
| Household & Personal Products — converts 18% of revenue to free cash ($1.1B on $6.2B in sales), against a Consumer Defensive median of 10%. | ||||
| 10 | SJMThe J. M. Smucker CompanyPackaged Foods | 17% | $1.6B | $9.2B |
| Packaged Foods — converts 17% of revenue to free cash ($1.6B on $9.2B in sales), against a Consumer Defensive median of 10%. | ||||
| 11 | KMBKimberly-Clark CorporationHousehold & Personal Products | 15% | $2.6B | $16.6B |
| Household & Personal Products — converts 15% of revenue to free cash ($2.6B on $16.6B in sales), against a Consumer Defensive median of 10%. | ||||
| 12 | KHCThe Kraft Heinz CompanyPackaged Foods | 15% | $3.8B | $24.9B |
| Packaged Foods — converts 15% of revenue to free cash ($3.8B on $24.9B in sales), against a Consumer Defensive median of 10%. | ||||
| 13 | KVUEKenvue Inc.Household & Personal Products | 14% | $2.1B | $15.4B |
| Household & Personal Products — converts 14% of revenue to free cash ($2.1B on $15.4B in sales), against a Consumer Defensive median of 10%. | ||||
| 14 | PEPPepsiCo, Inc.Beverages - Non-Alcoholic | 13% | $12.7B | $98.2B |
| Beverages - Non-Alcoholic — converts 13% of revenue to free cash ($12.7B on $98.2B in sales), against a Consumer Defensive median of 10%. | ||||
| 15 | MKCMcCormick & Company, IncorporatedPackaged Foods | 12% | $926M | $7.7B |
| Packaged Foods — converts 12% of revenue to free cash ($926M on $7.7B in sales), against a Consumer Defensive median of 10%. | ||||
| 16 | TAPMolson Coors Beverage CompanyBeverages - Alcoholic | 12% | $1.3B | $11.1B |
| Beverages - Alcoholic — converts 12% of revenue to free cash ($1.3B on $11.1B in sales), against a Consumer Defensive median of 10%. | ||||
| 17 | KDPKeurig Dr Pepper Inc.Beverages - Non-Alcoholic | 10% | $2.0B | $20.1B |
| Beverages - Non-Alcoholic — converts 10% of revenue to free cash ($2.0B on $20.1B in sales), against a Consumer Defensive median of 10%. | ||||
| 18 | DLTRDollar Tree, Inc.Discount Stores | 9% | $1.9B | $20.1B |
| Discount Stores — converts 9% of revenue to free cash ($1.9B on $20.1B in sales), against a Consumer Defensive median of 10%. | ||||
| 19 | ELThe Estée Lauder Companies Inc.Household & Personal Products | 9% | $1.3B | $15.0B |
| Household & Personal Products — converts 9% of revenue to free cash ($1.3B on $15.0B in sales), against a Consumer Defensive median of 10%. | ||||
| 20 | GISGeneral Mills, Inc.Packaged Foods | 8% | $1.5B | $18.3B |
| Packaged Foods — converts 8% of revenue to free cash ($1.5B on $18.3B in sales), against a Consumer Defensive median of 10%. | ||||
| 21 | CAGConagra Brands, Inc.Packaged Foods | 8% | $877M | $11.2B |
| Packaged Foods — converts 8% of revenue to free cash ($877M on $11.2B in sales), against a Consumer Defensive median of 10%. | ||||
| 22 | MDLZMondelez International, Inc.Food Confectioners | 8% | $3.1B | $39.7B |
| Food Confectioners — converts 8% of revenue to free cash ($3.1B on $39.7B in sales), against a Consumer Defensive median of 10%. | ||||
| 23 | STZConstellation Brands, Inc.Beverages - Wineries & Distilleries | 8% | $715M | $9.2B |
| Beverages - Wineries & Distilleries — converts 8% of revenue to free cash ($715M on $9.2B in sales), against a Consumer Defensive median of 10%. | ||||
| 24 | CPBCampbell Soup CompanyPackaged Foods | 7% | $678M | $9.7B |
| Packaged Foods — converts 7% of revenue to free cash ($678M on $9.7B in sales), against a Consumer Defensive median of 10%. | ||||
| 25 | HRLHormel Foods CorporationPackaged Foods | 6% | $781M | $12.1B |
| Packaged Foods — converts 6% of revenue to free cash ($781M on $12.1B in sales), against a Consumer Defensive median of 10%. | ||||