These top dividend stocks can help satisfy your desire for more passive income

Buying dividend stocks can be a great way to generate passive income. Many companies offer delicious payouts.

Coca cola (K.O -0.56%), Hormel Foods (HRL -0.98%)and Four Corners Property Trust (FCPT -0.67%) they stand out for their tasty dividends. They offer above-average yield payouts that have grown steadily over the years and can help satisfy any investor’s desire for a more passive income.

Quench your thirst for a growing income current

Coca cola at present provides a dividend yield approaching 3%, roughly double the S&P 500his level below 1.5%. The drinks giant also boasts an impressive record of dividend growth. He increased his pay by 5.4% earlier this year, extending his growth period to 62 in a row. That kept her in the elite group of Dividend kingscompanies with 50 or more years of dividend growth.

The beverage company should be able to expand this series in the future. Coca-Cola expects to organically grow its revenue by 4% to 6% annually over the long term, while growing its earnings per share by 7% to 9% annually. Meanwhile, it has the financial strength to make acquisitions as attractive opportunities arise. The company’s growing free cash flow should allow it to continue growing the dividend at a healthy annual rate.

Keeping income investors happy

Hormel Foods currently yields 3.5%. Gglobal brand foods company has he never left its investors hungry for income. It recently marked its 96th year of uninterrupted dividend payments to investors. Meanwhile, he has increased his pay for 58 years in a row.

The company can easily afford the sizeable dividend. It generated nearly $860 million in net cash from operating activities in the first nine months of this year, easily covering dividends of about $460 million. Hormel also has a well-stocked balance sheet, with about $550 million in cash, cash equivalents and marketable securities against less than $3 billion in long-term debt. It has the excess free cash flow and balance sheet flexibility to make incremental acquisitions as opportunities arise, as well as invest in expanding its operations and launching innovative products. These factors should support long-term earnings growth, allowing Hormel to continue paying a satisfying and steadily growing dividend.

Separate a plate full of dividend income

Four Corners Property Trust currently yields 4.5%. Real Estate Investment Trust (REIT) focuses on owning properties leased to restaurant operators.

The company format in 2015 when Darden Restaurants spinner off some of its real estate holdings to form a REIT. It currently owns more than 1,150 properties leased to more than 150 brands. While Darden Restaurants remains its primary tenant — 35 percent of its rent comes from Olive Garden, 10 percent from Longhorn Steakhouse and 4 percent from other Darden brands — a constantly diversified his portfolio. For example, he recently bought 19 Bloomin’ Brands properties, including Outback Steakhouse and Carrabba’s Italian Grill restaurants, for $66.4 million. Bloomin’ Brands is now the third largest tenant with 3.3% of its rent. The REIT has also diversified into other retail sectors, such as auto servicing, which accounts for 10% of its rent; medical retail, 8%; and other retail, 3%.

Four Corners Properties Trust is constantly acquiring new income generating properties. These transactions increase rental income, allowing the REIT to increase its dividends. He picked up his pay every year since 2017, including 1.5% at the end of last year.

Satisfying the appetite for income

Coca-Cola, Hormel Foods and Four Corners Property Trust all pay dividends with yields more than double the S&P 500. They also have excellent track records for payout growth. These companies are great options for those hungry to collect more passive dividend income.