12 Best Defensive Stocks To Buy Right Now

1. Microsoft Corporation (NASDAQ:MSFT)

Number of Hedge Fund Holders: 279

Microsoft Corporation (NASDAQ:MSFT) is a Washington-based technology company. In the fiscal year ending June 2024, Microsoft reported revenues of $211.9 billion, a 10% increase from the previous year. The company achieved a net income of $72.7 billion during the time, reflecting a 9% year-over-year growth. Microsoft pays an annual dividend of $3.32 per share, yielding approximately 0.77%. The company has increased its dividend for 20 consecutive years, with an average annual growth rate of 10.22% over the past three years. Among pure-play technology companies, it is only among a handful of tech stocks to achieve this kind of stability and growth over the past three or four decades.

While we acknowledge the potential of Microsoft Corporation (NASDAQ:MSFT) as an investment, our conviction lies in the belief that some stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for a stock that is more promising than Microsoft Corporation (NASDAQ:MSFT) but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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