12 Best Consistent Dividend Stocks to Buy

3. PepsiCo, Inc. (NASDAQ:PEP)

Number of Hedge Fund Holders: 69

PepsiCo, Inc. (NASDAQ:PEP) ranks third on our list of the best dividend stocks with consistent payouts. It is commonly known as a beverage company but it also offers a wide variety of drinks under its well-known brand. The company has a diverse product portfolio that extends beyond beverages, as it also manufactures and sells snacks and packaged food products. In fact, its snack division is a major strength, with its Frito-Lay business securing the top spot in the salty snack market, even as PepsiCo holds the second-largest share in the non-alcoholic beverage industry.

In fiscal year 2024, PepsiCo, Inc. (NASDAQ:PEP) maintained steady earnings, generating $91.8 billion in revenue, a slight increase from $91.4 billion the previous year. Operating profit grew from $11.9 billion in FY23 to $12.8 billion, while net income also improved, reaching $9.6 billion. For 2025, the company anticipates low-single-digit organic revenue growth and mid-single-digit growth in core constant currency earnings per share (EPS).

PepsiCo, Inc. (NASDAQ:PEP) maintains a strong cash position, having generated $12.5 billion in operating cash flow during FY24. For the upcoming fiscal year, the company plans to return around $7.6 billion to shareholders through dividend payments. On February 3, it announced a 5% increase in its annual dividend to $5.69 per share, marking its 53rd consecutive year of dividend growth. As of March 22, the stock supports a dividend yield of 3.73%.