Microsoft raises dividend by about 10%

Microsoft Corp.
MSFT,
+1.64%

announced it will raise its dividend about 10% Tuesday, to 56 cents a share from 51 cents a share. Microsoft shares were up about 0.5% in after-hours trading following the announcement. The stock received a bigger boost last week, when Morgan Stanley analyst Keith Weiss predicted the tech giant would increase its dividend by 10% or more in the coming days to push its implied dividend yield back above 1%. Microsoft also disclosed that it will hold a virtual annual shareholders meeting on Dec. 2. Microsoft shares closed with a 1.6% gain in Tuesday’s regular session at $208.78, giving it a market capitalization of $1.55 trillion. Shares have returned 33.4% so far in 2020, while the S&P 500 index
SPX,
+0.52%

has returned 6.2%.