Microsoft has consistently raised its dividend every year since 2010, with payouts growing by 600% over 15 years. Investors who bought shares in January 2010 are now enjoying an 11.8% yield on cost. The company’s increasing earnings, share buybacks, and strong cash flow suggest continued dividend growth ahead.

Using the “Rule of 72,” Microsoft’s dividend has grown by an average annual rate of 13.9% since 2010. With the company’s net cash flow from operations increasing by 466% since that time, along with aggressive share buybacks and solid earnings growth, Microsoft’s future dividend growth is likely to exceed its impressive track record.

If Microsoft’s dividend growth continues at its current pace, the yield on cost for investors who bought in 2010 could rise to 5.39%. With the company’s historical performance in mind, income investors should not be discouraged by the stock’s current yield of under 1%, as it has the potential to become a significant income stream in the future.

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Read more at Nasdaq: Why Microsoft Is a Great Income Stock Despite a 0.77% Yield