To date, the process of economic globalization* has reached such an extent that many large corporations are striving to follow this popular global trend. One of these leading international companies is the well-known Microsoft Corporation. Even when the company became the market leader in office software through intensive work over several decades, the management of Microsoft decided to continue its efforts. Therefore, today, the company is striving to conquer the world by launching new products such as game consoles, mobile phones, tablets, and consumer electronics. Probably, in the very near future, all of us without exception will use modern gadgets and other innovative products from Microsoft. In the meantime, while the corporation is seeking to corner the global market by launching new products, it is time to become a part of it. In our article, you will find out how to invest in the company's shares in the simplest, safest, and most profitable way.

* Economic globalization refers to the increasing interdependence of national economies around the world.

Microsoft: popular products and subsidiaries

Microsoft Corporation is a major US technology company which develops, manufactures, licenses, supports, and sells computer software, Xbox game consoles, consumer electronics, smartphones, tablets, PCs as well as PC accessories.

The company was founded by young American developers, 20-year-old Bill Gates and 22-year-old Paul Allen. In April 1975, they created a programming language interpreter for MITS, a then-popular company.

Today, more than 45 years later, Microsoft Corporation is one of the world's leading companies with about 160,000 employees and offices in over 190 countries. It is headquartered in Redmond, Washington, the United States.

The corporation has a lot of subsidiaries, the most popular of which are Microsoft Mobile and Skype Limited:

  • Founded in 2014, Microsoft Mobile specializes in manufacturing cell phones and smartphones. The company is headquartered in Espoo, Finland.
  • Skype Limited, acquired by tech giant Microsoft Corporation in 2011, is engaged in operating, maintaining, and providing access to Internet services as well as voice and video communications. Skype Limited is headquartered in Luxembourg.

Microsoft stock and dividend review

You can buy Microsoft stock on the NASDAQ exchange. The company's securities are traded there under the ticker symbol MSFT. The IPO* took place in 1986, at an offer price of $21 per share.

Microsoft shares are included in such popular stock indices as the S&P 500, the Dow Jones Industrial Average, and the Nasdaq Composite.

Investors can make money on Microsoft Corporation’s securities in two ways: on price changes or by receiving dividends.

In order to buy shares, you need to open a trading account with a broker that provides access to the global stock markets, including the NASDAQ. It will not take long. For example, the registration process at InstaForex takes only 3 minutes.

The minimum trade size is 1 lot, which is equal to 1 company share. To calculate your income, use Forex calculator on the InstaForex website.

Then, start opening trades - selling (buying) shares of Microsoft or any other popular companies. The well-known MT4 platform by InstaForex will become your perfect assistant in the trading process.

Today, the majority of the company's shares are floating. At the same time, some shareholders own large blocks of securities in the corporation. This fact ensures the lack of sharp price fluctuations in the market.

The tech giant pays dividends on a quarterly basis. The annual dividend yield is about 2% of its stock price. Thus, the company's securities may be attractive to those investors who choose exchange-traded assets that are constantly growing in value, that is, to investment and hedge funds.

*IPO refers to the process of selling shares of a joint stock company to the public for the first time.

Many Microsoft investors believe that after purchasing shares in the company, they will get beautiful securities in paper form, but this is not the case. Microsoft Corporation shares are traded exclusively in non-documentary form, and an investor's account is stored in the company's central depository and registry.

Factors that move Microsoft stock price

The share price of Microsoft Corporation depends on an infinite amount of information on the stock markets and the prospects of the IT sector development. The latest events regarding these areas are available in real time in a special analytics section on the InstaForex website.

In addition, if an investor prefers to work with the company's stock using short time frames, it is important to consider the situation from a technical point of view with the help of indicators and oscillators, as well as carry out an analysis of the whole market.

Traders often gain tangible profits on short-term events such as the outcome of a company's shareholder meeting, the release of reports, and new product launches.

If you are interested in medium- or long-term profits, you need to closely monitor the news from the US government and its incentives concerning local businesses.

The share price of Microsoft Corporation depends largely on the development prospects in the market of computers, tablets, and smartphones. Thus, in case of increased global demand for gadgets, Microsoft's revenue and profits from software sales increase, and vice versa.

Another growth factor for Microsoft shares is fresh contracts for the supply of software to various organizations as well as new assembly agreements with manufacturers of electronic products.

You can track changes in Microsoft quotes and charts in real time on the InstaForex website.

Conclusion

The fact that Microsoft Corporation’s equities are included in the most popular stock market indicators of the US market has made its shares one of the most attractive trading assets for investors. Another important factor that distinguishes the tech giant’s securities from many others is its continued progress and status of a leader in the global software market.

If all of the above helped you realize that you want to become a part of Microsoft by investing in the company's stock, go to the InstaForex website and open a trading account in just a few minutes.