MSFT dividend yield: 0.72%. HTGC dividend yield: 10.22%. 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. Hercules Capital specializes in lending to venture-backed technology and life sciences companies. This unique focus allows it to capture higher yields than traditional BDCs. Strong origination network with leading VC firms. HTGC pays regular plus supplemental dividends, making total yield among the highest in BDC space.
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.
Hercules Capital specializes in lending to venture-backed technology and life sciences companies. This unique focus allows it to capture higher yields than traditional BDCs. Strong origination network with leading VC firms. HTGC pays regular plus supplemental dividends, making total yield among the highest in BDC space.
Is MSFT or HTGC better for dividend income in 2026?
MSFT currently offers a 0.72% yield (3.00/share/year) while HTGC offers 10.22% (1.88/share/year). HTGC 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 HTGC earn per year?
With $10,000 invested today: MSFT pays approximately $72/year. HTGC pays approximately $1022/year. With DRIP reinvestment over 10 years, these grow to $199/year (MSFT) and $3,064/year (HTGC).
Does MSFT or HTGC pay monthly dividends?
MSFT pays quarterly dividends. HTGC 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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