The 7 Best Tech Dividend Stocks to Buy Right Now


  • The article covers the Best Tech Dividend Stocks that offer growing dividend payouts.
  • Broadcom (AVGO): Transition towards a software-as-a-subscriptions model is likely to pay dividends over the long-term.
  • HP Inc (HPQ): Expansion into multiple profitable verticals, will offset losses from its core divisions.
  • Intel (INTC): Development of in-house foundries will significantly add to its long-term bull case.
  • KT Corporation (KT): Digital platform holds the key for future growth.
  • Iron Mountain (IRM): Data centers portfolio has helped post record results.
  • NetApp (NTAP): Robust shareholder reward program that continues to grow with every passing quarter.
  • NortonLifeLock (NLOK): Holistic cybersecurity solution which should guarantee single-digit growth for the foreseeable future.

Finding tech stocks that come with a dividend is as hard as it gets. And if you find some good ones, it’s even harder to narrow down to the best tech dividend stocks.

Tech companies have historically focused on reinvesting profits in expanding their businesses and creating shareholder value through share price appreciation. It’s just the nature of the beast. Considering the current market conditions, though, finding investments offering dividends has become imperative.

Right now, most tech stocks with dividends yield lower than 2%. However, a few, as discussed in the article, offer much higher yields. The tech sector has evolved immensely over the past decade and now boasts big stable companies that can easily cover their dividend obligations. For companies having gone past their hypergrowth phase, that history has led to a healthy dividend increase.

So, with all of that in mind, here are seven tempting tech stocks offering dividends at this time.

Ticker Company Price
AVGO Broadcom $482.86
HPQ HP $31.10
INTC Intel $37.26
KT KT Corporation $14.34
IRM Iron Mountain $47.19
NTAP NetApp $64.25
NLOK NortonLifeLock $22.94

Best Tech Dividend Stocks: Broadcom (AVGO)

broadcom (AVGO) logo outside office building

Source: Sasima /

Dividend Yield: 3.4%

Broadcom (NASDAQ:AVGO) is a semiconductor giant with a massive portfolio of more than 23,000 patents. Its CEO, Hock Tan, has reshaped Broadcom in his tenure, with the firm foraying into infrastructure software solutions and acquiring other businesses to expand its total addressable market. Moreover, it boasts an illustrious dividend profile with 11 consecutive years of payouts and has achieved solid dividend growth in the process.

On the fundamentals side, the company has done well to deliver robust revenue growth over the past several years. Its sales have grown more than 16.40% over the past five years, with a 37% increase in levered free cash flows. I expect its margins and top line to grow faster as it rebrands its software division to VMware. Its acquisition of cloud infrastructure provider VMware could result in massive synergies down the line, with Broadcom planning to shift its license customers to subscriptions.

In turn, the plan will likely result in higher recurring sales and a colossal increase in free cash flows.


HP (HPQ) sign with blue sky and autumn leaves as backdrop

Source: Shutterstock

Dividend Yield: 3.18%

HP (NYSE:HPQ) has been delivering personal computers (PCs) since 1939, and more profitably than its peers. Of late, it has been experiencing robust PC demand due to hybrid work environments, homeschooling, and other novel coronavirus pandemic-led tailwinds. Its printers segment, though, has been experiencing declining revenue growth and has weighed in on its operating results. However, the trend hasn’t gone unnoticed, as its management now focuses on multiple verticals to usher in the next growth phase.

HP’s second-quarter results were encouraging, with its personal systems segment, setting a new record with 9% sales growth year-over-year (YOY). Consequently, GAAP earnings per share came in at $1.08, comfortably beating estimates at $1.05. Perhaps more encouraging is that growth from emerging businesses such as peripherals and gaming has been rising at a healthy pace.

For instance, peripherals sales grew by more than 40% during the second quarter. Therefore, there’s plenty to be excited over with HPQ stock, as recognized by the “Oracle of Omaha” Warren Buffett.

Best Tech Dividend Stocks: Intel (INTC)

Close up of Intel sign at their San Jose campus in Silicon Valley

Source: Sundry Photography /

Dividend Yield: 3.92%

Intel (NASDAQ:INTC) has the lion’s share in the PC and data center markets, with a loyal customer base. Over the years, it has proven resilient despite multiple headwinds and generated heaps of cash to cover its dividends and buybacks. However, amidst the current market downturn, its trades near its 52-week lows and at just two times forward sales.

