Budapest Post

Cum Deo pro Patria et Libertate
Budapest, Europe and world news

Warren Buffett's Cash Pales Next To This

Warren Buffett's Cash Pales Next To This

Warren Buffett's Berkshire Hathaway turned heads with what one analyst called its "obscene" level of $128 billion in cash on hand at quarter's end. But one S&P 500 company has even more dough - and a bigger yield: Microsoft.

Thanks to its cloud-computing powered resurgence, Microsoft (MSFT) now has $136.6 billion in cash and short-term investments. That's more than any other non-financial in the S&P 500. The total is more than Apple's (AAPL) famous $100.6 billion mound of cash and U.S. Treasuries. And it's more than the $121.2 billion amassed by Google parent Alphabet (GOOGL).

And best of all for you: Microsoft's 1.4% dividend beats them all. Apple yields just 1.2%. And Microsoft's dividend yield also tops the 1.14% yield of the Technology Select Sector SPDR ETF (XLK), which both Microsoft and Apple belong to.

Berkshire's yield? It's zero, making it a notable company left out of the 1.6% yield paid by the Financial Select Sector SPDR ETF (XLF).

Thanks to its cloud-computing powered resurgence, Microsoft (MSFT) now has $136.6 billion in cash and short-term investments. That's more than any other non-financial in the S&P 500. The total is more than Apple's (AAPL) famous $100.6 billion mound of cash and U.S. Treasuries. And it's more than the $121.2 billion amassed by Google parent Alphabet (GOOGL).

And best of all for you: Microsoft's 1.4% dividend beats them all. Apple yields just 1.2%. And Microsoft's dividend yield also tops the 1.14% yield of the Technology Select Sector SPDR ETF (XLK), which both Microsoft and Apple belong to.

Berkshire's yield? It's zero, making it a notable company left out of the 1.6% yield paid by the Financial Select Sector SPDR ETF (XLF).


Warren Buffett Lags In Another Way

Microsoft isn't just topping Berkshire Hathaway's (BRKA) yield and cash. Microsoft's stock is making the "world's greatest stock picker's" stock look like dead money.

Shares of Berkshire, despite paying no dividend, are up just 6.9% this year. That not only trails Microsoft's 42.2% gain this year, but also the 23% gain of SPDR S&P 500 ETF Trust (SPY). Berkshire's IBD Composite Rating of 46 is well below Microsoft's at 95.

Longer term, you can also see why Warren Buffett finds it so difficult it is to beat SPY stock. Shares of his Berkshire Hathaway are up just 53.5% over the past five years, barely edging out the 52.9% gain of the S&P 500. Keep in mind, though, the S&P 500 pays an annual dividend while Berkshire pays zilch.


Where's The Cash?

Microsoft's mounting cash pile only highlights the tech sector's enormous financial flexibility. Four of the 10 S&P 500 companies with the most cash and equivalents and short-term investments are in the information technology sector. This single sector of the 10 in the S&P 500 (excluding financials) holds more than a third of all cash and short-term investments reported so far in the third quarter.

Only the communication services sector comes anywhere close with $231 billion. Much of that is Alphabet and Facebook (FB), with $52.3 billion. Many of these tech companies don't pay any dividend at all (yet).

Looks like Warren Buffett has competition for the fattest wallet.

AI Disclaimer: An advanced artificial intelligence (AI) system generated the content of this page on its own. This innovative technology conducts extensive research from a variety of reliable sources, performs rigorous fact-checking and verification, cleans up and balances biased or manipulated content, and presents a minimal factual summary that is just enough yet essential for you to function as an informed and educated citizen. Please keep in mind, however, that this system is an evolving technology, and as a result, the article may contain accidental inaccuracies or errors. We urge you to help us improve our site by reporting any inaccuracies you find using the "Contact Us" link at the bottom of this page. Your helpful feedback helps us improve our system and deliver more precise content. When you find an article of interest here, please look for the full and extensive coverage of this topic in traditional news sources, as they are written by professional journalists that we try to support, not replace. We appreciate your understanding and assistance.
Newsletter

