10 Tech Stocks That Pay You Dividends to Own Them

The name of the game in investing is “total return.” When you buy a stock, your total return comes from two places – price appreciation and dividends.

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The name of the game in investing is “total return.” When you buy a stock, your total return comes from two places – price appreciation and dividends. For the longest time tech stocks were never mentioned hand-in-hand with dividend stocks. Pick up Amazon.com (AMZN (opens in new tab)) for $300, sell half at a thousand bucks a few years later, and you’re sitting on free shares worth $1,600 each a year after that. That’s the blueprint!

Many tech stocks used to offer share splits as their prices rocketed higher. However many technology companies are maturing, and with breakneck growth in the rear-view mirror, and they need a different way to draw investors. The answer, for many, has been to start delivering dividends, paying investors for owning their shares.

To be clear, tech stocks that pay dividends aren’t done growing. The increased presence of technology in all aspects of human life means that there’s still plenty of upside, even for Wall Street’s biggest tech companies. To wit, old-guard blue chip Microsoft (MSFT (opens in new tab)) has surpassed Google parent Alphabet (GOOGL (opens in new tab)) and Facebook (FB (opens in new tab)) in market value this year, and it’s neck-and-neck with Amazon.

Here are 10 tech stocks that offer an ideal combination of dividends and growth potential. They might not be the flashiest names in the sector, but they deserve attention nonetheless.

Data is as of Nov. 4, 2018. Stocks are listed in alphabetical order. Dividend yields are calculated by annualizing the most recent quarterly payout and dividing by the share price.

Dana Blankenhorn
Contributing Writer, Kiplinger.com
Dana Blankenhorn has been a business and technology journalist since 1978. His work has appeared in newspapers including the Chicago Tribune and magazines such as Interactive Age. But he has spent most of his career online, spotting future trends in over a dozen beats from e-commerce to open source, and from renewable energy to blockchain, working for such publishers as TheRegister.com, ZDNet, InvestorPlace, TheStreet.com and Yahoo Finance.