Mon, Dec 22, 2014, 2:59 PM EST - U.S. Markets close in 1 hr 1 min


% | $
Quotes you view appear here for quick access.

Microsoft Corporation Message Board

  • sammsjohn99 sammsjohn99 Nov 3, 2012 10:06 AM Flag

    MSFT - Special Dividend?

    With over 7.00 a share in cash it's difficult to believe MSFT is not considering a special dividend. Granted, most of the cash is overseas and they would be taxed the differential between countries if they repatriated the money. With interest rates so low why doesn't MSFT borrow billions to finance a dividend? They could borrow an awful lot at very low rates and still cover the interest with their incredible cash generation machine.

    Furthermore, if Obama wins the election MSFT might be "forced" to issue a special dividend if higher dividend taxes are expected. I'm sure Bill and Steve would rather pay a 15% tax rate vs. a 33+% tax rate?

    If Romney wins we could see incentives that allow corporations to repatirate at lower rates which could be an inducement for MSFT to increase their dividend significantly?

    Bottomline, MSFT can do a lot to unlock shareholder value in a very short period of time.

    Sentiment: Strong Buy

47.87+0.21(+0.44%)2:58 PMEST

Trending Tickers

Trending Tickers features significant U.S. stocks showing the most dramatic increase in user interest in Yahoo Finance in the previous hour over historic norms. The list is limited to those equities which trade at least 100,000 shares on an average day and have a market cap of more than $300 million.