Here's How Many Shares of This Unstoppable Dividend Stock You'd Need for $10,000 in Yearly Passive Income
Key Points
Coca-Cola has raised its dividend annually for the past 64 years.
The dividend yields 2.2% at the current price.
You would need to concentrate a lot of investment in Coca-Cola stock to receive $10,000 in annual dividends.
- 10 stocks we like better than Coca-Cola ›
Dividend stocks are an important component of a well-diversified portfolio at any time, and Coca-Cola (NYSE: KO) is one of the best. It's a Dividend King, which means it has raised its dividend for at least 50 years, and it has one of the best track records on the list, with 64 consecutive increases. That's reliably growing passive income.
But getting $10,000 annually in dividends from Coca-Cola stock may require a bigger investment than you realize.
Missed AI’s "Act 1"? Act 2 Could Be 15x Bigger. Most investors think they missed the AI boat because they didn't buy Nvidia in 2005. But according to our analysts, we’re only at the end of "Act 1"—the R&D phase. "Act 2" is the global rollout. Continue »
Image source: Getty Images.
Coca-Cola is beating the market
Coca-Cola is crushing the market this year, up 38% versus the S&P 500's (SNPINDEX: ^GSPC) 12% gain. It's been performing phenomenally despite inflation, and investors see the stock, which has been a longtime favorite of investing legend Warren Buffett, as a safe haven against artificial intelligence (AI) stocks.
However, the high stock price means the dividend yield is lower than usual, because price and yield move inversely. Today, Coca-Cola's dividend yield is 2.2%.
It pays $2.12 in annual dividends per share as of its February increase, so you'll need 4,717 shares to reach $10,000 in annual dividends. At the current price, 4,717 shares would cost $452,926.
That's nearly half of $1 million in Coca-Cola stock alone. Unless you have much more than that to invest in a variety of dividend stocks, it makes more sense to spread your money around and benefit from other dividend stocks instead of concentrating too much in one stock.
Should you buy stock 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 $358,037!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,229,708!*
Now, it’s worth noting Stock Advisor’s total average return is 897% — a market-crushing outperformance compared to 211% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
See the 10 stocks »
*Stock Advisor returns as of November 6, 2026.
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.
Recommended Articles
