MSFT dividend yield: 0.72%. DGRO dividend yield: 2.19%. 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. DGRO focuses on US companies with a history of growing dividends, screening for payout ratio sustainability. With 500+ holdings and ultra-low 0.08% expense ratio, it offers broad diversification among dividend growers. One of BlackRock's most popular ETFs for long-term dividend growth investors.
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.
DGRO focuses on US companies with a history of growing dividends, screening for payout ratio sustainability. With 500+ holdings and ultra-low 0.08% expense ratio, it offers broad diversification among dividend growers. One of BlackRock's most popular ETFs for long-term dividend growth investors.
Is MSFT or DGRO better for dividend income in 2026?
MSFT currently offers a 0.72% yield (3.00/share/year) while DGRO offers 2.19% (1.28/share/year). DGRO provides higher current income. However, MSFT has grown its dividend faster (10.2% 5Y CAGR), which may lead to better long-term income through compounding.
How much would $10,000 in MSFT vs DGRO earn per year?
With $10,000 invested today: MSFT pays approximately $72/year. DGRO pays approximately $219/year. With DRIP reinvestment over 10 years, these grow to $199/year (MSFT) and $653/year (DGRO).
Does MSFT or DGRO pay monthly dividends?
MSFT pays quarterly dividends. DGRO 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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