5 Best Stocks to Buy Amid Inflation in 2022 and Beyond

In this article, we discuss 5 best stocks to buy amid inflation in 2022 and beyond. If you want to see more stocks in this selection, click 10 Best Stocks to Buy Amid Inflation in 2022 and Beyond.

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

Number of Hedge Fund Holders: 64

The Coca-Cola Company (NYSE:KO) is famous for its signature carbonated drink, Coca-Cola. However, it also manufactures other non-alcoholic drinks. The company has a record of increasing its dividend payout for the past six decades. The Coca-Cola Company (NYSE:KO) has a dividend yield of 2.88%. Its last dividend was declared on April 27, which was paid on July 1 to shareholders of record as of June 14.

The Coca-Cola Company (NYSE:KO) is a consumer staples corporation whose products are expected to sell no matter how the economy suffers. Especially now that most of the company’s bottling business has been turned over to third parties in return for royalty payments, the Coca-Cola Company (NYSE:KO) has even higher revenue margins.

At the end of the first quarter of 2022, The Coca-Cola Company (NYSE:KO) posted an EPS of $0.64 compared to $0.58 estimates. The company also outperformed the revenue estimates of $9.83 billion by $670.79 million.

Out of the 912 hedge funds tracked by Insider Monkey, The Coca-Cola Company (NYSE:KO) was part of 64 hedge fund portfolios, with a combined stake value of $29.17 billion. Berkshire Hathaway was the biggest position holder in the company, with 400 million shares valued at $24.8 billion. In the same quarter, GQG Partners also increased its holding in The Coca-Cola Company (NYSE:KO) by an astronomical +5863% to $801.5 million.

Here is what ClearBridge Investments said about The Coca-Cola Company (NYSE:KO) in its Q4 2021 investor letter:

“Over the last year, we have repositioned our portfolio to navigate the course we see ahead. We added to more defensive areas of the portfolio like consumer staples (Coca-Cola). While the next month or two will likely prove choppy on account of the Omicron variant, we believe that Omicron, like Delta, represents a speed bump on the way to recovery rather than a true change in course. We see strong economic momentum continuing in 2022, and we expect interest rates to rise. After a decade of remarkably low rates, we would not be surprised if this change in direction is accompanied by some fits and starts in the markets. With our emphasis on pricing power, purposeful sector exposure, valuation discipline, and a strong dividend profile, we believe we are well-positioned for the year ahead.”