5 Profitable High Dividend-Paying Technology Stocks – (INTC, MSFT, ORCL, QCOM, ATVI)
The payout ratio gives an idea about how well earnings support the dividend distribution. Large companies are likely to have a higher payout ratio. Operating margin is used to measure what percentage of a company’s revenue is left over after paying for variable costs of production such as wages, raw materials, etc. A company requires a healthy operating margin to be able to pay for its fixed costs, such as interest on debt.
Net profit margin is the ratio of net earnings to revenues for a company or business segment, usually expressed as a percentage, which reflects how much of each dollar earned by the company is converted into net income. These five technology giants can be attractive for active long term investors because they maintain good dividend payouts (at least 10%), high growth in operating margin (above 25%) and net margin (above 20%).
Intel Corporation (NASDAQ:INTC) designs, manufactures, and sells integrated digital technology platforms primarily in the Asia-Pacific, the Americas, Europe, and Japan. Intel Corporation pays out a handsome dividend of about 33.02% and its current market worth is $131.86 billion. Right now, its price is 10.45% higher than its 52-week low, and the overall market sentiment looks positive for this stock. The company has an operating margin of 31.36% over the last twelve months, also a good sign for its financial condition.
Microsoft Corporation (NASDAQ:MSFT) is valued at $255.81 billion and offers an attractive dividend of 27.36%. The overall market sentiment appears positive as the company’s stock price is 6.99% higher than its 52-week low. It has an operating margin of 37.99% and net margin stands at 31.96%, a clear sign for the company’s financial strength. Recently, the stock’s trading volume was higher than average. MSFT develops, licenses, and supports a range of software products and services for various computing devices worldwide.
Oracle Corporation (NASDAQ:ORCL) develops, manufactures, markets, hosts, and supports database and middleware software, applications software, and hardware systems. Oracle Corporation has a market capitalization $148.92 billion and pays a nice dividend of 12.00%. At $30.50 a share, the price was 9.22% above its 52-week low, usually a positive technical indicator on the company.
QUALCOMM, Inc (NASDAQ:QCOM) is worth $96.09 million. Recently, shares traded at $56.05 which is 18.27% above the 52 week low, a positive technical indicator. The stock maintains a good dividend payout ratio of 29.89%. The company is financially strong and has an operating margin of 30.73% and the net margin stands at 28.09% while keeping liquidity ratios high enough to meet short term obligations. QCOM designs, develops, manufactures, and markets digital telecommunications products and services.
Activision Blizzard, Inc (NASDAQ:ATVI) pays out a handsome dividend of about 21.47% and its current market worth is $13.90 billion. Right now, its price is 11.93% higher than its 52-week low, and the overall market sentiment looks positive for this stock. The company has an operating margin of 26.05% over the last twelve months, also a good sign for its financial condition. ATVI publishes online, personal computer (PC), console, handheld, and mobile interactive entertainment worldwide.
Disclosure: Opinions expressed in this article are those of the authors alone who have no stake in any stocks mentioned, and do not plan to acquire any stake within the next 72 hours.
