Those looking for a dividend stock to give family as a stocking stuffer present still have time to pick up shares of Coca-Cola Company (NYSE:KO) before year-end as a great gift for anyone with income needs or may be entering retirement at some point in the near future.
Dividend paying companies like this are hard to find, particularly with quality long-term earnings growth and a history of impressive dividend increases over a long period of time.
Coca-Cola is a stable stock, buoyed by continued growth in the soda segment around the world, and the value of the company’s brand. Coke’s dividend yield current sits around 3.1%, a relatively juicy dividend yield when one considers where bond rates are right now.
This company is also an impressive growth play on global consumption and the movement toward the enrichment of the middle class in regions of the world where Coke and other products were once unaffordable. There are a number of long-term growth levers Coke will continue to pull to provide investors with the top and bottom line growth needed for continued dividend increases over time.
Perhaps the most important aspect of Coca-Cola’s business model is its dividend stability. The company has paid a dividend every quarter since 1920, a streak of a century. This is truly incredible, and from a historical perspective, there are few companies with dividends as safe as that of Coke’s. For income-oriented investors, I would highly recommend considering Coke as a core portfolio holding for income growth long-term.
Invest wisely, my friends.