Computed head-to-head · 6 dimensions
CSCO vs MSFT
Cisco Systems, Inc. versus Microsoft Corporation — yield, safety, growth trend, cost, scale, and tax treatment.
CSCO wins 2–1 on our six-dimension comparison, but MSFT can still be the better fit depending on your priorities — see each dimension below.
CSCO or MSFT — which is better?
CSCO wins this comparison 2–1 across 6 dimensions. CSCO yields 1.45% — higher than MSFT's 0.74% — and carries a 8.3/10 dividend safety score (Strong) vs 8.3/10 for MSFT (Strong). CSCO wins 2–1 on our six-dimension comparison, but MSFT can still be the better fit depending on your priorities — see each dimension below.
On yield alone, CSCO generates 1.45% vs 0.74% — a 0.71% difference that translates to $710 more per year on a $100,000 investment.
Scorecard at a glance
| Dimension | CSCO | MSFT | Winner |
|---|---|---|---|
| Yield | 1.45% | 0.74% | CSCO wins |
| Dividend safety | 8.3/10 | 8.3/10 | Tie |
| Growth trend | -1.34% vs 5y | -0.04% vs 5y | CSCO wins |
| Volatility (beta) | 1.01 | 1.10 | Tie |
| Scale | $457.2B | $3.9T | MSFT wins |
| Tax efficiency | Qualified-eligible | Qualified-eligible | Tie |
| Overall | 2 wins | 1 wins | CSCO wins |
Dimension by dimension
CSCO wins on yield (1.45% vs 0.74%)
On a $10,000 investment that's about $71 more in annual dividend income before taxes — though higher yield often comes with higher risk.
CSCO's higher yield (1.45%) looks attractive but investors should weigh whether the extra income compensates for any additional risk versus MSFT's 0.74% — especially if the higher yield is driven by covered calls or a falling share price.
Safety scores are too close to call (8.3/10 vs 8.3/10)
Both score within 0.3 points on our 0-10 dividend safety scale — comparable risk profiles on the signals we measure.
CSCO shows healthier dividend-vs-price trend
CSCO's yield is 1.34% below its 5y average, versus 0.04% for MSFT. Lower (or below-average) yield trend often means price appreciation outpaced distributions — a healthier signal.
Volatility (beta) is similar
Both tickers move with comparable sensitivity to the broader market.
MSFT is 8.6× larger by market cap
Larger companies tend to have tighter spreads, deeper liquidity, and lower closure risk.
Both pay qualified-dividend-eligible distributions
Neither is structurally flagged for ordinary-income tax treatment. Most distributions should qualify for the lower long-term capital gains rate if holding-period requirements are met.
Full breakdown per ticker: are CSCO dividends qualified and are MSFT dividends qualified — each with the after-tax income at every federal bracket.
How we compare these
Every comparison on this page is computed from current public data, not written by hand. Yield comes from the most recent dividend distribution annualized over current price. Safety scores combine yield zone, payout ratio, trend vs 5-year average, instrument type, and size — see our methodology for the exact formula. Tax-efficiency flags identify covered-call ETFs, REITs, and mREITs which distribute primarily as ordinary income.
This is educational, not investment advice. Scores reflect a snapshot of public data on the "as of" dates shown on each ticker's safety page. Verify on the issuer's investor relations page or your brokerage before making decisions.
Frequently asked
CSCO or MSFT — which is better?
CSCO is better on our scoring, winning 2–1 across six dimensions: yield, dividend safety, growth, cost, scale, and tax treatment. CSCO wins 2–1 on our six-dimension comparison, but MSFT can still be the better fit depending on your priorities — see each dimension below.
Which is better for income, CSCO or MSFT?
CSCO wins 2–1 on our six-dimension comparison, but MSFT can still be the better fit depending on your priorities — see each dimension below.
CSCO vs MSFT: which has a higher dividend yield?
CSCO yields 1.45% and MSFT yields 0.74%. On a $10,000 investment that's about $71 more in annual dividend income before taxes — though higher yield often comes with higher risk.
Is CSCO or MSFT a safer dividend in 2026?
CSCO scores 8.3/10 (Strong) on the Infnits dividend safety scale. MSFT scores 8.3/10 (Strong). Both have comparable safety scores.
Which has better dividend growth, CSCO or MSFT?
CSCO's yield is 1.34% below its 5y average, versus 0.04% for MSFT. Lower (or below-average) yield trend often means price appreciation outpaced distributions — a healthier signal.
CSCO vs MSFT: which is more tax-efficient?
Neither is structurally flagged for ordinary-income tax treatment. Most distributions should qualify for the lower long-term capital gains rate if holding-period requirements are met.
Get emailed when CSCO vs MSFT data updates.
Compare both against your actual holdings
Put CSCO and MSFT into the free analyzer with the rest of your portfolio. You'll see what each one contributes to your annual income, your weighted safety score, and whether adding CSCO diversifies you or just duplicates what you hold. No account, no download.