3 Stocks That Pay You to Wait - 6/25

Company: Realty Income (SYM: O)
Dividend Yield: 5.54%
Dividend Schedule: Monthly

When it comes to passive income, few companies are as dependable as Realty Income — also known as “The Monthly Dividend Company.”

Realty Income is a real estate investment trust (REIT) that owns and manages thousands of commercial properties under long-term net lease agreements with tenants. These include retail giants like Walgreens, Dollar General, FedEx, and Walmart.

What sets Realty Income apart is its commitment to monthly dividends. It has paid a dividend every single month for 30 consecutive years, with 122 consecutive quarterly increases. In fact, the most recent payout of $0.2685 per share was just paid on June 13 to shareholders of record as of June 2.

At its current share price, that translates to an annualized dividend of $3.222 per share, giving it a yield of 5.54% — significantly higher than the S&P 500 average.

Realty Income’s predictable cash flows, conservative management, and long-term leases in high-traffic areas make it a cornerstone holding for income investors.

If you’re looking for stability, monthly income, and dividend growth, O stock belongs on your radar.

Company: Coca-Cola (SYM: KO)
Dividend Yield: 3.1%
Annual Dividend: $1.97 per share

If you're seeking blue-chip reliability, Coca-Cola is hard to beat.

The company has been paying and raising its dividend for more than 60 consecutive years, earning it a spot among the elite group of Dividend Kings. Its global brand recognition, pricing power, and diverse product portfolio make KO one of the most defensive plays in the market.

Currently, Coca-Cola pays out $1.97 per share annually, which equates to a 3.1% yield. But there’s reason to believe you’ll get more than just dividend income from KO in the near future.

Analysts are increasingly bullish on the stock:

• 
  

  Barclays recently raised its price target to $73, maintaining an Overweight rating. The firm cited Coca-Cola’s “strong brand positioning and global earnings strength.”

  
  


• 
  

  Analysts at BNP Paribas added that Coca-Cola “stands out fundamentally” among consumer staples peers and continues to “hit on all cylinders.”

  
  

And let’s not forget — Warren Buffett still owns a massive stake in Coca-Cola through Berkshire Hathaway. His continued endorsement adds another layer of confidence for long-term investors.

So whether you're after dependable income or slow-but-steady capital appreciation, KO stock delivers both.

Company: Southwest Airlines (SYM: LUV)
Dividend Yield: 2.6%
Annual Dividend: $0.72 per share

Southwest Airlines is known for affordable travel and customer-friendly service, but now it’s also catching the attention of dividend investors.

The stock currently yields $0.72 per year, which works out to a 2.6% yield. That may not seem extraordinary on the surface — but when you factor in recent insider buying and a strategic shift in business operations, LUV becomes much more interesting.

Here’s what’s happening:

Insider Buying Surge

In late April, multiple board members and executives purchased sizable stakes in the company:

• 
  

  David Hess bought 7,500 shares for ~$200,000 at $26.52 each

  
  


• 
  

  Pierre Breber purchased 10,000 shares for ~$268,900 at $26.89 each

  
  


• 
  

  Gregg Saretsky acquired 3,670 shares for $100,200 at $27.29 each

  
  

When insiders are buying with their own money, it’s often a strong vote of confidence that the stock is undervalued — and could be poised to rebound.

Strategic Overhaul

Southwest is also making significant data-driven strategic changes to its business model:

• 
  

  Introducing cabin segmentation with premium and extra legroom seating

  
  


• 
  

  Adding redeye flights

  
  


• 
  

  Exploring international partnerships

  
  


• 
  

  Focusing on capital spending discipline and fleet monetization

  
  

These initiatives were praised by Jefferies, which recently upgraded LUV to a Hold rating. The firm believes these changes could revitalize growth and improve the airline’s competitive edge.

If these upgrades take hold, Southwest may be able to grow both its dividend and its stock price — offering dual returns for long-term investors.