In a market obsessed with the next big thing, Warren Buffett built his legacy by doing the opposite: owning great companies and letting time do the heavy lifting.
One thing many investors have learned from Buffett’s portfolio is that investing isn’t just about chasing the highest returns and flashiest stocks. Rather, it is about consistent, resilient and reliable performance over long periods of time. And if you doubt the results, remember that Buffett took Berkshire Hathaway from a modest, struggling textile maker to the number one non-tech company worth billions of dollars by 2024.
So yes, if imitation is the highest form of flattery, then many investors compliment Buffett by copying his portfolio. But for retail investors, investing in 40+ companies may not be the best option.
That’s why today I used Warren Buffett’s portfolio to find high-quality dividend stocks and checked which ones are certified Wall Street favorites.
Using Barchart’s Stock Screener, I selected the following filters to obtain my list:
Annual Dividend Yield (FWD), %: Left blank so I can order them later from highest to lowest yield.
Current analyst rating: 4.5-5. Stocks that are “Strong Buy,” the best of the rest, according to Wall Street.
Number of analysts: 16 or more. The higher the number, the greater the confidence in the rating.
Power Investor Ideas: Warren Buffett Stocks.
I scrolled through the screen and got four results. I’ll cover the first three, from highest to lowest dividend yield.
Let’s start this list with Warren Buffett’s first dividend stock:
Coca-Cola Company is one of the most recognizable companies in the world and needs no introduction. It is the largest beverage company with over 500 products in its portfolio, including Coca-Cola, Sprite and more. Coca-Cola continues to modernize its brands to remain culturally relevant. From a market perspective, though, they don’t need to try very hard: KO is one of the most popular dividend stocks in the world, and it’s featured in many of my best dividend stock lists, like this recent one on the safest dividend stocks right now.
Coca-Cola pays an annual forward dividend of $2.04, or a yield of approximately 3%. Additionally, it boasts a 5-year dividend growth of 21.25%, which I think is pretty decent for investors looking for a long-term, income-oriented investment.
Additionally, a consensus among 25 analysts rates the stock a “Strong Buy,” suggesting ~25% upside potential if it hits the lofty target price of $87 in the next 12 months.
The next Warren Buffett dividend stock on my list is Visa Inc.a company with an extensive payments network that connects credit, debit and prepaid cards globally and is now expanding to support AI-powered transactions.
The company pays an annual forward dividend of $2.68, which translates to a yield of approximately 0.75%. It may be modest, but the 5-year dividend growth is 96.67%, which is quite high – and I think it can continue to recover in the years to come.
Thus, a consensus among 36 analysts rates the stock as a “Strong Buy,” with a high target of $450, suggesting 28% upside potential over the next twelve months.
The last Warren Buffett dividend stock on my list is Alphabeta conglomerate that goes well beyond Google search. Some of its subsidiaries include Google Cloud, Waze, etc. As demand for AI accelerates, Alphabet recently agreed to acquire Intersect, strengthening its AI initiatives.
Alphabet also pays an annual forward dividend of $0.84, which translates to a yield of approximately 0.27%. Even though the dividend is not the highest, there are still significant advantages to owning GOOGL stock. In fact, it’s up 68% over the past 52 weeks.
Additionally, a consensus among 55 analysts rates the stock as a “Strong Buy,” consistent over the past three months, underscoring confidence in Alphabet’s long-term growth. The high target price is $400, suggesting 13% upside potential. But given Alphabet’s pedigree, I don’t think growth will be limited to 13% if the company’s AI initiatives bear fruit.
There you have it, three Warren Buffett dividend stocks to buy in 2026 – all with “strong buy” ratings from Wall Street analysts. While there are many ways to approach investing, Warren Buffett’s track record explains why his strategy continues to resonate with so many investors. Its picks may not offer the highest returns, but they have demonstrated consistency and long-term performance, perfect for building portfolios that provide reliable income over time.
However, this strategy should NOT be followed blindly. Instead, investors could use it as a model; evaluate the fundamentals themselves and make sure each stock fits its own financial goals and risk tolerance.
As of the date of publication, Rick Orford did not hold (directly or indirectly) any position in any of the securities mentioned in this article. All information and data contained in this article are for informational purposes only. This article was originally published on Barchart.com
