5 Dow Jones Dividend Stocks With Over 1% Yield

1. Microsoft Corporation (NASDAQ:MSFT)

Number of Hedge Fund Holders: 258
Dividend Yield as of September 18: 1.01%

Microsoft Corporation (NASDAQ:MSFT) is one of the most stable tech companies that pay dividends to shareholders. On September 20, the company declared a 10% hike in its quarterly dividend to $0.68 per share. This was the company’s 16th consecutive year of dividend growth. As of September 18, the stock has a yield of 1.01%.

Microsoft Corporation (NASDAQ:MSFT) generated revenue of $51.8 billion in fiscal Q4 2022, which showed a 12.4% year-over-year growth. The company’s operating cash flow stood at over $24.6 billion while its free cash flow came in at $17.7 billion. During the quarter, it paid $12.4 billion to shareholders and dividend payments amounted to over $4.6 billion.

In July, BMO Capital lifted its price target on Microsoft Corporation (NASDAQ:MSFT) to $320 with an Outperform rating on the shares. The firm mentioned that though its results were not up to the mark, the management affirms double-digit constant currency growth and strong booking for the next fiscal year.

At the end of Q2 2022, 258 hedge funds owned positions in Microsoft Corporation (NASDAQ:MSFT), compared with 259 in the previous quarter. The stakes owned by these hedge funds hold a collective value of over $56 billion.

Baron Funds mentioned Microsoft Corporation (NASDAQ:MSFT) in its Q2 2022 investor letter. Here is what the firm has to say:

“Shares of Microsoft Corporation, a leading global provider of software solutions, declined 16.6% in the quarter along with the broader software group as well as due to growing concerns of a potential macro-driven slowdown. This is despite the company posting strong quarterly financial results and successfully absorbing headwinds from the war in Ukraine. The company had 21% revenue growth, 23% operating income growth, and 35% growth in Microsoft Cloud (all year-over-year in constant currency), which now represents 47% of total revenues.

As discussed above, we continue to believe Microsoft remains a durable and growing business as companies across all industries look to digitally transform, taking advantage of the continuously expanding solution set Microsoft has to offer.”

You can also take a look at10 Best Blue Chip Dividend Stocks to Invest In and 10 Best Stocks That Pay Monthly Dividends

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