MCHP vs MSFT: Which Is the Better Dividend Stock?
As of September 2026, MSFT (Microsoft Corporation) screens as the stronger dividend stock, winning 5 of 8 head-to-head metrics. MCHP offers the higher yield at 2.54%, MSFT has the higher dividend-safety score, and MSFT trades at the larger discount to fair value (-21%).
| Metric | MCHP | MSFT |
|---|---|---|
| Forward yield | 2.54% | 0.74% |
| Annual dividend | $1.82 | $3.64 |
| Payout ratio | 268% | 20% |
| Years of growth | 23 yr | 20 yr |
| 5-yr dividend growth | 19.9% | 10.2% |
| 5-yr total return | -3% | 76% |
| Dividend safety score | 85 (A) | 97 (A) |
| Fair value estimate | $35.52 | $395.33 |
| Upside to fair value | -52% | -21% |
| Frequency | quarterly | quarterly |
| Market cap | $40.3B | $3.7T |
| P/E ratio | 106.0 | 27.4 |
Higher yield
MCHP
2.54%
Safer dividend
MSFT
Grade A
Faster growth
MCHP
19.9%
Better value
MSFT
-21% upside
MCHP vs MSFT — FAQ
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