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Microsoft raises quarterly dividend to $0.98 per share, an 8% increase

Microsoft announced an 8% increase in its quarterly dividend to $0.98 per share, payable on December 10 to shareholders of record as of November 19. This marks the 23rd consecutive year of dividend growth, with the company projecting $3.92 in annual payouts per share. The increase reflects Microsoft’s strong cash generation, which reached $182.9 billion in operating cash flow for fiscal 2026,…

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Key points

  • Microsoft raised its quarterly dividend to $0.98 per share, an 8% increase from $0.91.
  • The dividend is payable on December 10 to shareholders of record as of November 19.
  • Microsoft generated $182.9 billion in operating cash flow in fiscal 2026 across all sources.

While the dividend hike underscores Microsoft’s commitment to shareholder returns, all three sources note growing pressure from AI infrastructure spending. Insider Monkey highlights that capital expenditures surged to $115.9 billion in fiscal 2026, constraining free cash flow despite strong operating cash flow. 247WallSt reports free cash flow fell to $66.99 billion for the year, down 6.46%, and notes calendar 2026 capex expectations of roughly $175 billion. Yahoo Finance adds that AI and data-center investments are pressuring free cash flow and could limit future dividend growth if AI monetization lags.

The sources agree on the dividend increase and its timing, but differ on cash flow metrics: Insider Monkey cites $19.6 billion in free cash flow for the June quarter, while 247WallSt gives the full-year figure of $66.99 billion. Yahoo Finance does not specify a free cash flow number but echoes concerns about AI spending impacts. All confirm Microsoft’s $182.9 billion in operating cash flow for fiscal 2026.

The story so far

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  1. Microsoft raises quarterly dividend to $0.98 per share, an 8% increasethis story
Full story from insidermonkey.com · by Vardah Gill · via Search: MicrosoftOpen source ↗

Microsoft’s Higher Dividend Comes with a Modest Yield and Heavy AI Spending

insidermonkey.com · 21 September 2026

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This text was published by insidermonkey.com and written by Vardah Gill. It is reproduced here with attribution so you can read it in full; the rights remain with the publisher. Read it at the source ↗

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The headline, key points and digest above were generated by Digest AI's editorial model from the linked sources. Automated summaries can contain errors: the sources are the record. Spotted a mistake? Tell us. Published by Martin K., who runs Digest AI and handles corrections.

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