5 Dividend Stocks Warren Buffett Likes The Most

3. Coca-Cola (NYSE: KO)

Coca-Cola (NYSE: KO) is the dividend king considering its 58 years of straight dividend increases. The consumer staples company is one of the largest stock holdings of Warren Buffett’s portfolio. The firm bought more than $1 billion of Coca-Cola shares in 1988.

Berkshire currently holds 400 million shares of the consumer staple company that brings in $640 million annual dividend income. The firm has earned almost $7 billion in dividends from the Coke investment since 1995.

Coca-Cola dividends look safe amid its strong cash generation potential. The company has generated $8.6 billion in free cash flows last year compared to dividend payments of $6.8 billion.