SmarterDividends

CDW vs MSFT: Which Is the Better Dividend Stock?

As of Nov 9, 2026, MSFT (Microsoft Corporation) screens as the stronger dividend stock, winning 6 of 8 head-to-head metrics. CDW offers the higher yield at 1.73%, MSFT has the higher dividend-safety score, and CDW looks like the better value (its fair-value estimate is 5% above its share price).

Key facts: CDW vs MSFT

Data as of · Source: SmarterDividends data

  • As of Nov 9, 2026, CDW Corporation (CDW) has the higher forward dividend yield at 1.73%, versus 0.74% for Microsoft Corporation (MSFT).
  • As of Nov 9, 2026, SmarterDividends grades CDW's dividend safety A (83/100) and MSFT's A (97/100).
  • By SmarterDividends' count as of Nov 9, 2026, CDW has raised its dividend for 11 consecutive years and MSFT for 20.
  • As of Nov 9, 2026, CDW pays out 29% of its earnings as dividends and MSFT pays out 19%.
  • As of Nov 9, 2026, CDW's fair-value estimate is 5% above its share price and MSFT's fair-value estimate is 39% below its share price, so CDW looks like the better value of the two on SmarterDividends' blended model.
Cite this page

SmarterDividends, "CDW vs MSFT: Dividend Yield, Safety & Value Compared," updated Nov 9, 2026, https://smarterdividends.com/compare/cdw-vs-msft

MetricCDWMSFT
Forward yield1.73%0.74%
Annual dividend$2.72$3.92
Payout ratio29%19%
Years of growth11 yr20 yr
5-yr dividend growth10.2%10.2%
5-yr total return-17%61%
Dividend safety score83 (A)97 (A)
Fair value estimate$164.43$324.21
Upside to fair value+5%-39%
Frequencyquarterlyquarterly
Market cap$19.6B$3.9T
P/E ratio18.327.7

Higher yield

CDW

1.73%

Safer dividend

MSFT

Grade A

Faster growth

MSFT

10.2%

Better value

CDW

+5% upside

CDW vs MSFT — FAQ

Is CDW or MSFT a better dividend stock?

On the data, MSFT wins more head-to-head categories (6 vs 2). CDW offers the higher yield (1.73%), while MSFT has the stronger dividend-safety score. The right pick depends on whether you prioritise income, safety or value.

Which has a higher dividend yield, CDW or MSFT?

CDW has the higher forward dividend yield at 1.73%, versus 0.74% for MSFT.

Is CDW or MSFT safer?

MSFT has the higher dividend-safety score (97/100 vs 83/100), reflecting stronger payout coverage and dividend-growth history.

Is CDW or MSFT better value right now?

As of Nov 9, 2026, CDW looks like the better value: its fair-value estimate is 5% above its share price (fairly valued). For MSFT, its fair-value estimate is 39% below its share price.

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