SmarterDividends

MSFT vs RAL: Which Is the Better Dividend Stock?

As of Oct 18, 2026, MSFT (Microsoft Corporation) screens as the stronger dividend stock, winning 3 of 5 head-to-head metrics. MSFT offers the higher yield at 0.74%, MSFT has the higher dividend-safety score, and RAL looks like the better value (its fair-value estimate is 27% above its share price).

Key facts: MSFT vs RAL

Data as of · Source: SmarterDividends data

  • As of Oct 18, 2026, Microsoft Corporation (MSFT) has the higher forward dividend yield at 0.74%, versus 0.30% for Ralliant Corporation (RAL).
  • By SmarterDividends' count as of Oct 18, 2026, MSFT has raised its dividend for 20 consecutive years and RAL for 0.
  • As of Oct 18, 2026, MSFT pays out 20% of its earnings as dividends and RAL pays out 2%.
  • As of Oct 18, 2026, MSFT's fair-value estimate is 42% below its share price and RAL's fair-value estimate is 27% above its share price, so RAL looks like the better value of the two on SmarterDividends' blended model.
Cite this page

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

MetricMSFTRAL
Forward yield0.74%0.30%
Annual dividend$3.92$0.20
Payout ratio20%2%
Years of growth20 yr0 yr
5-yr dividend growth10.2%—
5-yr total return60%—
Dividend safety score97 (A)—
Fair value estimate$308.36$84.67
Upside to fair value-42%+27%
Frequencyquarterlyquarterly
Market cap$3.9T$7.4B
P/E ratio29.5—

Higher yield

MSFT

0.74%

Safer dividend

MSFT

Grade A

Faster growth

MSFT

10.2%

Better value

RAL

+27% upside

MSFT vs RAL — FAQ

Is MSFT or RAL a better dividend stock?

On the data, MSFT wins more head-to-head categories (3 vs 2). MSFT offers the higher yield (0.74%), 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 RAL?

MSFT has the higher forward dividend yield at 0.74%, versus 0.30% for RAL.

Is MSFT or RAL safer?

Compare each stock's payout ratio, growth streak and cut history on its detail page to judge safety.

Is MSFT or RAL better value right now?

As of Oct 18, 2026, RAL looks like the better value: its fair-value estimate is 27% above its share price (undervalued). 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.