Key facts
- Coca-Cola offers a dividend yield of 2.28% and reported Q2 2026 revenue of $13.38 billion.
- Johnson & Johnson has a dividend yield of 1.97% and is on track to hit $100 billion in annual revenue.
- PepsiCo has a dividend yield of 4.10% and is increasing its quarterly dividend by 4%.
Three Dividend Kings—Coca-Cola, Johnson & Johnson, and PepsiCo—are recommended for retirees and risk-averse investors due to their consistent dividend growth and financial stability. These companies have a history of raising their payouts through economic downturns for decades.
Coca-Cola (NYSE:KO) trades at $89.37 with a market cap near $384.5 billion and a dividend yield of 2.28%. The company's most recent quarterly dividend was $0.53 per share, an increase from $0.51 in 2025. Coca-Cola raised its FY2026 guidance for comparable EPS growth to 9%-10% and expects free cash flow of roughly $12.4 billion. Its Q2 2026 volumes rose 5% globally, with revenue climbing 6.7% to $13.38 billion. Potential risks include IRS tax litigation and packaging sustainability regulations.
Johnson & Johnson (NYSE:JNJ) is trading at $266.38 with a market cap of $641.9 billion and a dividend yield of 1.97%. The company's quarterly payout was increased by 3.1% to $1.34 per share in Q1 2026, marking 64 consecutive years of increases. Management guided full-year 2026 free cash flow to approach $21 billion. The company's bull case is built on its diversified pharma and MedTech segments, with oncology drugs like Darzalex and Carvykti showing strong growth. Risks include biosimilar competition for Stelara and litigation charges.
PepsiCo (NASDAQ:PEP) closed at $136.34 with a market cap of $186.2 billion and a dividend yield of 4.10%. Management confirmed a 4% annualized dividend increase starting with the June 2026 payment, its 54th consecutive annual increase. The company's AFFO per share grew to $1.09 in Q2 2026, and full-year AFFO guidance was raised to $4.44-$4.45. Realty Income, a monthly-paying net-lease REIT, is also mentioned as a retirement income option, yielding 5.45% and having declared 670 consecutive monthly dividends.