SmarterDividends

AVGO vs MSFT: Which Is the Better Dividend Stock?

As of Oct 29, 2026, AVGO and MSFT are closely matched. AVGO offers the higher yield at 0.76%, MSFT has the higher dividend-safety score, and AVGO looks like the better value (its fair-value estimate is 42% below its share price).

Key facts: AVGO vs MSFT

Data as of · Source: SmarterDividends data

  • As of Oct 29, 2026, Broadcom Inc. (AVGO) has the higher forward dividend yield at 0.76%, versus 0.74% for Microsoft Corporation (MSFT).
  • As of Oct 29, 2026, SmarterDividends grades AVGO's dividend safety B (71/100) and MSFT's A (97/100).
  • By SmarterDividends' count as of Oct 29, 2026, AVGO has raised its dividend for 6 consecutive years and MSFT for 20.
  • As of Oct 29, 2026, AVGO pays out 32% of its earnings as dividends and MSFT pays out 20%.
  • As of Oct 29, 2026, AVGO's fair-value estimate is 42% below its share price and MSFT's fair-value estimate is 42% below its share price, so AVGO looks like the better value of the two on SmarterDividends' blended model.
Cite this page

SmarterDividends, "AVGO vs MSFT: Dividend Yield, Safety & Value Compared," updated Oct 29, 2026, https://smarterdividends.com/compare/avgo-vs-msft

MetricAVGOMSFT
Forward yield0.76%0.74%
Annual dividend$2.60$3.92
Payout ratio32%20%
Years of growth6 yr20 yr
5-yr dividend growth12.6%10.2%
5-yr total return481%59%
Dividend safety score71 (B)97 (A)
Fair value estimate$204.56$308.36
Upside to fair value-42%-42%
Frequencyquarterlyquarterly
Market cap$1.7T$3.9T
P/E ratio44.929.6

Higher yield

AVGO

0.76%

Safer dividend

MSFT

Grade A

Faster growth

AVGO

12.6%

Better value

AVGO

-42% upside

AVGO vs MSFT — FAQ

Is AVGO or MSFT a better dividend stock?

AVGO and MSFT are closely matched. AVGO has the higher yield; MSFT scores better on safety.

Which has a higher dividend yield, AVGO or MSFT?

AVGO has the higher forward dividend yield at 0.76%, versus 0.74% for MSFT.

Is AVGO or MSFT safer?

MSFT has the higher dividend-safety score (97/100 vs 71/100), reflecting stronger payout coverage and dividend-growth history.

Is AVGO or MSFT better value right now?

As of Oct 29, 2026, AVGO looks like the better value: its fair-value estimate is 42% below its share price (overvalued). For MSFT, its fair-value estimate is 42% below its share price.

See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.