3 high-yield dividend stocks Warren Buffett owns (and 3 similar on the ASX)

An ASX investor can replicate some of Buffett's best dividend stocks.

A woman wearing dark clothing and sporting a few tattoos and piercings holds a phone and a takeaway coffee cup as she strolls under the Sydney Harbour Bridge which looms in the background.

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Warren Buffett loves a good dividend stock. We discussed as much just the other day, when analysing Buffett and how his company Berkshire Hathaway Inc (NYSE: BRK.A)(NYSE: BRK.B) is expected to bring in around $9 billion in dividend income this year alone.

Berkshire may have dozens and dozens of shares in its bulging portfolio. But Buffett gets the vast majority of his dividend income from just a few of those.

So today, let's look at three of Buffett's largest dividend stocks, and some possible ASX equivalents that we can look to for our own dividends here on the Aussie share market.

3 of Warren Buffett's best dividend stocks

Kraft Heinz Co (NASDAQ: KHC)

Kraft Heinz is one of Berkshire's more controversial holdings. Buffett himself helped engineer the merger that brought Kraft and Heinz together back in 2015. But since then, this company has had its fair share of ups and downs. Between 2017 and 2020, shareholders watched as the company shed 75% of its value.

In saying that, Kraft Heinz has kept the support of Buffett, who hasn't sold a single share. The company appears to be slowly on its way up too, having gained almost 75% since its 2020 lows.

Today, Berkshire would be enjoying the 4.13% dividend yield that Kraft Heinz stock currently offers. The closest ASX equivalent to this food giant is probably Bega Cheese Ltd (ASX: BGA). Not only does Bega have a popular range of Australian food products, including Vegemite, but its portfolio of drink brands (including Dare, Vitasoy, and The Juice Brothers) also gives it some semblance to another Buffett favourite, Coca-Cola Company.

Bank of America Corp (NYSE: BAC)

Buffett has long loved bank stocks, but Bank of America remains Berkshire's only holding as of today. Bank of America is one of the most dominant financial institutions in the United States and the world, only behind JP Morgan Chase.

This one provides an easy comparison. The ASX's equivalent to his investment would probably have to be Commonwealth Bank of Australia (ASX: CBA), which is generally regarded as the ASX's highest-quality bank share. Another option could be the second largest ASX bank, National Australia Bank Ltd (ASX: NAB).

ASX investors might be grateful that both CBA's and NAB's dividend yields come in far ahead of BoA though. Right now, CBA shares are offering a fully franked yield of 4.27%, and NAB, 6.15%. That looks pretty good against Bank of America's 3.13%.

Chevron Corporation (NYSE: CVX)

Buffett clearly loves oil stocks, with both Chevron and Occidental Petroleum forming large chunks of Berkshire's portfolio at present. Chevron is a famous US dividend stock. It is even a rare dividend aristocrat, having increased its annual dividend payments every year for 36 years.

Perhaps Buffett's pick of the ASX oil shares would be Woodside Energy Group Ltd (ASX: WDS). Woodside is the clear market leader when it comes to ASX oil stocks, thanks to its blockbuster merger with the petroleum division of BHP Group Ltd (ASX: BHP) last year. This merger made the company the seventh largest on the S&P/ASX 200 Index (ASX: XJO).

Although Woodside can't boast of such an impressive divided streak as Chevron, it still smashes the yield you can get on Chevron stock today. Chevron currently offers a dividend yield of 3.84%, which pales in comparison to Woodside's fully franked 10.72% trailing yield.

Wondering where you should invest $1,000 right now?

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for over ten years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes could be the 'five best ASX stocks' for investors to buy right now. We believe these stocks are trading at attractive prices and Scott thinks they could be great buys right now...

See The 5 Stocks *Returns as of 30 April 2025

JPMorgan Chase is an advertising partner of The Ascent, a Motley Fool company. Bank of America is an advertising partner of The Ascent, a Motley Fool company. Motley Fool contributor Sebastian Bowen has positions in Berkshire Hathaway, Coca-Cola, Kraft Heinz, and National Australia Bank. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Bank of America, Berkshire Hathaway, and JPMorgan Chase. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has recommended Kraft Heinz and has recommended the following options: long January 2024 $47.50 calls on Coca-Cola. The Motley Fool Australia has recommended Berkshire Hathaway. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Dividend Investing

A couple makes silly chip moustache faces and take a selfie on their phone.
Dividend Investing

Worried about falling interest rates? Here are 2 ASX 200 income shares to replace a term deposit today

Dividend shares are looking better and better in 2025.

Read more »

Man smiling at a laptop because of a rising share price.
Dividend Investing

Guess which high-yielding ASX All Ords dividend stock Macquarie expects to surge 34% in a year

Looking for market-beating passive income and share price gains? Check out this ASX All Ords stock!

Read more »

Middle age caucasian man smiling confident drinking coffee at home.
Dividend Investing

Buy BHP, Telstra, and this ASX dividend share

Brokers are tipping these shares as buys for income investors. But why?

Read more »

The letters ETF sit in orange on top of a chart with a magnifying glass held over the top of it
Dividend Investing

Boosting passive income: With a 7.6% yield, is the YMAX ETF a good option?

Is this ETF's yield too good to be true?

Read more »

A man in a business shirt and tie takes a wide leap over a large steel trap with jagged teeth.
Bank Shares

5.75% yield: Are ANZ shares a dividend trap?

ANZ's dividend currently beats out its own term deposits.

Read more »

Man holding out Australian dollar notes, symbolising dividends.
Dividend Investing

Here are 3 buy-rated ASX dividend stocks to beat falling interest rates

Brokers are recommending these stocks to clients.

Read more »

Senior man wearing glasses and a leather jacket works on his laptop in a cafe.
Dividend Investing

Overinvested in BHP shares? Here are two alternative ASX dividend stocks

There are other businesses worth owning for passive income.

Read more »

Happy young couple saving money in piggy bank.
Dividend Investing

3 strong ASX dividend shares to buy instead of CBA

Analysts think these are better options than Australia's largest bank.

Read more »