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. Its current streak stands at a hard-to-conceive 62 straight 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).
Profitability looks a little tastier, given that the collective estimate for 2024 per-share net income growth is 4% this year and nearly 7% in 2025. As for valuations, Coca-Cola stock currently trades at a forward P/E of nearly 24, which on first glance might seem rich given that anticipated single-digit growth.
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.
CocaCola Company (The) - Buy
Valuation metrics show that CocaCola Company (The) may be overvalued. Its Value Score of D indicates it would be a bad pick for value investors. The financial health and growth prospects of KO, demonstrate its potential to underperform the market. It currently has a Growth Score of D.
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.
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.
| SNo. | Top Highest Dividend Paying Stocks | Industry |
|---|---|---|
| 1 | Vedanta Ltd | Metals & Mining |
| 2 | Coal India Ltd | Power |
| 3 | Power Finance Corporation Ltd | Financial Services |
| 4 | NTPC Ltd | Power |
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.
The ownership structure of Coca-Cola Bottling Co Consolidated (co*kE) stock is a mix of institutional, retail and individual investors. Approximately 32.25% of the company's stock is owned by Institutional Investors, 37.60% is owned by Insiders and 30.15% is owned by Public Companies and Individual Investors.
| Year | Prediction | Change |
|---|---|---|
| 2026 | $ 63.18 | 7.49% |
| 2027 | $ 65.51 | 11.45% |
| 2028 | $ 67.92 | 15.55% |
| 2029 | $ 70.42 | 19.80% |
Intrinsic Value. The intrinsic value of one KO stock under the Base Case scenario is 50.55 USD. Compared to the current market price of 58.24 USD, Coca-Cola Co is Overvalued by 13%.
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.
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.
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 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.
How many KO stocks does Warren Buffett own?
| Symbol | Holdings | |
|---|---|---|
| Citigroup Inc | C | 55,244,797 |
| Coca-Cola Co | KO | 400,000,000 |
| Davita Inc | DVA | 36,095,570 |
| Diageo plc | DEO | 227,750 |
co*ke is projecting organic sales growth of between 6% and 7% (compared to Pepsi's 4%) for 2024. The company is also expecting earnings gains to outpace revenue growth, likely keeping co*ke's profit margin close to its current impressive rate of nearly 30% of sales.
A $10,000 investment in Tesla back in April of 2014 would now be worth roughly $121,460 right now -- and that's even factoring in the stock's pullback this year.
Total debt on the balance sheet as of December 2023 : $42.06 B. According to Coca-Cola's latest financial reports the company's total debt is $42.06 B. A company's total debt is the sum of all current and non-current debts.
Entry to the NYSE
Later that year, Coca-Cola made its initial public offering (IPO) on the New York Stock Exchange (NYSE), for $40 per share.
