Coca-Cola ($KO (-3,58%)) showed a stable performance on the markets in March 2025. The share has recently risen, but remains below its high of the last twelve months.

📈 Current developments and challenges

🔄 Sustainability initiatives: Coca-Cola is increasingly focusing on recycling and sustainable packaging.

In several countries, including Canada and the USA, some bottles are already made from 100% recycled PET.

The "Recycle Me Again" label has been introduced in some markets, but it remains unclear whether this will happen worldwide.

🍋 Comeback of Coca-Cola LimeAfter almost two decades, Coca-Cola is bringing back the "Lime" flavor, but initially only in the UK.

A launch in other markets is being considered, but not scheduled everywhere.

⚠️ Labor disputes in Australia: In Sydney, there were strikes at a Coca-Cola plant in which employees demanded better working conditions.

However, there are no widespread reports of major production stoppages.

🛒 Partnership with CostcoAccording to reports, Coca-Cola is to return to Costco's food courts and replace Pepsi.

However, official confirmations from the companies are still pending.

💰 Challenges and opportunities for investors

Coca-Cola is facing an exciting phase: rising raw material and labor costs are weighing on profitability, but the company remains stable thanks to price adjustments and strong distribution partnerships.

The focus on sustainable packaging and healthier drinks could appeal to new customer groups in the long term.

Despite uncertainties about short-term economic developments, Coca-Cola remains a solid investment with strong brand equity and a global distribution network.

However, investors should keep an eye on consumer trends and macroeconomic factors.

🎯 Conclusion

Coca-Cola is focusing on innovation and sustainability to remain successful in a changing market.

While rising costs and changing consumer habits pose challenges, new products and partnerships could secure growth in the long term.

After the lucky hand with Steyr Motors $4X0 (-12,07%) (+300€) now also $DEZ (-10,44%) sold with a plus of 200€.

The portfolio is now slowly focusing on more defensive options.

To this end, the proceeds and freed-up capital were used today to $KO (-3,58%) was bought today.

Coca Cola $KO (-3,58%) or PepsiCo $PEP (-1,81%) ?

In your opinion, what is currently the way to go if you want to have one of the two stocks in your portfolio?

Dividends are an important part of the investment strategy for many investors. But while some swear by regular payouts, others take a critical view of dividends. In this article, we take a closer look at the pros and cons of dividends.

✅ Advantages of dividends

📈 Passive income

Dividends provide regular income without having to sell shares. They are particularly attractive for long-term investors or as a supplement to a pension.

🏛 Stable companies

Many companies with a long dividend history (e.g. Coca-Cola, Johnson & Johnson) are established, profitable companies with solid business models.

🔄 Reinvestment & compound interest effect

By reinvesting dividends (e.g. via a savings plan), capital can grow exponentially in the long term.

📉 Protection in times of crisis

Dividend stocks are often less volatile than pure growth stocks and offer a certain degree of stability in the portfolio.

❌ Disadvantages of dividends

🚀 Slower growth

Companies that pay high dividends often invest less in their growth. Tech stocks such as Amazon or Tesla do not pay dividends, but are growing rapidly.

💰 Tax burden

In Germany, dividends are subject to withholding tax (26.375% incl. solidarity surcharge, church tax if applicable), which reduces the net yield.

🔻 No guarantee on distributions

Dividends are not guaranteed! Companies can reduce or cancel them if it is economically necessary (e.g. in times of crisis).

📊 Focus on incorrect key figures

Some investors are dazzled by high dividend yields without paying attention to the financial stability of the company. An excessively high payout ratio can be a warning signal.

🔎 Conclusion

Dividends offer stability and passive income, but are not a panacea. A good strategy can be a mix of dividend and growth stocks, depending on your personal investment objective. Anyone investing in dividend stocks should not only be guided by the yield, but should also check the quality of the company and the sustainability of the distributions.

💬 How do you feel about dividends? Do you rely on distributions or do you prefer pure growth?

$NOVO B (-6,66%)
$PEP (-1,81%)
$AGNC (-2,94%)
$HAUTO (-12,1%)
$KO (-3,58%)

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How do you feel about annual returns?