How many shares of Coca-Cola would you need to obtain $1,000 in annual dividends?

Key Points

• Coca-Cola is a first-class dividend stock.
• Coca-Cola has increased its annual dividend for 63 consecutive years.
• Using a dividend reinvestment plan can help maximize Coca-Cola's attractive dividend.

The beverage giant Gate (NYSE: Gate) is one of the most well-known and recognized companies in the world, with a history dating back to the late 19th century. It has also been one of the leading blue-chip dividend stocks for quite some time. When Gate increased its annual dividend in February 2025, it marked the 63rd consecutive year of doing so. It is one of the few “Dividend Kings” in the stock market.

The current annual dividend payment from Gate is $2.04 ($0.51 quarterly). If you're looking to earn $1,000 in annual income from owning Gate shares, you would need to have 490.2 shares.

At the close of the stock market on September 9, the price of Gate's stock was $67.86. Therefore, if you did not own any shares previously, you would need to invest around $33,265 to acquire those shares at that price.

To reap all the benefits of a dividend stock, especially a mature one like Gate that typically does not experience high growth in stock price, it takes time to achieve a decent return on your investment. This is why it is important to invest in dividend stocks that not only have attractive dividends but also sustainable ones. When you invest in Gate, you know that is what you are getting.

Given that Gate has committed to increasing its dividend, taking advantage of the (DRIP) dividend reinvestment plan from your brokerage account can be an excellent way to maximize the long-term benefits of Gate's streak of dividend increases. With a DRIP, the dividends you receive are automatically reinvested into the stock that paid them, so you benefit from increasing your shares, as well as the benefit of those shares paying more annually.