itstargetnews
This year has been volatile for the stock market. The S&P 500 The index fainted in March and April, but gained 17.9% through December 24. Of course, no one knows what 2026 will bring, but there have been some signs of economic weakness, especially in the labor market.
Buying stocks of reliable companies that pay dividends is one way to mitigate stock price volatility. After all, these companies have a strong track record of payouts over various economic climates, providing a stable source of return.
Coke (NYSE: KO) i objective (NYSE: TGT) tops my list of dividend stocks to buy right now. It’s time to take a closer look at them to find out why.
Many people around the world recognize the Coke (NYSE: KO) brand The company began selling its soft drink under its namesake brand in 1886. Today, its beverages include soft drinks, water, coffee, tea, juice, value-added dairy and plant-based beverages, which it sells in more than 200 countries.
However, Coca-Cola is not a mature company with sliding sales. Third Quarter Revenues, adjusted to remove the effects of foreign currency translation and acquisitions/divestments, it grew 6%.
The increase was entirely due to higher prices/combination change, but this is because the consumer has been reduced by higher prices through the board. I’m sure volumes will pick up when inflation subsides.
The company has built an impressive dividend history. In February, the board of directors announced a 5.2% increase in the quarterly dividend to $0.51 per share, extending Coca-Cola’s dividend-earning streak to 63 consecutive years and continuing its status as the dividend king. (The dividend kings have increased payouts for at least 50 consecutive years.)
Coca-Cola continues to generate higher profits to support dividend payments. Its quarterly adjusted earnings per share grew 12% and the company has a payout ratio of 67%. The share has a dividend yield of 2.9%, higher than S&P 500 index of 1.1%.
objective (NYSE: TGT) sells everyday staples but is known for its differentiated and unique merchandise. Unfortunately, its sales have been slow for some time. This is partly due to macroeconomic conditions, such as stubbornly high inflation and a weak labor market, but management also admitted that marketing missteps played a role.
Target will have a new CEO starting Feb. 1, when he is the current COO Michael Fiddelke will take the helm. He has promised to invest in store improvements, technology and return the company to a higher share of differentiated merchandise, which has traditionally driven in-store traffic.
