AVGO dividend yield: 1.08%. MSFT dividend yield: 0.72%. Broadcom has grown its dividend 20%+ annually for 13+ consecutive years — the fastest sustained dividend growth of any large-cap stock. Its semiconductor and infrastructure software businesses (including VMware) generate massive free cash flow. AVGO represents the ultimate combination of dividend growth and capital appreciation. Microsoft has grown its dividend 10%+ annually for a decade, making it one of the best dividend growth stories in tech. Azure cloud dominance and AI integration (Copilot) drive strong cash generation. Low payout ratio of ~24% means dividends are extremely safe with significant room to grow.
Broadcom has grown its dividend 20%+ annually for 13+ consecutive years — the fastest sustained dividend growth of any large-cap stock. Its semiconductor and infrastructure software businesses (including VMware) generate massive free cash flow. AVGO represents the ultimate combination of dividend growth and capital appreciation.
Microsoft has grown its dividend 10%+ annually for a decade, making it one of the best dividend growth stories in tech. Azure cloud dominance and AI integration (Copilot) drive strong cash generation. Low payout ratio of ~24% means dividends are extremely safe with significant room to grow.
Is AVGO or MSFT better for dividend income in 2026?
AVGO currently offers a 1.08% yield (2.12/share/year) while MSFT offers 0.72% (3.00/share/year). AVGO provides higher current income. However, AVGO has grown its dividend faster (22.8% 5Y CAGR), which may lead to better long-term income through compounding.
How much would $10,000 in AVGO vs MSFT earn per year?
With $10,000 invested today: AVGO pays approximately $108/year. MSFT pays approximately $72/year. With DRIP reinvestment over 10 years, these grow to $915/year (AVGO) and $199/year (MSFT).
Does AVGO or MSFT pay monthly dividends?
AVGO pays quarterly dividends. MSFT pays quarterly dividends. Neither pay monthly — both use a quarterly schedule, which is preferred by investors who need regular cash flow.
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