Key Points
Coca-Cola has raised its dividend annually for the past 64 years.
It has gained more than double the S&P 500 total this year, and its yield is below average.
Investors should start early to build up a retirement portfolio with comfortable passive income.
Coca-Cola (NYSE: KO) is one of the best dividend stocks you can buy. It's a Dividend King, and it has one of the longest track records of dividend raises, with 64 annual increases as of this year.
It's usually known more for its dividend yield than its stock gains, but in 2026, that trend has reversed. Coca-Cola stock is up 28% this year, double the S&P 500, and its dividend is yielding only 2.4%, below its 2.9% average over the past five years.
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Here's how much you need to invest for $10,000 in annual dividends.
Image source: Coca-Cola.
The classic blue chip dividend stock
Coca-Cola is a classic blue chip dividend stock. It's the largest beverage company in the world, with more than $50 billion in trailing 12-month sales, and it has been performing well this year despite inflation.
It's a top dividend stock, but $10,000 in annual dividends requires a major investment. Coca-Cola pays $2.12 in dividends annually as of its latest increase, which means that to get $10,000, you'd need to own 4,717 shares. At its recent price of $88.07, that's a total investment of $415,426.19.
For a very large portfolio, that could make sense, especially if it's part of a broader portfolio with other dividend stocks. It underscores the necessity of investing early and building up a portfolio over time, so you can retire and live on passive income at the right time.
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.