This Top Warren Buffett Dividend Stock Shows Why It's a Great Long-Term Investment

Core Insights - Coca-Cola reported strong third-quarter results, with net revenues growing 5% to $12.5 billion and comparable earnings increasing 6% to $0.82 per share, surpassing analysts' expectations [4][3] Financial Performance - The company generated $8.5 billion in free cash flow year-to-date, maintaining a net leverage ratio at the low end of its target range of 2.0-2.5 times, even after a $6.1 billion payment related to the acquisition of Fairlife [6][8] - Coca-Cola's dividend yield is nearly 3%, with a history of increasing dividends for 63 consecutive years, contributing to a reliable income stream for investors [3][11] Market Strategy - Coca-Cola is refranchising its bottling operations, reducing revenue from bottling to only 5% post-sale, down from 52% in 2015, and using proceeds to strengthen its balance sheet and fund acquisitions [7][8] - The company is focusing on organic growth initiatives, with brands like Fuze Tea growing five times faster than the industry average, and aims for 4% to 6% annual organic revenue growth [10][11] Investment Outlook - Coca-Cola's strong cash flows and consistent dividend growth position it as an attractive long-term investment, evidenced by the significant appreciation of its stock since Warren Buffett's initial purchase [2][11]