2 Dividend Stocks to Double Up On Right Now

Earnings season always creates short-term winners and losers. Beverage behemoth Coca-Cola (NYSE: KO) and biotech giant Amgen (NASDAQ: AMGN) were firmly in the former category, as both delivered quarterly updates that exceeded analysts' expectations.

Although a strong performance during a single quarter may not necessarily be indicative of how a company will perform over the long run, Coca-Cola and Amgen both appear to be excellent stocks to buy and hold, once we dig deeper into their businesses. And both are also attractive dividend stocks.

Here's the rundown.

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1. Coca-Cola

Coca-Cola has shown its resilience this year. The current U.S. administration's imposition of tariffs stands to cut into corporations' profits and margins. Yet, that's not that much of a problem for the beverage leader, despite its presence in practically every country. Coca-Cola may be a global company, but its manufacturing is local in every region.

What about the secondary effects of tariffs, which can decrease consumer spending? Coca-Cola is well-equipped to handle that, too. Its products remain in relatively high demand regardless of economic conditions. That's what makes it a leading consumer staples player.

Further, Coca-Cola routinely innovates. New launches help it cater to evolving consumer preferences and market conditions, allowing it to continue attracting business even when the going gets rough and the purse strings tighten.

Coca-Cola's third-quarter results were a demonstration of its ability to perform well even under less-than-ideal conditions. The company's revenue grew by 5% year over year to $12.5 billion, driven by a 1% increase in unit case volume. Adjusted earnings per share climbed 6% year over year to $0.82. The company also gained market share in the non-alcoholic ready-to-drink category.

The company is managing the current conditions well, and long-term prospects remain intact. Its brand name inspires trust and confidence, allowing it to attract customers with minimal effort compared to smaller peers who lack a comparable brand presence. Its vast portfolio of products features drinks in practically every category, including alcohol, water, and sports brands.

And then there is the dividend. Coca-Cola is a Dividend King, or a corporation that has increased its payouts for at least 50 consecutive years. Coca-Cola's streak stands at 63 right now, making it an outstanding dividend stock to buy and hold for a long time.

2. Amgen

Biotech giant Amgen is now facing biosimilar competition for denosumab, its medicine for bone health sold under brand names like Xgeva and Prolia. This is not a trivial patent cliff, as denosumab accounted for $6.6 billion in sales for Amgen in 2024, or about 20% of the company's revenue.

Despite this challenge, Amgen looks attractive as several growth drivers that will help it move beyond denosumab are more than pulling their weight. That's what we saw in the third quarter. The company's total revenue jumped by 12% year over year to $9.6 billion. Several key products, such as Repatha, which helps lower bad cholesterol, and asthma treatment Tezspire, performed well during the period.

Further, Amgen's own biosimilar business is also contributing. The company is generating decent revenue from Pavblu, a biosimilar version of Regeneron Pharmaceuticals' blockbuster eye medicine Eylea. It launched Pavblu late last year, and the medicine racked up $213 million in sales during the period.

Amgen also has a rich pipeline that will lead to new brand approvals in the next few years. These include MariTide, a GLP-1 medicine being developed for the treatment of weight loss and diabetes. Following successful performance in phase 2 studies, Amgen has initiated six phase 3 studies for the investigational therapy.

Other exciting candidates in the company's pipeline include bemarituzumab, a potential medicine for gastric cancer that recently did well in a pivotal clinical trial. Amgen should succeed in overcoming patent cliffs, continue to perform well, and reward shareholders with regular dividend increases. Since initiating a payout in 2011, it has hiked its dividend every single year.

Prosper Junior Bakiny has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Amgen and Regeneron Pharmaceuticals. The Motley Fool has a disclosure policy.