SmarterDividends

CNXN vs MSFT: Which Is the Better Dividend Stock?

As of Oct 18, 2026, CNXN (PC Connection, Inc.) screens as the stronger dividend stock, winning 4 of 7 head-to-head metrics. CNXN offers the higher yield at 0.90%, MSFT has the higher dividend-safety score, and CNXN looks like the better value (its fair-value estimate is 13% below its share price).

Key facts: CNXN vs MSFT

Data as of · Source: SmarterDividends data

  • As of Oct 18, 2026, PC Connection, Inc. (CNXN) has the higher forward dividend yield at 0.90%, versus 0.74% for Microsoft Corporation (MSFT).
  • As of Oct 18, 2026, SmarterDividends grades CNXN's dividend safety C (62/100) and MSFT's A (97/100).
  • By SmarterDividends' count as of Oct 18, 2026, CNXN has raised its dividend for 2 consecutive years and MSFT for 20.
  • As of Oct 18, 2026, CNXN pays out 19% of its earnings as dividends and MSFT pays out 20%.
  • As of Oct 18, 2026, CNXN's fair-value estimate is 13% below its share price and MSFT's fair-value estimate is 42% below its share price, so CNXN looks like the better value of the two on SmarterDividends' blended model.
Cite this page

SmarterDividends, "CNXN vs MSFT: Dividend Yield, Safety & Value Compared," updated Oct 18, 2026, https://smarterdividends.com/compare/cnxn-vs-msft

MetricCNXNMSFT
Forward yield0.90%0.74%
Annual dividend$0.80$3.92
Payout ratio19%20%
Years of growth2 yr20 yr
5-yr dividend growth—10.2%
5-yr total return104%60%
Dividend safety score62 (C)97 (A)
Fair value estimate$77.76$308.36
Upside to fair value-13%-42%
Frequencyquarterlyquarterly
Market cap$2.3B$3.9T
P/E ratio23.629.5

Higher yield

CNXN

0.90%

Safer dividend

MSFT

Grade A

Faster growth

MSFT

10.2%

Better value

CNXN

-13% upside

CNXN vs MSFT — FAQ

Is CNXN or MSFT a better dividend stock?

On the data, CNXN wins more head-to-head categories (4 vs 3). CNXN offers the higher yield (0.90%), 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, CNXN or MSFT?

CNXN has the higher forward dividend yield at 0.90%, versus 0.74% for MSFT.

Is CNXN or MSFT safer?

MSFT has the higher dividend-safety score (97/100 vs 62/100), reflecting stronger payout coverage and dividend-growth history.

Is CNXN or MSFT better value right now?

As of Oct 18, 2026, CNXN looks like the better value: its fair-value estimate is 13% below its share price (fairly valued). 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.