Top 10 High Dividend Yielding Consumer Defensive Stocks To Buy

3. Ambev S.A. (NYSE:ABEV)

Ambev S.A. is the producer, distributor, and seller of draft beer, malt and food, beer, carbonated soft drinks, non-alcoholic and non-carbonated products, and other alcoholic beverages.

The company is currently trading at a dividend yield of 5.53%. The company reiterated its resolve to continue this payout last year when it allocated R$2 billion in share repurchases and R$6.7 billion in dividends last year. Moreover, according to 19 different analyst ratings, ABEV has the highest target price of $5, which means it could be more than double from the current levels if the bull thesis plays out.

Moving forward, the company expects the cost of goods sold to grow between 5.5% and 8.5% due to the decrease in the Brazilian Real’s purchasing power and higher aluminum costs. CEO Lisboa said the firm will focus on enhancing pricing strategies to drive margin expansion, though ideally it will want the currency headwinds to subside for a more predictable business performance.