Dividend Aristocrats are companies that have consistently increased their dividends for more than 25 years, which makes them a reliable and stable source of income for investors. Colgate-Palmolive (NYSE:CL) and the Coca-Cola Co. (NYSE:KO) are two such stocks that boast an impressive dividend history. Furthermore, Wall Street analysts are bullish on these stocks.
Now, let’s take a closer look at these two Dividend Aristocrat stocks.
Is Colgate a Buy or Sell?
CL is a global consumer goods company that provides oral care, personal care, home care, and pet nutrition products. The company has an impressive history of raising dividends for the past 61 years. Moreover, CL stock offers a dividend yield of 2.07%.
The company’s strong market position and extensive global reach allow Colgate-Palmolive to command higher prices for its premium products. Additionally, CL’s initiatives to bolster its presence in the pet food product industry are expected to drive top-line growth.
Among the 16 analysts covering CL, 12 rated it a Buy, and four assigned a Hold rating. It has a Strong Buy consensus rating on TipRanks. The analysts’ average price target on CL stock of $97.87 implies a 4.14% potential upside from the current level. Shares of the company have gained 22.5% over the past six months.
Is KO Stock a Good Buy?
KO is a global beverage corporation known for its flagship product, Coca-Cola, and other soft drinks and beverages. The company has raised dividends for 61 consecutive years. Additionally, its dividend yield of 2.92% further enhances the stock’s appeal to investors.
The company’s initiatives to expand beyond soda-based beverages into categories such as juices, coffee, teas, dairy, and water are promising. Additionally, its investments to enhance digital capabilities are expected to improve efficiency.
KO has received 12 Buy and three Hold recommendations for a Strong Buy consensus rating. Further, analysts’ average price target on Coca-Cola stock of $67.64 implies 5.44% upside potential. The stock has gained 10.1% over the past six months.
Concluding Thoughts
The Dividend Aristocrat status of CL and KO reflects their commitment to rewarding shareholders with regular and growing dividend distributions. Additionally, the bullish view of Wall Street analysts helps instill further confidence in these stocks.
