Here's How Many Shares of Coca-Cola You'd Need for $10,000 in Yearly Dividends

Coca-Cola (NYSE: KO) is a household name, with strong brand recognition that helps it remain relevant over time. The business has a presence all over the world, offers over 200 different drinks, and sees 2.2 billion servings of its products consumed every single day. This indicates tremendous market power.

The company's success has resulted in sizable profits that management prioritizes paying out to shareholders. Income investors might be wondering how many shares of Coca-Cola they'd need to earn $10,000 in yearly dividends.

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Coca-Cola has a stellar dividend streak

Coca-Cola's Board of Directors approved an increase to the dividend earlier this year in February, with the business now paying $0.51 per share each quarter. This makes 63 straight years that Coca-Cola has raised its payout, an unbelievable streak.

Investors who want to generate $10,000 in passive income from this beverage stock must own about 4,902 shares if Coca-Cola keeps its dividend at current levels. With a stock price of $70.50 (as of Dec. 12), this amounts to nearly $346,000 worth of shares.

Coca-Cola is a safe stock to own

Coca-Cola's powerful brand supports its wide economic moat. The company experiences stable demand regardless of economic conditions. And it's highly profitable, with a third-quarter operating margin of 32%.

The stock trades at a reasonable price-to-earnings ratio of 23, too. But Coca-Cola isn't going to outperform the broader market over the long term, as the last 10 years suggest.

Neil Patel 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.