13 Best Warren Buffett Dividend Stocks To Invest In Right Now

7. The Coca-Cola Company (NYSE:KO)

Number of Hedge Fund Holders: 69

The Coca-Cola Company (NYSE:KO) is an American multinational beverage company. As a leading player in the industry, the company maintains strong profitability, with operating margins consistently exceeding 20%, reflecting its operational efficiency and financial strength. Investors face minimal financial risk, as the company continues to generate solid earnings even in tough economic conditions. In the latest quarter, it reported nearly $12 billion in revenue, beating analysts’ expectations by $290 million. The company also demonstrated strong cash flow, with $2.9 billion in operating cash flow and $1.6 billion in free cash flow. In addition, it achieved an impressive adjusted operating margin of 30.7%, underscoring its strong profitability.

The Coca-Cola Company (NYSE:KO)’s strongest competitive advantage is its globally recognized brand, which reinforces its market leadership. By consistently offering a trusted and familiar product, the company has cultivated strong brand loyalty, something many competitors strive for. This loyalty enables the company to make strategic pricing adjustments without significantly affecting demand. While unit sales fell by 1% in the most recent quarter, the company successfully offset this decline through effective pricing strategies, showcasing the strength of its customer base. This flexibility ensures Coca-Cola’s long-term stability and ongoing success. The stock has surged by over 8% in the past 12 months.

The Coca-Cola Company (NYSE:KO) is popular among income investors because of its dividend growth streak which spans over 62 years. The company’s quarterly dividend comes in at $0.485 per share for a dividend yield of 3.01%, as of February 10.