Three companies have demonstrated remarkable resilience by raising their dividends through both the Great Recession and the COVID-19 pandemic. Coca-Cola, Realty Income, and Procter & Gamble have maintained their dividend growth streaks, showcasing their financial strength and commitment to shareholders.
Coca-Cola (NYSE: KO) has increased its dividends for 64 consecutive years, making it a Dividend King. In February, the company raised its quarterly payout by about 4%, from $0.51 to $0.53 per share. Despite economic challenges, Coca-Cola reported a 7% year-over-year increase in third-quarter adjusted sales and a 9% rise in earnings per share. The company generated $11.4 billion in free cash flow, easily covering its $6.8 billion in dividends. Coca-Cola's stock offers a dividend yield of 2.2%, double the S&P 500's 1.1% yield.
Realty Income (NYSE: O), a real estate investment trust (REIT), recently increased its monthly payment from $0.2715 to $0.274 per share. This marks 117 straight quarterly increases and 137 since its 1994 initial public offering. The company maintains high occupancy rates and steady rental increases, with a nearly 99% occupancy rate as of Sept. 30. Realty Income's third-quarter adjusted funds from operations (AFFO) per diluted share grew 3.7% year over year to $1.12, covering 73% of its dividend. The stock yields 5.5% at the new monthly rate.
Procter & Gamble (NYSE: PG) has paid dividends for 136 years and raised them annually for 70 years. Earlier this year, the company increased its quarterly payment by 3% to $1.0885. P&G's fiscal first-quarter adjusted sales grew 4%, driven by higher volume. Although cost pressures weighed on earnings, which increased by 1%, the company's payout ratio is 65%. P&G's shares offer a dividend yield of 2.6%, above the S&P 500's average.