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10 Warren Buffett dividend stocks for passive income investors
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10 Warren Buffett dividend stocks for passive income investors
May 26, 2025 3:08 AM

Dividend stocks can be a great way to generate passive income as an investor, and what better way to find dividend stock ideas than by sifting through the holdings of arguably the world's greatest investor, Warren Buffett?

Berkshire Hathaway's ( BRK/A ) portfolio is filled with dividend stocks, which should come as no surprise to Buffett followers. Buffett invests in companies with strong profitability, sensible capital allocation and competitive advantages, all of which often translate into stocks with solid dividends.

(A financial advisor can also help you generate ideas and steer you in the right direction for your individual situation and portfolio.)

These 10 dividend stocks were included in Berkshire's portfolio as of Dec. 31, 2024, and were selected by either Buffett himself or one of his two investment managers, Todd Combs and Ted Weschler.

10 Warren Buffett dividend stocks

*Dividend data as of May 5, 2025.

1. The Kraft Heinz Company (KHC)

The Kraft Heinz Company ( KHC ) was formed after a 2015 merger between Kraft Foods and Heinz. The company owns a variety of food and beverage brands, including Kraft, Oscar Mayer, Heinz, Ore-Ida, Maxwell House, Jell-O and more. Kraft Heinz ( KHC ) generated about $26 billion in sales during 2024. Berkshire owns nearly 28 percent of the company's stock.

Annual dividend: $1.60

Dividend yield: 5.59 percent

2. Chevron Corp. (CVX)

Chevron ( CVX ) is an integrated energy and chemicals company with both upstream and downstream operations. The company generated nearly $203 billion in total revenue during 2024 and nearly $18 billion in net income. Chevron ( CVX ) is considered a "Dividend Aristocrat" because it has paid and raised its annual dividend for at least 25 consecutive years. Berkshire owns about 7 percent of the company's stock.

Annual dividend: $6.60

Dividend yield: 4.77 percent

3. Sirius XM Holdings (SIRI)

Sirius XM Holdings ( SIRI ) includes the Sirius XM satellite radio business as well as the music streaming company Pandora. The company believes it reaches a combined monthly audience of about 160 million listeners. Berkshire holds more than 35 percent of the company's shares as of Feb. 3, 2025.

Annual dividend: $1.07

Dividend yield: 5.24 percent

4. Diageo plc (DEO)

Diageo ( DEO ) owns a variety of alcohol brands, including Johnnie Walker, Crown Royal, Smirnoff, Ketel One, Captain Morgan, Guinness and more. Its products are sold in nearly 180 countries, and the company generated more than $20 billion in sales during its fiscal 2024. The position is one of Berkshire's smallest holdings and was valued at about $26 million at the end of December 2024.

Annual dividend: 79 cents

Dividend yield: 3.71 percent

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5. Ally Financial (ALLY)

Ally Financial ( ALLY ) is a financial services company that had $191.8 billion in assets at the end of 2024. Its business includes the largest all-digital bank in the U.S. and an automotive financing and insurance business. Berkshire held 29 million shares worth nearly $970 million at the end of December 2024.

Annual dividend: $1.20

Dividend yield: 3.61 percent

6. The Coca-Cola Co. (KO)

Coca-Cola is one of the most well-known brands in the world and its beverages account for 2.2 billion of the estimated 64 billion servings of all beverages consumed worldwide every day. Coca-Cola qualifies as a "Dividend King" because it has paid and raised its annual dividend for at least 50 consecutive years. The company is one of the longest-held Berkshire positions, dating back to the late 1980s, when Buffett started buying the stock. Its 400 million shares were worth almost $28.7 billion at the end of December 2024.

Annual dividend: $1.97

Dividend yield: 2.74 percent

7. Citigroup (C)

Citigroup ( C/PN ) is a global financial services company whose businesses include consumer banking, investment banking, brokerage, wealth management and more. The company generated about $12.7 billion in net income in 2024. Berkshire has held Citigroup ( C/PN ) shares since the first quarter of 2022, and its stake was worth about $1 billion at the end of December 2024.

Annual dividend: $2.21

Dividend yield: 3.13 percent

8. Bank of America (BAC)

Bank of America ( BAC ) is one of the largest banks in the U.S. and offers a variety of financial services to individuals, businesses, governments and institutional investors. The company generated about $27.1 billion in net income in 2024. Bank of America ( BAC ) is one of Berkshire's largest holdings, with a stake worth about $28 billion at the end of December 2024.

Annual dividend: $1.02

Dividend yield: 2.48 percent

9. The Kroger Co. (KR)

Kroger ( KR ) is one of the largest supermarket chains in the country, with stores in 35 states and the District of Columbia. The company operated more than 2,700 supermarkets as of May 2025, the majority of which also have pharmacies and fuel centers. Kroger ( KR ) generated about $147 billion in sales during fiscal 2024. Berkshire's stake in the company was worth about $3.6 billion at the end of December 2024.

Annual dividend: $1.25

Dividend yield: 1.74 percent

10. Chubb (CB)

Chubb ( CB ) is a global insurance and reinsurance company with assets of $246.5 billion at the end of 2024. The company is considered a "Dividend Aristocrat" because it has raised its annual dividend for at least 25 consecutive years. Berkshire's stake in Chubb ( CB ) was worth about $7.8 billion at the end of December 2024.

Annual dividend: $3.64

Dividend yield: 1.27 percent

Bottom line

Dividend stocks are a great way to generate passive income from your portfolio, and they make for great long-term investments. However, keep in mind that dividends are not guaranteed and can be cut or eliminated altogether if the company's financial performance deteriorates. Be sure to thoroughly research any company before investing in its stock and consult a financial advisor if you have questions.

Editorial Disclaimer: All investors are advised to conduct their own independent research into investment strategies before making an investment decision. In addition, investors are advised that past investment product performance is no guarantee of future price appreciation.

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