Building Long-Term Wealth with Dividend Stocks
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Feb 16 2026
0mins
Should l Buy MSFT?
Source: Fool
- Dividend Stock Advantages: According to Ned Davis Research, from 1973 to 2024, dividend growers and payers have an average annual total return of 10.24%, significantly outperforming non-payers at 4.31%, highlighting the compelling nature of dividend stocks for long-term investment.
- Microsoft's Growth Potential: Microsoft (MSFT) has averaged a 24% annual gain over the past decade, and despite a 17% decline year-to-date, its dividend yield has risen to 0.9%, with annual dividends increasing from $1.89 in 2019 to $3.64 in 2023, reflecting strong profitability and ongoing shareholder returns.
- Medtronic's Stable Returns: Medtronic (MDT) has raised its dividend by an average of 6% annually over the past decade and has increased its dividend for 48 consecutive years, currently yielding 2.8%, while its second-quarter revenue rose 7% year-over-year, demonstrating robust performance in the medical device sector.
- ETF Investment Opportunity: The Schwab U.S. Dividend Equity ETF (SCHD) offers a 3.5% dividend yield and tracks the Dow Jones U.S. Dividend 100 Index, which includes 100 stocks that have paid dividends for at least 10 years, with a low annual fee of just 0.06%, providing investors with a cost-effective diversified investment option.
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Analyst Views on MSFT
Wall Street analysts forecast MSFT stock price to rise
34 Analyst Rating
32 Buy
2 Hold
0 Sell
Strong Buy
Current: 369.370
Low
500.00
Averages
631.36
High
678.00
Current: 369.370
Low
500.00
Averages
631.36
High
678.00
About MSFT
Microsoft Corporation is a technology company that develops and supports software, services, devices, and solutions. Its Productivity and Business Processes segment consists of products and services in its portfolio of productivity, communication, and information services, spanning a variety of devices and platforms. It comprises Microsoft 365 Commercial products and cloud services; Microsoft 365 Consumer products and cloud services; LinkedIn, and Dynamics products and cloud services. The Intelligent Cloud segment consists of its public, private, and hybrid server products and cloud services. It comprises server products and cloud services, including Azure, and enterprise and partner services, including Enterprise Support Services. Its More Personal Computing segment primarily comprises Windows and Devices, including Windows OEM licensing; Gaming, including Xbox hardware and Xbox content; Search and news advertising, comprising Bing and Copilot, Microsoft News, and Microsoft Edge.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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