Coca-Cola raises dividend for 63rd consecutive year

ATLANTA - The Coca-Cola Company (NYSE: NYSE:KO), currently valued at $299.33 billion by market capitalization, has announced an increase in its quarterly dividend, marking the 63rd consecutive year of annual dividend growth for the beverage giant. The Board of Directors approved a 5.2% rise from the previous 48.5 cents to 51 cents per common share. According to InvestingPro data, the company maintains an impressive dividend yield of 2.77%, reflecting its strong commitment to shareholder returns.

This increase sets the annual dividend at $2.04 per share, up from $1.94 in 2024. Shareowners of record by March 14 will be eligible for the first quarter dividend, scheduled for payment on April 1.

In 2024, Coca-Cola returned $8.4 billion to its shareowners through dividends. Since the beginning of 2010, the total dividends paid out by the company have amounted to $93.1 billion.

Coca-Cola is known for its expansive portfolio, which includes leading brands such as Coca-Cola, Sprite, and Fanta, as well as a diverse range of water, sports, coffee, and tea brands. With products sold in over 200 countries and territories, the company is committed to refreshing the world and making a difference. Efforts to transform the portfolio include reducing sugar in drinks and introducing new products, alongside initiatives aimed at positively impacting communities and the environment.

The company, along with its bottling partners, employs more than 700,000 people worldwide, contributing to economic opportunities in various local communities.

This financial move by Coca-Cola reflects the company’s consistent performance and commitment to delivering shareholder value. The information is based on a press release statement from The Coca-Cola Company.

In other recent news, Coca-Cola has reported a strong financial performance, with its fourth-quarter results for 2024 surpassing expectations. The company achieved a 14% organic sales growth, significantly exceeding the consensus forecast of 7.0%, supported by a 9% increase in pricing. The earnings per share (EPS) for the quarter were $0.55, which beat the consensus estimate of $0.52. Looking ahead, Coca-Cola’s 2025 guidance suggests an EPS range of $2.94 to $2.97, closely aligning with the consensus estimate of $2.95.

In terms of analyst ratings, Jefferies increased its price target for Coca-Cola stock to $79, maintaining a Buy rating, while Citi also retained a Buy rating with an $85 price target. RBC Capital Markets continues to rate Coca-Cola as Outperform with a $69 price target, despite acknowledging foreign exchange headwinds. Meanwhile, Piper Sandler adjusted its price target to $73 due to anticipated currency challenges, though it maintained an Overweight rating.

These recent developments highlight Coca-Cola’s robust market performance and strategic positioning, as analysts express confidence in the company’s ability to navigate economic challenges and maintain growth.

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