Warren Buffett’s Dividend Portfolio: 5 Stocks to Watch

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

Dividend Yield as of May 19: 2.88%
Quarterly Dividend: $0.44 per share

The Coca-Cola Company (NYSE:KO) is one of the oldest holdings of Berkshire Hathaway, as the hedge fund started investing in the company in 1988. The stock has soared over 2,000% ever since. In March, the company announced a 4.8% hike in its quarterly dividend to $0.44 per share. This was the company’s 60th consecutive year of dividend growth. The stock’s dividend yield stood at 2.88%, as of May 19.

During the first quarter of 2021, Berkshire Hathaway did not change its position in The Coca-Cola Company (NYSE:KO), holding shares worth $400 million. The company was the fifth-largest holding of the hedge fund and represented 6.82% of Warren Buffett’s portfolio.

At the end of Q4 2021, 70 hedge funds tracked by Insider Monkey reported owning stakes in the company, compared with 64 in the previous quarter. These stakes hold a consolidated value of over $2.86 billion. With shares worth over $801.5 million, Rajiv Jain’s GQG Partners was one of the major stakeholders of the company in Q1 2022.

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