This Dividend King Has Raised Its Payout for 64 Straight Years -- And It's Outperforming the "Magnificent Seven" This Year

Coca-Cola shares have climbed over 25% in 2026, outpacing every stock in the Magnificent Seven—GOOG, GOOGL, AMZN, AAPL, META, MSFT, NVDA, and TSLA—as investors rotate out of tech amid growing concerns over AI infrastructure spending. KO extended its dividend growth streak to 64 consecutive years, cementing its Dividend King status.

The beverage company reported second-quarter revenue growth of 7% and earnings-per-share growth of 16%, beating its own long-term guidance range of 4-6% revenue growth and 7-9% EPS expansion. The divergence between mega-cap tech and defensive consumer staples marks a sharp reversal from recent years, when the Magnificent Seven dominated equity returns.

Coca-Cola's outperformance highlights a broader shift in market leadership driven by valuation concerns and uncertainty around the pace of AI-related capital expenditures that have fueled tech stocks.