4 High-Yielding Warren Buffett Stocks Are Recession-Resistant

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4 HighYielding Warren Buffett Stocks Are RecessionResistant Lee JacksonOctober 22, 2025 at 4:13 AM 0 https://ift.tt/lPYe7MA If any investor has stood the test of time, it's Warren Buffett, and with good reason.

- - 4 High-Yielding Warren Buffett Stocks Are Recession-Resistant

Lee JacksonOctober 22, 2025 at 4:13 AM

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https://ift.tt/lPYe7MA

If any investor has stood the test of time, it's Warren Buffett, and with good reason. For years, the Oracle of Omaha has had a rock star-like presence in the investing world, and his annual Berkshire Hathaway shareholders meeting draws thousands of loyal investor fans. They were stunned at this year's meeting when Buffett announced that he is stepping down as chief executive officer of the investment giant at the end of the year. While he will remain chair of the board and continue to have a voice in the day-to-day operations, his pre-announced successor, Greg Abel, will assume the CEO position at the end of the year.

While Wall Street appears divided on recession risks for the next year, recent developments and some uncomfortable data are showing heightened economic concerns despite estimates for a larger final third-quarter gross domestic product print of 3.9%. The consensus is cautious pessimism, with Wall Street increasingly concerned about policy impacts, particularly tariffs, combined with already weak economic data. While not unanimous, the trend has shifted toward expecting a recession sometime in 2026.

If that is the case, then now may be the right time to move from higher beta tech stocks to more conservative dividend stocks that reside in the Berkshire Hathaway Inc. (NYSE: BRK-B) portfolio. With all the major indices at or near all-time highs, it makes sense to exercise caution as we are in the seasonally treacherous fall months. We screened Buffett's holdings and found four high-yield dividend stocks that are ideal moves now. All four are rated Buy at the top firms we cover on Wall Street.

Why do we cover Warren Buffett's stocks?

Eric Francis / Getty Images

There are few investors with the results and reputation that Buffett has garnered over the past 50 years. While investing has evolved over the past half-century, buying good companies with products and services recognized worldwide, while paying dividends, will always remain a timeless approach.

Chevron

Chevron Corp. (NYSE: CVX) is an American multinational energy company that is predominantly specialized in oil and gas. This integrated giant is a safer option for investors looking to position themselves in the energy sector, paying a substantial 4.40% dividend, which was raised by 5% earlier this year. Chevron operates integrated energy and chemicals businesses worldwide through two segments.

The Upstream segment is involved in the following:

Exploration, development, production, and transportation of crude oil and natural gas

Processing, liquefaction, transportation, and regasification associated with liquefied natural gas

Transportation of crude oil through pipelines, and transportation, storage

Marketing of natural gas, as well as operating a gas-to-liquids plant

The Downstream segment engages in:

Refining crude oil into petroleum products

Marketing crude oil, refined products, and lubricants

Manufacturing and marketing renewable fuels

Transporting crude oil and refined products by pipeline, marine vessel, motor equipment, and rail car

Manufacturing and marketing of commodity petrochemicals, plastics for industrial uses, and fuel and lubricant additives

It also involves cash management, debt financing, insurance operations, real estate, and technology businesses.

Chevron announced in late 2023 that it had entered into a definitive agreement with Hess Corp. (NYSE: HES) to acquire all the outstanding shares of Hess in an all-stock transaction valued at $53 billion, or $171 per share based on Chevron's closing price on October 20, 2023. Under the terms of the agreement, Hess shareholders will receive 1.0250 shares of Chevron for each Hess share. The transaction's total enterprise value, including debt, is $60 billion. The Federal Trade Commission approved the deal last October, and it is expected to close this fall.

Wells Fargo has an Overweight rating with a huge $190 target price.

Coca-Cola

Coca-Cola Co. (NYSE: KO) is an American multinational corporation founded in 1892. This company remains a top long-time holding of Buffett. He owns a massive 400 million shares that are up a solid 11% in 2025 and pay a 2.94% dividend. Coca-Cola is the world's largest beverage company, offering consumers more than 500 sparkling and still brands.

