5 Dividend Stocks to Buy According to Lee Munder Capital Group

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

Dividend Yield as of June 30: 2.81%
Lee Munder Capital Group’s Stake Value: $17,762,000

An American multinational beverage corporation, The Coca-Cola Company (NYSE:KO) has been the top-performing stock in the Dow Jones Industrial Average, gaining 5.78% in 2022 so far, whereas the Consumer Staples Select Sector SPDR Fund is down 2.99% year-to-date, as of the close of June 30.

In February 2022, The Coca-Cola Company (NYSE:KO) raised its dividend for the 60th consecutive year. The company currently offers a quarterly dividend of $0.44 per share, with a yield of 2.81%, recorded on June 30. In June, Morgan Stanley reiterated its ‘Overweight’ rating on The Coca-Cola Company (NYSE:KO), with a $76 price target, which represents 25% upside. The firm appreciated the company’s strong pricing power and earnings growth.

During Q1 2022, Lee Munder Capital Group purchased 286,473 KO shares, worth over $17.7 million. The company represented 1.02% of the hedge fund’s portfolio.

At the end of Q1 2022, 64 hedge funds tracked by Insider Monkey owned stakes in The Coca-Cola Company (NYSE:KO), down from 70 in the previous quarter. These hedge funds have nearly $30 billion invested in the company.

ClearBridge Investments mentioned The Coca-Cola Company (NYSE:KO) in its Q4 2021 investor letter. Here is what the firm had to say:

“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.”