Because the stock market is expected to remain in a correction mode, or at least volatile, in the near term due to investors’ concerns about the spread of the COVID-19 Delta variant and high inflation, investing in dividend-paying stocks could help investors ensure a steady income stream. However, not every dividend-paying stock is necessarily a good bet now.
Because the prospects of the technology industry look promising thanks to the continuing global, digital transformation across industries and rising demand for advanced technologies, the chances that mega players in the industry will stay afloat amid the market volatility are very high. So, it could be wise to invest now on the price dips in dividend-paying mega tech stocks Microsoft Corporation (MSFT), Cisco Systems, Inc. (CSCO), Intel Corporation (INTC), and Broadcom Inc. (AVGO).
Their consistent product innovations, combined with expanded market reach, better financials, and attractive dividend yields should enable them to dodge market volatility and deliver significant returns in the coming months.
Microsoft Corporation (MSFT)
MSFT develops, supports, licenses, and sells various software products, services and solutions worldwide. The company also manufactures and sells PCs, tablets, gaming and entertainment consoles, other intelligent devices, and related accessories through OEMs, distributors, resellers, digital marketplaces, and retail stores.
MSFT is scheduled to pay a $0.56 quarterly dividend on September 9, 2021. The stock pays a $2.24 dividend per share annually, which translates to an 0.81% yield. The company’s dividend has grown at a 9.5% rate over the past five years.
On July 13, 2021, MSFT and NEC Corporation (NEC), a Japanese information technology and electronics corporation, expanded their collaboration to leverage MSFT’s Microsoft Azure and Microsoft 365, and NEC’s network and IT expertise to help enterprise customers and the public sector further accelerate their cloud adoption and digital transformation initiatives. Combining AI and IoT technologies and the expertise of both companies should enable them to provide greater speed and lower-latency data connections and provide high-performance network experiences to their customers.
On June 30, AT&T Inc. (T) collaborated with MSFT to manage T’s mobile network traffic using MSFT’s Microsoft Azure technology. This should enable T to enhance productivity and deliver large-scale network services to meet customers’ needs. Also, MSFT will have access to T’s intellectual property to expand its Azure for Operators telecom offering and acquire T’s carrier-grade Network Cloud platform. MSFT’s adjusted revenue came in at $41.71 billion for its fiscal third quarter, which ended March 31, 2021, representing a 19.1% year-over-year rise. The company’s gross profit increased 19.2% year-over-year to $28.66 billion. Its adjusted operating income is reported at $17.05 billion, up…
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