Ka-Ching! Microsoft just gave me a 15% raise

Joining its fellow IT sector leaders Intel (INTC) and Cisco (CSCO), Microsoft (MSFT) announced this week that it would reward its shareholders by increasing its annual dividend by 15%, from $0.20 per quarter to $0.23.  Armed with almost $62 billion in cash while generating nearly $30 billion in cash flow, its nice to see Microsoft continue their annual double digit dividend increases.

Microsoft faces a big catalyst in the coming months with the release of Windows 8. This will also be the platform for their latest entry into the mobile market. Despite failing to make much headway thus far in mobile, Windows 8 Phones have had positive reviews.  The main focus will be on their cash cow though, the PC.  Recent softness in the PC market has scared some investors and analysts, but the new release of Windows 8 may be what that market needs.  If successful, that growth will help continue to drive Microsoft's dividend higher in the coming years.

Below are some more companies, including McDonald's (MCD), that are sending more cash to their shareholders.

Company	Industry	Dividend Increase	New Yield
Fifth Third Bank (FITB)	Regional - Midwest Banks	25.0%	2.6%
Texas Instruments (TXN)	Semiconductor	24.0%	2.9%
IDACORP (IDA)	Electric Utility	15.2%	3.6%
Microsoft (MSFT)	Application Software	15.0%	3.0%
W. P. Carey & Co (WPC)	Real Estate Development	15.0%	5.3%
McDonalds (MCD)	Restaurants	10.0%	3.3%
Newcastle Investment (NCT)	REIT	10.0%	11.1%
Washigton Trust Bankcorp (WASH)	Regional - Northeast Banks	4.3%	3.7%
ConAgra Foods (CAG)	Processed & Packaged Goods	4.1%	3.6%

Disclosure: I am long MSFT, INTC, and MCD.

Related Posts:

Another Technology Dividend Stalwart in the Making?

Ka-Ching! Intel Just Gave Me A 7% Raise

TAGS: [MSFT][INTC][CSCO][MCD][FITB][TXN][IDA][WPC][NCT][WASH][CAG]