Stock Ticker | Home Page | Asset Class | Sector | Industry | Investment Strategy | Dividend Frequency | Geographic Focus |
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MSFT | Microsoft Corporation | Stock / Equity | Technology | Software & Technology Services | Growth | Quarterly | Global |
Microsoft, the tech powerhouse behind Windows, Office, and Azure, offers a unique blend of dividend income and growth potential for investors. While its dividend yield (currently around 1%) might not be the highest, its consistent payout history, strong financial performance, and diversified revenue streams make it a compelling option for long-term investors seeking a balance between income and capital appreciation.
Detail | |
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Overview: |
Microsoft is a global tech leader renowned for its productivity software (Office, Windows), cloud computing platform (Azure), and gaming consoles (Xbox). It caters to a vast consumer and enterprise market, holding a dominant share in the productivity software segment and a strong presence in cloud computing. Its mission statement is "to empower every person and every organization on the planet to achieve more." Microsoft's core values emphasize customer obsession, innovation, diversity & inclusion, and one Microsoft (working together). |
Business Model: |
Microsoft generates revenue through various channels:
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Industry Competition: |
Microsoft faces competition across its segments:
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Competitive Advantages: |
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Management Team: |
Satya Nadella, CEO: Proven track record in cloud
computing and
leading successful strategic shifts, focusing on cloud-first and
mobile-first initiatives. Amy Hood, CFO: Extensive financial expertise and a focus on capital allocation and shareholder value creation. Scott Guthrie, Executive Vice President of Cloud & AI: Deep understanding of cloud computing and leading Microsoft's Azure growth. |
Financial Performance: |
Microsoft consistently delivers strong financial results, with year-over-year revenue and profit growth. Its cloud business thrives, and overall financials remain robust. Upcoming events like product launches and potential economic downturns could impact future performance. |
Investment Thesis: |
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Conclusion: |
Microsoft presents a compelling investment opportunity for those seeking a balance between growth potential, dividend income, and brand stability. However, investors should consider the competitive landscape, potential economic risks, and its relatively low dividend yield compared to other options. |
Aspect | Details |
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MSFT Dividend Data |
Microsoft Corporation pays a quarterly dividend of $0.75 per share. |
MSFT Dividend Yield |
The dividend yield is approximately 0.72%, meaning for every $100 invested in MSFT stock, investors receive $0.72 in dividends annually. |
MSFT Dividend History |
The most recent ex-dividend date was February 14, 2024. (05.03.2024) |
MSFT Dividend Payout & Ratio |
The payout ratio is 25.12%, indicating that 25.12% of the company's earnings are paid out as dividends. |
MSFT Dividend Stability & Growth |
Microsoft's annual dividend is $3.00 per share, with a forward yield of 0.74%. |
Apple (MSFT) | Microsoft (MSFT) | Alphabet (GOOG) | |
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Industry Focus |
Consumer hardware, software, and services | Enterprise software and cloud computing | Search, advertising, and AI |
Current Yield |
0.53% | 0.74% | 0.00% |
Price-to-Earnings Ratio (P/E) |
28.22 | 37.09 | 25.05 |
Investment Strategy |
Hardware innovation, brand loyalty, recurring revenue from services | Cloud-based subscription services, enterprise solutions | Growing advertising dominance, diversification into AI and autonomous vehicles |
Investing in Microsoft Corp (MSFT) for its dividends comes with its own set of risks and considerations. One of the key factors to consider is the payout ratio. As of the latest data, MSFT's payout ratio stands at around 25.23%, which is a healthy ratio as it indicates that the company is retaining a significant portion of its earnings for growth and reinvestment. However, investors should monitor this ratio over time for any drastic changes that could impact future dividend payouts.
The next dividend date is another crucial factor for dividend investors. As of now, the next dividend payment is scheduled for March 14, 2024 (06.03.2024). However, the dividend date and the dividend amount can change based on the company's financial health and board decisions. Furthermore, while Microsoft has a strong history of consistent dividend payouts, past performance is not indicative of future results. The company's income, which has shown a 22.38% increase year-over-year, is a positive sign, but investors should also consider the overall growth data and market conditions. In conclusion, while MSFT's dividend is attractive, investors should consider these factors and their own risk tolerance before investing.