In this article, we discuss 5 NASDAQ-100 stocks that pay dividends. If you want to see some more stocks in this list, click 10 NASDAQ-100 Stocks that Pay Dividends.
5. Microsoft Corporation (NASDAQ:MSFT)
Number of Hedge Fund Holders: 262
Dividend Yield as of April 25: 0.89%
Microsoft Corporation (NASDAQ:MSFT) is one of the biggest Nasdaq companies, with its market capitalization exceeding $2 trillion. Microsoft Corporation (NASDAQ:MSFT) initiated dividend payments in 2003, and the tech giant delivers a dividend yield of 0.89% as of April 25.
Microsoft Corporation (NASDAQ:MSFT) declared on March 15 a $0.62 per share quarterly dividend, in line with previous. The dividend is payable on June 9, to shareholders of record on May 19.
On April 25, Credit Suisse analyst Phil Winslow noted that despite headwinds that are well-known and relatively transitory/cyclical rather than secular in nature, he expects Microsoft Azure to remain the focus of investors. He also believes that the transition to cloud remains strong, which positions Microsoft Corporation (NASDAQ:MSFT) to achieve Q2 guidance for a quarter-over-quarter revenue growth increasing to 47% – 49%. The analyst, ahead of Microsoft Corporation (NASDAQ:MSFT)’s Q1 2022 results, reiterated an Outperform rating and a $400 price target on the shares.
According to Insider Monkey’s Q4 database, 262 hedge funds held long positions in Microsoft Corporation (NASDAQ:MSFT), up from 250 funds in Q3 2021. Ken Fisher’s Fisher Asset Management is the leading shareholder of the company, with approximately 27 million shares worth over $9 billion.
Here is what Baron Opportunity Fund has to say about Microsoft Corporation (NASDAQ:MSFT) in its Q4 2021 investor letter:
“Shares of Microsoft Corporation, a cloud-software leader and provider of software productivity tools and infrastructure, rose during the quarter, following a strong earnings report highlighting solid demand for its broad product stack and continued momentum migrating its business to the cloud. Microsoft’s results continued to be strong across the board, with total revenue growing 20% in constant currency, beating Street estimates by 3%; an acceleration in Commercial Cloud revenue to 34% constant-currency growth; operating margins expanding to just under 45%; earnings growth of 23%; and free cash flow growth of 30%. We believe the company is positioned to deliver 13% to 15% organic growth over the next three years, underpinned by total addressable market expansion and continued market share gains across its disruptive cloud product portfolio.”