Berkshire Hathaway (NYSE: BRK.A) (NYSE: BRK.B) is famous for not paying dividends. The logic is simple: Warren Buffett and his team believe they can put the capital that would have been distributed via dividends to better use and compound it over time.

So far, they've been right, as Berkshire gave investors a compound annual return of 20.1% between 1965 and 2021 compared to 10.5% for the S&P 500 with dividends reinvested. 

However, just because Berkshire doesn't pay a dividend doesn't mean that Buffett doesn't like dividend stocks. In fact, most of Berkshire's public equity portfolio is in dividend stocks, many of which have high yields and have paid and raised their dividends for decades. Kraft Heinz (NASDAQ: KHC), Celanese (NYSE: CE), and Procter & Gamble (NYSE: PG) stick out as three good buys now. Here's why.

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Source Fool.com