3 No-Brainer Dividend Stocks to Buy Right Now

Dividend investing means different things to different people. So here are three high-yield stocks that have interesting stories to tell: one for conservative investors, one for dividend growth investors, and one for risk-takers. There's likely to be at least one stock here that suits your fancy if you take the time to dig in right now.

1. A Dividend King and consumer staples giant

Coca-Cola (NYSE: KO) needs no introduction, given that its Coke brand is one of the best-known sodas in the world. In fact, Coca-Cola is the fourth-largest consumer staples business on the planet. It can stand toe-to-toe with any competitor when it comes to brand strength, marketing skill, innovation chops, and distribution capabilities. Its vast size, meanwhile, means it can easily act as an industry consolidator as management looks to keep up with changing consumer trends.

The biggest sign of success here is Coca-Cola's status as a Dividend King, with over 60 years worth of annual dividend increases behind it. That track record had to be earned -- it isn't an accident.

But even great businesses go through difficult times. Right now, consumer tastes are shifting in a healthy direction, and Wall Street is worried that the soda maker is out of step. If history is any guide, Coca-Cola will figure out how to survive and thrive, just like it has many times before.

Meanwhile, long-term investors have an opportunity to buy Coca-Cola stock while it is reasonably priced. The price-to-sales and price-to-earnings ratios are both a touch below their five-year averages. The yield is attractive at roughly 3%. While Coca-Cola isn't a screaming value, it does seem fairly priced, and that should definitely interest conservative income investors.

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2. Cocoa prices are starting to turn for the better

Hershey (NYSE: HSY) is another food maker -- this time with a focus on chocolate. That said, the company also makes sugary confections and salty snacks, too.

However, it is chocolate that is the big deal right now, or, more to the point, the cost of key ingredient cocoa. Over the past few years, cocoa prices have skyrocketed and crushed Hershey's profits. The company expects 2025 adjusted earnings to drop by a painful 37%. But that is actually a slight improvement over the previous worst-case scenario of a 38% decline.

A one-percentage-point improvement is hardly a big change, but when you put that together with management's positive outlook for cocoa prices, it is a very good sign. Now add in the fact that Hershey's volumes remain resilient even in the face of price increases.

All in, the fundamental strength of this business is really shining through despite the difficult cocoa backdrop. The dividend yield is historically high at 3.2% and Wall Street's short-term thinking will likely shift in a more positive direction as cocoa prices improve.

The big attraction here, however, is going to be the 10% or so annualized dividend growth rate over the past decade. If you are a dividend growth lover, don't sleep on Hershey. The cocoa headwinds will eventually fade, and investors will likely return in droves for this sweet business.

3. This Dividend King retailer has adjusted before

The last stock up is Target (NYSE: TGT), an iconic U.S. retailer focused on offering consumers a slightly upscale shopping experience. That's not a great thing right now, because consumers are trading down to lower-priced alternatives.

This isn't the first time that the Dividend King retailer has had to deal with being out of step with customers over the past five decades. It has adjusted before, and it will likely adjust again this time around, too.

In fact, changes are already being made. Two big ones are the shift from a single employee overseeing the go-to-market strategy to a team approach, as well as the board of directors' move to bring in a new CEO to provide a different perspective.

Still, there's no simple fix. Turning the business around will take time. But if history is any guide, Target will get back on track again. In the meantime, if you can stomach a turnaround stock, Target is deeply out of favor right now and sporting a historically high 4.9% yield.

Don't get stuck in your head with these three dividend stocks

A cynic might argue that Coca-Cola isn't cheap enough, cocoa prices haven't improved enough to benefit Hershey, and Target's turnaround isn't a sure thing. Those are valid reasons to not buy each of them, but they all miss the big picture.

A fair price for Coca-Cola has historically been a great entry point. Hershey's positive view of cocoa and strong underlying business suggest the dividend growth stock's results will soon be improving. And Target's changes are likely to keep the company in line with customers, given the over-50-year history of success this retailer has had satisfying consumers who want more than just cheap prices.

Reuben Gregg Brewer has positions in Hershey. The Motley Fool has positions in and recommends Hershey and Target. The Motley Fool has a disclosure policy.