Led by Coca-Cola, one of the world's most valuable and recognizable brands, the company's portfolio features 20 billion-dollar brands, including:

Diet Coke

Coca-Cola Light

Coca-Cola Zero Sugar

Caffeine-free Diet Coke

Cherry Coke

Fanta Orange

Fanta Zero Orange

Fanta Zero Sugar

Fanta Apple

Sprite

Sprite Zero Sugar

Simply Orange

Simply Apple

Simply Grapefruit

Fresca

Schweppes

Dasani

Fuze Tea

Glacéau Smartwater

Glacéau Vitaminwater

Gold Peak

Ice Dew

Powerade

Topo Chico

Minute Maid

Globally, it is the top provider of sparkling beverages, ready-to-drink coffees, juices, and juice drinks.

Through the world's most extensive beverage distribution system, consumers in more than 200 countries enjoy the company's beverages at a rate of over 1.9 billion servings per day. It is also important to remember that the company owns 16% of Monster Beverage Corp. (NASDAQ: MNST), which continues to deliver strong financial results.

J.P. Morgan has a Buy rating and a $75 price objective.

Kraft Heinz

This is North America's third-largest food and beverage company and fifth-largest globally, with a massive 6.37% dividend. Even in difficult times, everybody needs to eat, and this company consistently benefits while paying a substantial dividend. Kraft Heinz Co. (NYSE: KHC) was formed via the merger of H.J. Heinz and Kraft Foods, and it manufactures and markets food and beverage products worldwide through its eight consumer-driven product platforms:

Taste Elevation

Easy Ready Meals

Hydration

Meats

Cheeses

Substantial Snacking

Desserts

Coffee and other grocery products

The company has two reportable segments defined by geographic region: North America and International Developed Markets.

Its other segments, consisting of West and East Emerging Markets (WEEM) and Asia Emerging Markets (AEM), are combined and disclosed as Emerging Markets. It manufactures its products from a wide variety of raw materials.

Kraft Heinz brands include:

Kraft

Oscar Mayer

Heinz

Philadelphia

Lunchables

Velveeta

Ore-Ida

Capri Sun

Maxwell House

Kool-Aid

Jell-O

Golden Circle

Wattie's

Plasmon

Master

Quero

Pudliszki

The company's products are sold through its sales organizations and independent brokers, agents, and distributors.

Kraft Heinz is evaluating a potential spin-off of a significant portion of its grocery business, encompassing slower-growing brands like Velveeta, Oscar Mayer, and Jell-O, into a separate entity that could be worth $20 billion. The move aims to "unlock shareholder value" by allowing a more focused, high-growth "RemainCo" centered on premium brands such as Heinz ketchup and Philadelphia cream cheese to pursue innovation and international expansion. In contrast, the divested business could pursue its own strategic direction. Many on Wall Street feel that this could be a massive positive for shareholders, citing spin-offs at General Electric and AT&T in the past.

DZ Bank has a Strong Buy rating, but we could not find the price target.

Kroger

This grocery chain giant is a consistently solid and conservative investment with a 1.90% dividend. Kroger Co. (NYSE: KR) is an American retail company that operates supermarkets and multi-department stores throughout the United States. It operates combination food and drug stores, multi-department stores, marketplace stores, and price-impact warehouses.

Its combination of food and drug stores offers:

Natural food and organic sections

Pharmacies

General Merchandise

Pet centers

Fresh seafood and organic produce

Multi-department stores offer:

Apparel

Home fashion and furnishings

Outdoor living

Electronics

Automotive products

Toys

The company's marketplace stores offer:

Full-service grocery, pharmacy, health, and beauty care.

Perishable goods, as well as general merchandise, including apparel, home goods, and toys.

Price-impact warehouse stores sell groceries, health and beauty care products, meat, dairy, baked goods, and fresh produce.

The company also manufactures and processes food products in its supermarkets and online; it sells fuel through 1,613 fuel centers.

Jefferies has a Buy rating with an $83 target price.

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