Here's How Many Shares of Microsoft You'd Need for $1,000 in Yearly Dividends

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Tech stocks typically don't get overmuch attraction from dividend investors, arsenic galore of these stocks wage precise little. Microsoft (NASDAQ: MSFT) is simply a notable exception. The tech elephantine paid its archetypal dividend successful 2003 and has accrued its payout each twelvemonth since 2004, making it 1 of the much underappreciated dividend stocks.

If your extremity is earning $1,000 successful yearly dividends, you could scope it by buying Microsoft stock, though it would necessitate a sizable investment.

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The Microsoft logo connected  a achromatic  background.

Image source: Getty Images.

Microsoft pays a quarterly dividend of $0.91 per share, which adds up to $3.64 per twelvemonth for each stock you hold. Based connected that amount, you'd request 275 shares for $1,000 successful yearly dividend income. Microsoft banal is down rather a spot lately, but that galore shares would inactive outgo you astir $105,000 arsenic of March 20, 2026, erstwhile it closed astatine $382.

A six-figure concern successful a azygous institution is excessively steep for astir investors, but a much tenable magnitude could marque consciousness to bargain the dip connected Microsoft. There are morganatic reasons down Microsoft's diminution -- it's spending heavy connected artificial intelligence, Azure maturation hasn't met expectations, and bundle stocks arsenic a full person been deed hard owed to worries astir AI -- but it's not each atrocious news.

Revenue grew 17% twelvemonth implicit twelvemonth to $81.3 cardinal successful the 2nd 4th of its 2026 fiscal year, which ended Dec. 31, 2025. Microsoft Cloud, successful particular, was a item with $51.5 cardinal successful revenue, a 26% year-over-year increase.

The marketplace has astir apt overreacted to Microsoft's issues, making this a bully introduction constituent to invest. In summation to being 1 of the astir proven tech stocks, investing successful Microsoft besides generates passive income that is apt to summation each year, fixed the company's way grounds of dividend growth.

Before you bargain banal successful Microsoft, see this:

The Motley Fool Stock Advisor expert squad conscionable identified what they judge are the 10 champion stocks for investors to bargain now… and Microsoft wasn’t 1 of them. The 10 stocks that made the chopped could nutrient monster returns successful the coming years.

Consider erstwhile Netflix made this database connected December 17, 2004... if you invested $1,000 astatine the clip of our recommendation, you’d person $503,592!* Or erstwhile Nvidia made this database connected April 15, 2005... if you invested $1,000 astatine the clip of our recommendation, you’d person $1,076,767!*

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