Coca-Cola Just Declared Its 64th Dividend Increase. Here's How Much $10,000 Invested Pays Annually.

Coca-Cola (NYSE: KO) is the classic dividend stock. It typically has a high yield, it's as dependable as they come, and it has raised its dividend annually for the past 64 years. Here's how much money you would get annually if you'd invest $10,000 in Coca-Cola stock.

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Coca-Cola is a Dividend King, meaning it has annually raised its dividend for more than 50 consecutive years. It's an exclusive status that implies reliability, which is an important feature for people who depend on passive income, like retirees.

The stock yields 2.5% at the current price, which is quite low for Coke stock; historically, it tends to yield around 3%. But the market is loving Coca-Cola stock right now, and it's up almost 20% this year, or about double the S&P 500's gain.

At today's price, $10,000 invested in Coke stock gives you 121 shares, and the company pays $0.53 quarterly since its latest raise. That comes to $256 annually. It may not seem like much, but there are a few things to keep in mind. Notably, since the stock is soaring, a $10,000 investment at the beginning of the year is worth $11,820 right now.

On top of that, the dividend likely will be raised again next February. So $256 this year will increase next year, and every year after.

On its own, that wouldn't be something a retiree can live off, but it can be a healthy part of a diversified portfolio focused on passive income.

Jennifer Saibil has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.