To read this article on Zacks.com click here. And while his wealth is an extreme example, if you had bet on Microsoft in its early days in the mid-1980s, your gamble would have paid off big time, too. Today, that discovery is still the heart of the Zacks Rank. Since Nadella took over, Microsoft's share price has nearly tripled. How much money would you have if you invested in Apple 20 years ago? Originally, only 2.5 million were offered, but the number was raised to meet demand. The acquisition of GitHub, especially, showed the company's willingness to embrace new technology, even if it doesn't directly control it. The current payout is $0.51 per share each quarter. When the company listed publicly 36 years ago, it was generating just $197 million in annual revenue. 2 Numbers Microsoft Investors Have a Right to Know, The Brains Behind AI: Why Microsoft and Alphabet Stocks Are Smart Choices for Artificial Intelligence Investors, The Wisdom of Time: Long-Term Investment Ideas for Savvy Investors, 1 Green Flag and 1 Red Flag for Microsoft's Future, 3 Top AI Stocks to Buy Right Now for the Coming Bull Market, Why I Refuse to Chase the Maximum Social Security Benefit, U.S. Money Supply Is Doing Something It Hasn't Done in 90 Years, and It May Signal a Big Move for Stocks, Social Security Cuts May Be Coming. In his current role at Kiplinger, Dan writes about equities, fixed income, currencies, commodities, funds, macroeconomics, demographics, real estate, cost of living indexes and more. Gates earned $1.6 million off the shares he sold and put a market value of $350 million on the 45 percent stake he retained, Fortune reports, making the 30-year-old one of the richest people in the country. He died in October 2018 at age 65 from complications of non-Hodgkin's lymphoma. Further, the company is gaining from growing user base of its different applications including Microsoft 365 suite, and Dynamics. Do Not Sell My Personal Information (CA Residents Only). But after 20 years of this, the account would be worth $118,874. 11. Those shares would be worth $44,505 at the current stock quote of $154.53. The company expects AI will help drive revenue growth over time because it will improve its product offerings. Shopping around and taking good care of yourself can help make life insurance more affordable, as well as buying a joint policy and avoiding overinsuring yourself. On March 13, 1986, Microsoft set the IPO at $21.00 per share. The company reports operations under three segments: Productivity & Business Processes, Intelligent Cloud and More Personal Computing.Productivity & Business Processes accounted for 32.1% of fiscal 2021 revenues. Perhaps most importantly, Wall Street remains confident that Microsoft stock will continue to beat the market by wide margins going forward. According to the current predictions, it should be priced at $657 in mid-2027 and then $706 by year-end. The console grounded Microsoft in the video game space, and that became one of its most profitable divisions . The government is concerned it would concentrate too much market power in the hands of Microsoft, because the company could theoretically reserve top games for the Xbox platform while locking out its competitors. (Video) Microsoft: Why They're Winning | MSFT Stock | Invested. In those early years, Microsoft's future success was all but guaranteed, based on its growing relationship with Intel and IBM. 22. 36. The momentum continued on Thursday, with Microsoft shares setting a 52-week high. How much money is lost to cyber crime each year? How much money would you have if you bought Amazon stock in 1997? According to our calculations, a $1000 investment made in August 2011 would be worth $12,153.41, or a 1,115.34% gain, as of August 25, 2021. On the other hand, the value of the market index has grown by about 52% since 2018 and increased by about 156% since 2013. Using our stock return calculator is really simple. Here's how much money you'd have as of April 26 if you had invested $1,000 into the company one, five and 10 years ago. Zacks->. Analysts are anticipating more upside for MSFT. Written by When you purchase through links on our site, we may earn an affiliate commission. Although the dot-com days of the 1990s minted many a "Microsoft millionaire," the aftermath of the tech bust led MSFT stock to trade mostly sideways for more than a decade. After the splits, you would now own 68,544 shares. 35. If you had invested $1,000 into Microsoft five . Learn More. What was the price of Microsoft stock in 1999? Recovery in ad and job market boosted LinkedIn and Search revenues. