MSFT vs OTEX: Which Is the Better Dividend Stock?
As of Oct 27, 2026, MSFT (Microsoft Corporation) screens as the stronger dividend stock, winning 6 of 8 head-to-head metrics. OTEX offers the higher yield at 4.05%, MSFT has the higher dividend-safety score, and OTEX looks like the better value (its fair-value estimate is 33% below its share price).
Key facts: MSFT vs OTEX
Data as of · Source: SmarterDividends data
- As of Oct 27, 2026, Open Text Corporation (OTEX) has the higher forward dividend yield at 4.05%, versus 0.74% for Microsoft Corporation (MSFT).
- As of Oct 27, 2026, SmarterDividends grades MSFT's dividend safety A (97/100) and OTEX's A (84/100).
- By SmarterDividends' count as of Oct 27, 2026, MSFT has raised its dividend for 20 consecutive years and OTEX for 12.
- As of Oct 27, 2026, MSFT pays out 20% of its earnings as dividends and OTEX pays out 43%.
- As of Oct 27, 2026, MSFT's fair-value estimate is 42% below its share price and OTEX's fair-value estimate is 33% below its share price, so OTEX looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "MSFT vs OTEX: Dividend Yield, Safety & Value Compared," updated Oct 27, 2026, https://smarterdividends.com/compare/msft-vs-otex
| Metric | MSFT | OTEX |
|---|---|---|
| Forward yield | 0.74% | 4.05% |
| Annual dividend | $3.92 | $1.12 |
| Payout ratio | 20% | 43% |
| Years of growth | 20 yr | 12 yr |
| 5-yr dividend growth | 10.2% | 8.2% |
| 5-yr total return | 59% | -41% |
| Dividend safety score | 97 (A) | 84 (A) |
| Fair value estimate | $308.36 | $18.50 |
| Upside to fair value | -42% | -33% |
| Frequency | quarterly | quarterly |
| Market cap | $4.0T | $6.7B |
| P/E ratio | 29.2 | 10.7 |
Higher yield
OTEX
4.05%
Safer dividend
MSFT
Grade A
Faster growth
MSFT
10.2%
Better value
OTEX
-33% upside
MSFT vs OTEX — FAQ
Is MSFT or OTEX a better dividend stock?
On the data, MSFT wins more head-to-head categories (6 vs 2). OTEX offers the higher yield (4.05%), 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, MSFT or OTEX?
OTEX has the higher forward dividend yield at 4.05%, versus 0.74% for MSFT.
Is MSFT or OTEX safer?
MSFT has the higher dividend-safety score (97/100 vs 84/100), reflecting stronger payout coverage and dividend-growth history.
Is MSFT or OTEX better value right now?
As of Oct 27, 2026, OTEX looks like the better value: its fair-value estimate is 33% below its share price (overvalued). For MSFT, its fair-value estimate is 42% below its share price.
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See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.