Coca-Cola’s Dividend Powerhouse Lures Buffett—and Wall Street

Coca-Cola ( (KO) ) has been popular among investors this week. Here is a recap of the key news on this stock.

Warren Buffett’s Berkshire Hathaway continues to showcase the power of long-term investing in Coca-Cola, holding 400 million shares since the early 1990s and seeing annual dividends climb from $75 million in 1994 to about $848 million today. Coca-Cola has raised its dividend for 64 straight years, cementing its status as a Dividend King and offering a current yield near 3%, with Berkshire’s yield on cost now around 60%.

Despite a recent pullback of roughly 3%–4% over the past week and about 6% over the month, Coca-Cola shares remain up around 12% over the past year. Wall Street stays firmly bullish, with a Strong Buy consensus from 15 analysts and an average price target of $85.07 versus the mid‑$70s, implying high-single‑digit to low‑double‑digit upside over the next year.

Morgan Stanley’s Dara Mohsenian recently reiterated Coca-Cola as a top pick with an $87 price target, arguing the company has better long-term organic sales growth than many mega-cap peers. He highlights strong 2026 earnings visibility, robust North America demand, and expanding Fairlife dairy products as key drivers, even as the company manages cost pressures and geopolitical risks.

Additional backing comes from Bank of America Securities, which also maintains a Buy rating and an $88 target on Coca-Cola. For investors looking beyond short-term volatility, the combination of steady dividend growth, pricing power, and supportive analyst sentiment positions Coca-Cola as a defensive consumer staple with attractive total return potential.