Is Coca-Cola a dividend stock?
The company is a Dividend King, meaning it has raised its shareholder payout at least once annually for a minimum of 50 years.
As of today, Coca-Cola Co currently has a 12-month trailing dividend yield of 3.02% and a 12-month forward dividend yield of 3.19%. This suggests an expectation of increased dividend payments over the next 12 months. Over the past three years, Coca-Cola Co's annual dividend growth rate was 3.90%.
Coca-Cola's Dividend Is Well Covered By Earnings
The next year is set to see EPS grow by 27.6%. Assuming the dividend continues along recent trends, we think the payout ratio could be 62% by next year, which is in a pretty sustainable range.
The long-term outlook is highly positive for co*ke's cash trends, and so investors can count on further steady dividend growth over the coming years (and decades).
| Stock | Trailing annual dividend yield* |
|---|---|
| AT&T Inc. (T) | 6.3% |
| Verizon Communications Inc. (VZ) | 6.3% |
| Healthpeak Properties Inc. (DOC) | 6.6% |
| Altria Group Inc. (MO) | 8.8% |
If you invested in the company 10 years ago, that decision could have paid off. According to CNBC calculations, a $1,000 investment in Coca-Cola in 2009 would be worth more than $2,800 as of Feb. 15, 2019.
It is possible to achieve financial freedom by living off dividends forever. That isn't to say it's easy, but it's possible. Those starting from nothing admittedly have a hard road to retirement-enabling passive income.
Is Coca-Cola stock a Buy, Sell or Hold? Coca-Cola stock has received a consensus rating of buy. The average rating score is A1 and is based on 37 buy ratings, 9 hold ratings, and 0 sell ratings.
Coca-Cola. This dividend powerhouse has increased its dividend every year for 62 years straight.
The Company normally pays dividends four times a year, usually April 1, July 1, October 1 and December 15. Shareowners of record can elect to receive their dividend payments electronically or by check in the currency of their choice.
Should you invest in co*ke or Pepsi?
Pepsi is the cheaper stock, but investors might still prefer paying the premium for co*ke over its less expensive rival. Sure, you can own Pepsi for 2.5 times sales, or less than half of co*ke's price-to-sales (P/S) ratio of 5.6. You'll get roughly the same 3% dividend yield in either case.
The company isn't apt to cede this market-leading position either, for a couple of reasons. One of them is the fact that it's been marketing its products so well for so long that Coca-Cola has become an important part of the culture and lifestyle; much of its revenue is rooted in habit.
But over the past 5 years the soda maker has underperformed the market and disappointed its loyal following. Coca-Cola stock has been the victim of quickly changing consumer tastes and, so far, its efforts to revive the public's interest in soda have been lackluster at best.
| Dividend Stock | Current Dividend Yield* | Analysts' Implied Upside* |
|---|---|---|
| Johnson & Johnson (JNJ) | 3.1% | 25.3% |
| Merck & Co. Inc. (MRK) | 2.4% | 10.6% |
| Chevron Corp. (CVX) | 4% | 30.8% |
| Coca-Cola Co. (KO) | 3.3% | 18.1% |
The five stocks on the NYSE or Nasdaq with the highest forward dividend yield that also trade for $25 or less as of April 2024 include Jiayin Group Inc., Petroleo Brasileiro, Frontline Plc, Hercules Capital, and Apollo Commercial Real Estate Finance, Inc.
| Name | Price | Analyst Price Target |
|---|---|---|
| CVX Chevron | $156.71 | $183.60 (17.16% Upside) |
| EOG EOG Resources | $132.59 | $146.71 (10.65% Upside) |
| ET Energy Transfer | $15.21 | $18.33 (20.51% Upside) |
| HESM Hess Midstream Partners | $34.74 | $37.50 (7.94% Upside) |
Buffett first began buying more than 23 million shares of Coca-Cola in 1988 at $2.73 per share (split-adjusted price). The stock split 2-to-1 four times after that; he increased his 6.3% stake to 7.8% by 1994 and more than 9% today.
Coca-Cola is a safe stock for dividend investors and with $15 billion in cash and top line revenue of $45 billion dollars, the company has plenty of resources to grow.
Berkshire currently owns 400 million shares of Coca-Cola. This means that on an annualized basis, Warren Buffett's company generates $736 million in dividend income from the beverage giant. That is a huge passive income stream that likely explains why Buffett isn't exiting the position.
Can an investor really get rich from dividends? The short answer is “yes”. With a high savings rate, robust investment returns, and a long enough time horizon, this will lead to surprising wealth in the long run. For many investors who are just starting out, this may seem like an unrealistic pipe dream.
How much dividend stock do I need to make $1000 a month?
In a market that generates a 2% annual yield, you would need to invest $600,000 up front in order to reliably generate $12,000 per year (or $1,000 per month) in dividend payments.
This broader mix of stocks offers higher payouts and greater diversification than what you'll get with the Invesco QQQ Trust. And if you've got a large portfolio totaling more than $1.1 million, your dividend income could come in around $50,000 per year.
Coca-Cola stock price stood at $58.51
According to the latest long-term forecast, Coca-Cola price will hit $60 by the end of 2024 and then $65 by the end of 2026. Coca-Cola will rise to $75 within the year of 2027, $80 in 2028, $90 in 2029, $95 in 2030, $100 in 2031 and $110 in 2033.
Coca-Cola sees annual adjusted profit to be between 4% and 5%, compared to LSEG estimates of a 4.5% growth. Its net revenue rose 7.4% to $10.95 billion beating expectations of $10.68 billion while adjusted profit of 49 cents came in line with estimates.
The highest analyst price target is $250.00 ,the lowest forecast is $158.00. The average price target represents 16.30% Increase from the current price of $172.86. What do analysts say about Apple? Apple's analyst rating consensus is a Moderate Buy.