Intel has plans to finally address production delays and chip shortages by developing its own foundries. It plans to dominate the space and reclaim the process lead by Taiwan Semiconductor Manufacturing Company (NYSE:TSM) within the next three years. In addition to catering to its own supply, it can also offer services as a third-party foundry to other companies down the line. The strategy will take quite some doing from a financial perspective, which is why Intel is streamlining its business and freeing up resources. Moreover, it has expanded into the discrete GPU market and could move into other profitable verticals down the line to diversify its risk.

KT Corporation (KT)

a picture of cell towers during daytime

Source: Shutterstock

Dividend Yield: 5.34%

KT Corporation (NYSE:KT) is a leading South Korean telecommunications services provider. Similar to other telcos, it delivered consistent top and bottom-line growth while boasting a strong dividend profile. KT is unique in its approach as it has identified that it needs to diversify from core services such as voice and text. Its Digital Platform (DIGICO) segment is what sets it apart from the competition and could deliver strong gains over the next several years.

DIGICO is a platform similar to what most software-as-a-service enterprises operate, aiming to expand in multiple digital services. Some of these areas include original content, logistics, and others. The division is set to deliver double-digit growth for KT and could expand at an incredible pace, with the company investing $21 billion over the next five years.

Best Tech Dividend Stocks: Iron Mountain (IRM)

Iron Mountain (IRM) logo on truck

Source: Shutterstock

Dividend Yield: 5.02%

Iron Mountain (NYSE:IRM) has established itself as a leader in managing physical records and storage solutions. In recent years though, it has been looking to transition towards digital data management and solutions. The world is quickly moving toward paperless transactions, and it’s recognized the shift and developed a strong portfolio of data centers in the process. At the end of last year, it reported 177 Megawatts (MW) of leasable capacity compared to 136 MW a year ago.

In its first quarter, the company delivered record quarterly revenues and profits. Its revenues came in at a whopping $1.25 billion, with an adjusted EBITDA of $431 million. Moreover, its annual funds from operations per share grew more than 11% from the prior-year period. Additionally, it boasts a well-positioned fortress balance sheet with $1.8 billion in liquidity.

NetApp (NTAP)

7 Tech Industry Dividend Stocks for Growth and Income

Source: Sundry Photography /

Dividend Yield: 3.19%

NetApp (NASDAQ:NTAP) describes itself as a “cloud-led, data-centric software company” that effectively allows customers to run their applications from data centers to the cloud. Its performances have been relatively strong, and it boasts healthy growth prospects ahead, particularly with its public cloud business.

Operating results have mostly come in ahead of expectations. In its recently released fourth-quarter results, it generated $1.68 billion in sales, representing an 8% bump YOY. Moreover, net billings grew by a remarkable 16% to $2.02 billion from the prior-year quarter. Perhaps more importantly, capital returned to its stockholders rose 53% sequentially from the third quarter, reaffirming its focus on shareholder capital return.

Best Tech Dividend Stocks: NortonLifeLock (NLOK)

a smartphone running NortonLifeLock (NLOK) software

Source: rafapress /

Dividend Yield: 2.24%

NortonLifeLock (NASDAQ:NLOK) provides a wide range of cybersecurity solutions to its growing customer base. Its client base continues to grow and evolve rapidly, which bodes remarkably well for the company’s long-term growth runway. Moreover, its services cater to three main cybersecurity branches: security, privacy, and identity. Its product base offers an easy-to-use platform that can enable its customers to effectively prevent, detect, and counter threats from cyber criminals.

Its revenue growth has been choppy owing to the cut-throat competition in the sector. Nevertheless, it’s coming off a strong year, and with its commitment to innovation, I expect single-digit revenue growth for the foreseeable future. Moreover, with its strong expertise in digital marketing, it can chomp away at its competitor’s market share. More importantly, for income-oriented investors, it offers a healthy dividend yield of 2.24% with a payout ratio of roughly 28.60%.

On the date of publication, Muslim Farooque did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Publishing Guidelines.

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