Microsoft Corporation

MSFT
Technology
$426.19
0.82%Fair Value

Microsoft Corporation (MSFT) is a Technology company that currently yields 0.82% — trading near fair value based on 10 years of dividend yield history. The Weiss valuation model places the undervaluation threshold at $176.55 and the overvaluation threshold at $496.92. Microsoft Corporation holds a quality score of 62/100 (Good), reflecting 9 consecutive years of dividend growth with a 21% payout ratio. The 5-year dividend CAGR stands at 10.2%.

MSFT Dividend Yield History — Weiss Valuation

Underval. $176.55Overval. $496.92
Price
Undervalued band
Overvalued band

Why Now?

Microsoft Corporation is trading at a fair valuation relative to its dividend history.

Current yield 0.8% vs historical max 2.0% (41% of maximum).

9 years of uninterrupted dividends.

Conservative payout ratio of 21%.

MSFT Dividend Income Projection — DRIP Compounder

Dividend Compounder (DRIP)

$

Year 1 Income

$90

Year 10 Income

$244

Yield on Cost

2.49%

Total Income

$1,545

Assumes dividends reinvested at current price. Simplified model — for illustrative purposes only.

MSFT Dividend Quality Score

Quality Score

62/ 100

Good

Payout Ratio25/25
Dividend Streak12/25
Growth (CAGR 5Y)20/20
Yield vs History0/15
FCF Coverage5/15

Key Metrics

Current Price$426.19
Annual Dividend$3.48
Current Yield0.82%
Yield — Max (10Y)1.97%
Yield — Min (10Y)0.70%
Undervalued Below$176.55
Overvalued Above$496.92
Payout Ratio20.73%
CAGR Dividend 5Y10.2%
CAGR Dividend 10Y
Years No Cut9y
9
consecutive years of dividend growth