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services. How many times has Microsoft stock split since 1986? Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Founded in 1993 by brothers Tom and David Gardner, The Motley Fool helps millions of people attain financial freedom through our website, podcasts, books, newspaper column, radio show, and premium investing services. Gates owned 49% of Microsoft at its IPO in the year 1986, which made him an instant multi-millionaire. Shares of Microsoft went through a series of stock splits that included 2:1 stock splits in 1987 and 1990. Of course, that is still a fabulous return by any measure. Microsoft was founded in 1975 by Bill Gates and Paul Allen, two friends from high school who bonded over their mutual love of computer science . Shares of Microsoft closed the day at $27.75. What would $1000 invested in Microsoft be worth today? How much money would I have made if I invested in Apple 10 years ago? The top shareholders of Microsoft are Satya Nadella, Bradford L. Smith, Jean-Philippe Courtois, Vanguard Group Inc., BlackRock Inc. (BLK), and State Street Corp. Below is a look in more detail at Microsoft's 6 biggest shareholders. We'll let a bull Stifel analyst Brad Reback, who rates MSFT at Buy summarize the investment thesis on Microsoft shares: Microsoft has refocused the company around Azure and Office 365, which we view as several large, multi-year secular growth engines that should help drive mid- to high-single-digit Productivity and Business Process growth and low-double-digit Intelligent Cloud growth in coming years. 21. You'll now be able to see real-time price and activity for your symbols on the My Quotes of Nasdaq.com. nc forest service radio frequencies; how long can you live with a blocked carotid artery. The Nasdaq led in a mixed session for stocks Wednesday as Big Tech earnings impressed. Those shares would be worth $44,505 at the current stock quote of $154.53. The Motley Fool has a disclosure policy. Overall, we believe strong commercial cloud revenue and gross margin growth and expense discipline should lead to accelerating operating profit and free cash flow generation in coming quarters. All rights reserved. Signs that consumer demand is weakening and the economy is slowing weighed on the major indexes Thursday. Since the IPO, the stock has split nine times. MSFT stock remains about 18% off its all-time closing high, however, shedding roughly $480 billion in market value in the process. Those are just a few of Microsoft's most recognized brands. During its early years, the company was heavily focused on software for personal computers, such as its Windows operating system and Microsoft Word. Today, you can download 7 Best Stocks for the Next 30 Days. If you had invested $1,000 into Microsoft a year ago, your investment would be worth about $1,103 as of April 26, according to CNBC's calculations. Carey School of Business (opens in new tab) at Arizona State University. All you need to do is: Enter the number of shares you'd like to purchase. Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail. Microsoft went public on March 13, 1986, at an opening price of $21 per share. A Kiplinger staffer describes his experience with Bitcoin and why he won't be investing in the cryptocurrency again. However, "the first trade took place at $25.50 a share, an indication of the fierce demand for the stock," the Seattle Post-Intelligencer reported at the time. Sangamo Therapeutics, Inc. For most investors, a passive investment strategy tends to make more sense than hand-picking individual stocks. Gates has a lot of his financial investments held by a family office known as Cascade Investments. 6. What was the price of Microsoft stock in 1992? Over the past four quarters, Microsoft has generated $130 billion of revenue. The deals helped boost the company's user network and emphasize the new direction Microsoft has taken in recent years. What was the price of Apple stock in 1985? The S&P 500's total return came to a mere 1,950% over the same span. It was up 67.3% for the year. Zacks->. Azure's revenue grew by 35% year over year in the recent first quarter of fiscal 2023 (ended Sept. 30), which was three times the pace of Microsoft's overall revenue growth of 11%. He sold the vast majority of his Microsoft stock before leaving the board in 2020. Microsoft announced in January a multibillion-dollar investment in OpenAI, the