Microsoft Hikes Quarterly Dividend By 9.8%

Software giant Microsoft increased its quarterly dividend by 9.8% to $0.56 per share from $0.51 per share.

Microsoft’s (MSFT) new quarterly dividend of $0.56 per share translates to an annualized dividend of $2.24 per share and will be payable on Dec. 10 to stockholders of record on Nov. 19, 2020. The annual dividend yield is 1.1%.

Last week, Morgan Stanley analyst Keith Weiss said that he expects Microsoft to increase its dividends by 10+%, resulting in a dividend yield of more than 1%. “Combined with mid-teens EPS growth, the supports [Microsoft’s] premium total return profile, a durable and attractive level in uncertain times,” the 5-star analyst wrote in a note to clients.

He maintained a Buy rating and lifted the price target to $245 (17.4% upside potential) from $230. (See MSFT stock analysis on TipRanks).

Currently, the Street has a bullish outlook on the stock. The Strong Buy analyst consensus is based on 26 Buys and 3 Holds. The average price target of $230.14 implies upside potential of about 10.2% to current levels. Shares have gained 32.4% year-to-date.

Related News:
Microsoft, BP Join Forces To Drive Digital Energy And Net Zero Carbon Goals
3M Surprises With 3Q Sales Outlook As Street Says Hold
Carnival To Post $2.9B Loss in 3Q; Shares Drop 3% In Pre-Market

Stay Ahead of Everyone Else

Get The Latest Stock News Alerts