The Magnificent Seven tech giants, including Microsoft, Apple, Nvidia, Alphabet, Amazon, Meta Platforms, and Tesla, are all in the spotlight for their dividend policies. While most of these companies issue dividends, Tesla and Amazon have chosen not to.
Microsoft, for instance, will issue a dividend of 75 cents per share with a yield of 0.74% on May 15. This is a slight decrease from previous quarters, despite a recent increase in the dividend amount. Apple, on the other hand, issued a dividend of 25 cents per share at a 0.59% yield on May 10, signaling a modest increase in their dividend.
Nvidia’s dividend remains steady at 4 cents per share with a yield of 0.02%, even amidst its rapid growth. In contrast, Alphabet announced its first-ever dividend of 20 cents per share at a 0.5% yield, to be paid out on June 10.
Amazon, led by Jeff Bezos, has never issued a dividend, as the company prioritizes reinvestment for future growth. Similarly, Tesla has not issued a dividend and plans to continue reinvesting profits.
While dividends can be a source of income for investors, companies like Amazon and Tesla believe in the power of reinvestment for long-term success. DailyBubble sees this diversity in dividend policies as a reflection of each company’s unique business strategy and priorities.