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 3–1 on our six-dimension comparison, but MSFT can still be the better fit depending on your priorities — see each dimension below.

Scorecard at a glance

Dimension	CSCO	MSFT	Winner
Yield	1.47%	0.81%	CSCO wins
Dividend safety	8.3/10	8.3/10	Tie
Growth trend	-1.32% vs 5y	+0.02% vs 5y	CSCO wins
Volatility (beta)	1.01	1.13	CSCO wins
Scale	$450.0B	$3.5T	MSFT wins
Tax efficiency	Qualified-eligible	Qualified-eligible	Tie
Overall	3 wins	1 wins	CSCO wins

Dimension by dimension

CSCO wins on yield (1.47% vs 0.81%)

On a $10,000 investment that's about $66 more in annual dividend income before taxes — though higher yield often comes with higher risk.

CSCO's higher yield (1.47%) looks attractive but investors should weigh whether the extra income compensates for any additional risk versus MSFT's 0.81% — especially if the higher yield is driven by covered calls or a falling share price.

CSCO: 1.47%MSFT: 0.81%

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: 8.3/10MSFT: 8.3/10

CSCO shows healthier dividend-vs-price trend

CSCO's yield is 1.32% below its 5y average, versus 0.02% for MSFT. Lower (or below-average) yield trend often means price appreciation outpaced distributions — a healthier signal.

CSCO: -1.32% vs 5yMSFT: +0.02% vs 5y

CSCO is less volatile (beta 1.01 vs 1.13)

Lower beta means smaller swings vs the S&P 500 — generally a steadier hold for income investors.

CSCO: 1.01MSFT: 1.13

MSFT is 7.7× larger by market cap

Larger companies tend to have tighter spreads, deeper liquidity, and lower closure risk.

CSCO: $450.0BMSFT: $3.5T

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.

CSCO: Qualified-eligibleMSFT: Qualified-eligible

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

Which is better for income, CSCO or MSFT?

CSCO wins 3–1 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 1.47% and MSFT yields 0.81%. On a $10,000 investment that's about $66 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?