Here's How Many Shares of Coca-Cola (KO) Stock You'd Need for $10,000 in Yearly Dividends
Key Points
Coca-Cola just increased its quarterly dividend payout in February, continuing a phenomenal 63-year streak.
Despite being such a successful business, shares have underperformed the S&P 500 in the past decade.
- 10 stocks we like better than Coca-Cola ›
Coca-Cola (NYSE: KO) is one of the most recognizable brands on the face of the planet. It has a global presence, dominates the soft drink industry, and is an extremely durable business. These favorable traits have helped drive incredible profits over the long term. Shareholders have benefited directly from strong bottom-line performance in the form of quarterly cash payouts.
This company could command the attention of income investors. Here's how many shares of Coca-Cola stock you'd need to make $10,000 in yearly dividends.
Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now, when you join Stock Advisor. See the stocks »
Image source: Coca-Cola.
Coca-Cola can provide a meaningful income stream
In February, Coca-Cola's board of directors approved an increase in the quarterly dividend payout to $0.51 per share. This marked the 63rd straight year that the business bumped up this figure, a phenomenal trend that shows management's focus on returning capital to shareholders.
If an investor wanted to generate $10,000 in passive annual income from Coca-Cola stock, he or she would need to own 4,902 shares. At the current share price of $66.84, those 4,902 shares would cost roughly $327,649 to buy. The dividend yield of 3.09% is materially higher than the average dividend yield of the stocks in the S&P 500 (SNPINDEX: ^GSPC).
Shareholders aren't going to outperform the market over the long term
Coca-Cola is a very safe stock to own. As mentioned, it's extremely profitable. It has a wide economic moat. The business doesn't face any disruption. And demand remains healthy even in recessionary periods.
However, shareholders shouldn't expect its stock price performance to beat the market over the long term. The stock has dramatically underperformed the S&P 500 in the past decade.
Should you invest $1,000 in Coca-Cola right now?
Before you buy stock in Coca-Cola, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Coca-Cola wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $627,363!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,137,335!*
Now, it’s worth noting Stock Advisor’s total average return is 1,061% — a market-crushing outperformance compared to 192% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.
See the 10 stocks »
*Stock Advisor returns as of October 7, 2025
Neil Patel 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.
Recommended Articles
