Investors seeking a steady stream of passive income would do well to consider dividend-paying stocks. Certain companies have established a reputation for delivering attractive payouts, with three standing out in particular: Coca-Cola, Hormel Foods, and Four Corners Property Trust. These stalwarts boast impressive dividend yields, with a history of consistent increases that can help satiate investors’ appetite for passive income.
Coca-Cola, for instance, offers a dividend yield approaching 3%, significantly higher than the S&P 500’s sub-1.5% level. The beverage giant has an enviable track record of dividend growth, having raised its payout for an astonishing 62 consecutive years. This impressive streak is expected to continue, driven by the company’s projected 4-6% annual revenue growth and 7-9% earnings per share growth.
Hormel Foods, meanwhile, boasts a dividend yield of 3.5%, with an unbroken 96-year history of dividend payments. The company has increased its payout for 58 years running, and its financial strength suggests this trend will persist. With a cash-rich balance sheet and robust free cash flow, Hormel is well-positioned to continue rewarding shareholders.
Four Corners Property Trust, a real estate investment trust focused on restaurant properties, offers an attractive dividend yield of 4.5%. Since its formation in 2015, the company has steadily diversified its portfolio, reducing its reliance on any single tenant. This strategic approach has enabled Four Corners to increase its dividend every year since 2017, with further growth expected as it continues to acquire income-producing properties.
For investors seeking a reliable source of passive income, these three companies offer compelling opportunities. With their impressive dividend yields and proven track records of growth, they can help satisfy even the most discerning investor’s appetite for passive income.
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