Looking to Generate Passive Income From Stocks? 3 Unstoppable Dividend Stocks to Buy Now.

There are many ways to benefit from investing in the stock market, and for retirees and many other investors, passive income is a big one. Even if you're a growth investor, you should own some dividend stocks. They're usually well-established industry leaders that add value and stability to any portfolio, as well as a passive income stream.

If you're looking for excellent candidates, consider Target (NYSE: TGT), Realty Income (NYSE: O), and Coca-Cola (NYSE: KO).

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1. Target

Target has been through some challenging times, but it has never cut or suspended its dividend. In fact, it's a Dividend King, meaning it has raised its dividend for at least 50 consecutive years. It's an exclusive status that implies rock-solid reliability, and the company recently raised its dividend for the 55th time.

Although Target stock is still 43% off its high after making some missteps, it's up 72% over the past year as it makes a comeback. Some of the actions it's taken include store renovations and an improved product assortment, and they're bringing customers back into stores.

In its 2026 fiscal second quarter (ended Aug. 1), sales increased 5.3% year over year, driven by a 3.8% increase in comparable sales (comps). Growth was across categories and channels, and importantly for the recovery, store comps were up 2.7%. Target has enjoyed a robust digital business throughout its challenges, and digital sales remained strong in the quarter, up 8.7%.

These are short-term metrics, but it's more important for passive income investors to look at the bigger picture. Target is one of the largest retailers in the U.S., and it has a massive following of fans who rely on it for their essentials and other purchases. It has a strong digital network, and it has always bounced back from difficult times.

Target's dividend yields 3% at today's price, making it a great option for dependable dividend income.

2. Realty Income

Realty Income is a retail real estate investment trust (REIT), a structure that pays out 90% of its earnings as dividends. In general, REITs make great dividend stocks, and Realty Income is a top pick.

Realty Income owns 15,500 properties worldwide and has a large pipeline of high-quality properties to add to its portfolio. It has also made several large acquisitions of smaller REITs, expanding its business, and it has access to funding to maintain this model.

It has stable revenue streams since it leases its properties predominantly to large retail chains like 7-Eleven and Walgreens, and it has an occupancy rate that rarely dips below 98%; during the worst of the pandemic, it was 97.9%, and it can count on its tenant base of essentials retailers to stay open and pay their rent, generating reliable cash flows and funding the dividend.

Realty Income paid a dividend even before it became a public company, going back more than 56 years. It pays monthly, which is an extra perk for investors who rely on passive income. It has raised the dividend for 116 quarters, or four times a year for 29 years.

Realty Income stock has been feeling the impact of high interest rates, which investors are concerned could put pressure on its business. After all, it uses credit to fund its purchases. However, it has paid dividends and raised them across various interest rate environments in the past, and at the current stock price, the dividend yields 5.7%.

3. Coca-Cola

Coca-Cola is the classic great dividend stock. It's also a Dividend King, and it has raised the dividend for the past 64 years, one of the best track records on the market.

Fans know the company for its classic Coke-branded beverages, but it owns about 200 brands and has a massive global distribution network. It owns 32 brands that generate at least $1 billion each, and one of the ways it grows is by acquiring new brands with high potential. These add revenue to the total and become more efficient as they're added to the distribution system, benefiting the company's margins.

The market has been loving Coca-Cola stock recently, as its local production shields it from the worst of the tariff impact and as consumers continue to buy its products despite inflation. Revenue increased 7% year over year in the second quarter, and the company has been able to successfully raise prices and take other actions to combat higher costs, leading to improved profitability as well.

At the current price, Coca-Cola's dividend yields 2.4%. Historically, it has been around 3%, but Coca-Cola stock is up 24% this year as investors embrace its resilience. That's one of the reasons you can count on Coca-Cola's passive income for years to come.

Jennifer Saibil has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Realty Income and Target. The Motley Fool has a disclosure policy.