5 Best Warren Buffett Stocks To Buy Now

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

Berkshire Hathaway has been holding stakes in Coca-Cola for over a decade now. It has made billions in dividends from the company that is a dividend king as it has raised its payout for 60 years, an extraordinary feat. Warren Buffett’s hedge fund owns 400 million shares of the beverage company, worth $25.2 billion.

In August, UBS named Coca-Cola Company (NYSE:KO) one of its high conviction picks. The investment firm said Coca-Cola has shown a “greater willingness” to pursue higher growth opportunities through mergers and acquisitions, investment into core brands, and innovation.

Here is what Aristotle Capital specifically said about The Coca-Cola Company (NYSE:KO) in its Q2 2022 investor letter:

“The Coca-Cola Company (NYSE:KO), the global beverage business, was a leading contributor for the period. Coca-Cola continues to benefit from the refranchising of its bottling operations and realignment of incentives, catalysts we previously identified. These initiatives are demonstrating their strength in an inflationary and supply-chain-challenged environment. Additionally, the company has focused on evolving its customer engagement practices by leveraging digital and social medias for targeted campaigns, such as the design and launch of Coke Byte in the metaverse. Lastly, Coca-Cola has furthered its transformation into a total beverage company, as it debuted its new Jack Daniel’s Tennessee Whiskey and Coca-Cola ready-to-drink premixed cocktail. Although uncertainties surrounding cost pressures, lockdowns and geopolitical conflicts remain, we believe Coca-Cola is uniquely positioned to successfully continue its transition toward a total beverage business.”