The Seattle software maker is now trading at 14-year highs. That means a trip back in time to the dot-com boom days. In the meantime, even with the multi-year highs, this one still remains almost a 3% yield. I'm not surprised, and six months ago my confidence in "'Softie" gave me the conviction to declare it a must-have.
When I wrote "Microsoft Is a Must-Have for Your Portfolio," the shares were trading for about $33 a share. Adjusted for dividends, that's a gain of more than 25% in about six months. However, that wasn't the first time in 2013 I called it a buy. About a year ago, in April 2013, I wrote "Microsoft Is a Buy Before Earnings Release." Your gains increase to about 50% if you believed in the bull thesis then.Since the start of 2014, between Microsoft, Apple (AAPL), Google (GOOG), Yahoo (YHOO), and Amazon (AMZN), only Microsoft continues to appreciate. Despite growing revenue and earnings per share, you could be forgiven for not knowing Microsoft is the best performer among them since this year. Many are claiming Microsoft is finished, and all that's left is for Apple and Google to divide up what remains. The evidence doesn't support such crazy assertions, and I have to admit I'm taken aback by my good friend Rocco Pendola's pessimistic outlook for Microsoft. In "Microsoft Didn't Win Last Week, But Apple and Google Did," a response to "Google Can't Crush Microsoft," Pendola continues his folly that Microsoft is becoming irrelevant while producing record revenue and profits. Let's be honest here; the stock is making shareholders rich. Pendola claims Microsoft's mobile strategy failed, and it's dead. I will give credit: Pendola almost has this one right, except the part about the strategy failed and is dead. Mobile is evolving, and today's winners and losers may reverse position in a heartbeat. If you don't believe me, ask BlackBerry (BBRY) and Google's Android how quickly prospects change in the alternative universe known as mobile.