Related Articles

0:00
0:00
Close
IMF Upgrades Global Growth Forecast as Weaker Dollar Supports Outlook
House Republicans Move to Defund OECD Over Global Tax Dispute
France Opens Criminal Investigation into X Over Algorithm Manipulation Allegations
Trump Steamrolls EU in Landmark Trade Win: US–EU Trade Deal Imposes 15% Tariff on European Imports
ChatGPT CEO Sam Altman says people share personal info with ChatGPT but don’t know chats can be used as court evidence in legal cases.
Intel Reports Revenue Beats but Sees 81% Rise in Losses
Politics is a good business: Barack Obama’s Reported Net Worth Growth, 1990–2025
UN's Top Court Declares Environmental Protection a Legal Obligation Under International Law
"Crazy Thing": OpenAI's Sam Altman Warns Of AI Voice Fraud Crisis In Banking
The Podcaster Who Accidentally Revealed He Earns Over $10 Million a Year
UK Government Considers Dropping Demand for Apple Encryption Backdoor
Japanese Man Discovers Family Connection Through DNA Testing After Decades of Separation
Russia Signals Openness to Ukraine Peace Talks Amid Escalating Drone Warfare
Switzerland Implements Ban on Mammography Screening
Pogacar Extends Dominance with Stage Fifteen Triumph at Tour de France
President Trump Diagnosed with Chronic Venous Insufficiency After Leg Swelling
CEO Resigns Amid Controversy Over Relationship with HR Executive
NVIDIA Achieves $4 Trillion Valuation Amid AI Demand
Tulsi Gabbard Unveils Evidence Alleging Political Manipulation of Intelligence During Trump Administration
Centrist Criticism of von der Leyen Resurfaces as she Survives EU Confidence Vote
Trump Announces Coca-Cola to Shift to Cane Sugar in U.S. Production
FIFA Pressured to Rethink World Cup Calendar Due to Climate Change
Zelensky Reshuffles Cabinet to Win Support at Home and in Washington
"Can You Hit Moscow?" Trump Asked Zelensky To Make Putin "Feel The Pain"
Church of England Removes 1991 Sexuality Guidelines from Clergy Selection
Superman Franchise Achieves Success with Latest Release
Hungary's Viktor Orban Rejects Agreements on Illegal Migration
Air India Pilot’s Mental Health Records Under Scrutiny
Jamie Dimon Warns Europe Is Losing Global Competitiveness and Flags Market Complacency
Moonshot AI Unveils Kimi K2: A New Open-Source AI Model
Martha Wells Says Humanity Still Far from True Artificial Intelligence
Nvidia Becomes World’s First Four‑Trillion‑Dollar Company Amid AI Boom
EU Delays Retaliatory Tariffs Amid New U.S. Threats on Imports
Trump Proposes Supplying Arms to Ukraine Through NATO Allies
US Opens First Rare Earth Mine in Over 70 Years in Wyoming
Bitcoin Reaches New Milestone of $116,000
Severe Heatwave Claims 2,300 Lives Across Europe
Declining Beer Consumption Signals Cultural Shift in Germany
Emails Leaked: How Passenger Luggage Became a Side Income for Airport Workers
Polish MEP: “Dear Leftists - China is laughing at you, Russia is laughing, India is laughing”
Western Europe Records Hottest June on Record
BRICS Expands Membership with Indonesia and Ten New Partner Countries
Elon Musk Founds a Party Following a Poll on X: "You Wanted It – You Got It!"
China’s Central Bank Consults European Peers on Low-Rate Strategies
France Requests Airlines to Cut Flights at Paris Airports Amid Planned Air Traffic Controller Strike
Poland Implements Border Checks Amid Growing Migration Tensions
Emirates Airline Expands Market Share with New $20 Million Campaign
Amazon Reaches Milestone with Deployment of One Millionth Robot
Yulia Putintseva Calls for Spectator Ejection at Wimbledon Over Safety Concerns
House Oversight Committee Subpoenas Former Jill Biden Aide Amid Investigation into Alleged Concealment of President Biden's Cognitive Health
×