Not all market participants have the same goal of trying to grow their capital base as much as possible. Some investors are after a steady income stream. Coca-Cola (KO +3.46%) has proven to excel in this regard.
This is a top dividend stock, without a doubt. Here's how many shares of the beverage giant you'd need for $10,000 in yearly dividends.
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Coca-Cola currently pays a quarterly dividend of $0.53, which equals $2.12 on an annual basis. With the recent stock price at $76.82, investors need to spend more than $362,000 to own 4,717 shares to generate $10,000 in income in a single year.
The stock's dividend yield of 2.76% is much better than that of the S&P 500 index, which is notable. But investors should be most excited by the fact that Coca-Cola has raised the quarterly payout for 64 straight years. There's no reason to believe that this incredible streak is going to come to an end anytime soon.
NYSE: KO
Key Data Points
During the first quarter of fiscal 2026, the business reported $4 billion in net income relative to $12.5 billion in revenue, resulting in a strong 32% margin. It has the financial resources to continue returning capital to shareholders.
Given that demand for Coca-Cola's products faces minimal cyclicality, the company's operations are stable, supporting ongoing dividend payments regardless of macro conditions.