artificial intelligence lab that created ChatGPT. A wealth of resources for individual investors is available at www.zacks.com. What was Microsoft stock worth in 1989? How much would I have if I invested $1000 in Microsoft in 1986? Today, Download Marijuana Moneymakers FREE >>, Microsoft Corporation (MSFT): Free Stock Analysis Report. A $1,000 investment in Microsoft on the day of its initial public offering, or IPO, on March 13, 1986, would be worth more than $1.6 million today, according to CNBC calculations. Based on a price of $149.31 for Apple shares at the time of writing, the $1,000 investment would now be worth $425,596.59. Outsmart the market with Smart Portfolio analytical tools powered by TipRanks. The Motley Fool recommends Intel and recommends the following options: long January 2020 $200 calls on IBM, short January 2020 $200 puts on IBM, long January 2021 $85 calls on Microsoft, short January 2020 $155 calls on IBM, and short January 2020 $50 calls on Intel. How much a stock's price changes over time is a significant driver for most investors. The segment comprises mainly the Windows, Gaming (Xbox hardware and Xbox software and services), Devices (Surface, PC accessories, and other intelligent devices) and Search (Bing and Microsoft Advertising) businesses. The highly successful 1986 offering (dubbed the IPO of the year by many analysts) generated US$61 million for Microsoft (US$140 million in 2019 dollars), granting the software giant a market capitalization of US$777 million (US$1.78 billion in 2019 dollars). Plus, it's currently trying to acquire game development studio Activision Blizzard for $69 billion, but the U.S. Federal Trade Commission has sued Microsoft to block the deal. In 1978, our founder discovered the power of earnings estimate revisions to enable profitable investment decisions. If you'd invested $1,000 in Microsoft Corporation (MSFT) on March 16, 2011, today the investment would be worth $11,504.83 with an annual rate of return of 27.62%. Si vous souhaitez personnaliser vos choix, cliquez sur Grer les paramtres de confidentialit. After the splits, you would now own 68,544 shares . Only Apple (AAPL (opens in new tab)) generated more wealth for shareholders over those three decades, making MSFT one of the very best stocks of the past 30 years, per Bessembinder's findings, which account for cash flows in and out of the business and other adjustments. The stock price is then adjusted proportionally so that the value of the investment remains the same as before the split.). The streaming-video provider, which had its IPO at the end of March, has sometimes been . Given Microsoft now trades at $238.73 per share, that translates to a return of 327,401%. What is the difference between capital formation and investment? 5. For Microsoft, if you bought shares a decade ago, you're likely feeling really good about your investment today. *Average returns of all recommendations since inception. But it gets . How much would you have if you invested $1000 in Apple 20 years ago? 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It features a timely Watch List of pot stocks and ETFs with exceptional growth potential. Reviews: 81% of readers found this page helpful, Address: Apt. Gates dropped out of college after his sophomore year at Harvard so he and Allen could focus on adapting BASIC, a popular programming language, for use on early personal computers. 2. After 10 years of adding the inflation-adjusted $1,000 a year, our hypothetical investor would have accumulated $16,187. What is the real cost of the data breaches? Allen had left Microsoft years earlier but held onto a significant stake in the company. But it gets better, because Microsoft has paid a dividend since 2003 -- and assuming you never sold a single share along the way, you'd have also received $341,513 in dividends. How much will Microsoft stock be worth in 5 years? Increasing spend on Azure enhancements amid stiff competition from Amazon Web Services, is likely to impede margin expansion. How much will $1000 be worth in 20 years? Gates dropped out of college after his sophomore year at Harvard so he and Allen could focus on adapting BASIC, a popular programming language, for use on early personal computers. Had you invested $1,000 in Microsoft at its IPO, you would have acquired 47 shares at $21 per share. To make the world smarter, happier, and richer. Benzinga does not provide investment advice. The closing price for Microsoft (MSFT) in 1999 was $36.72, on December 31, 1999. Over the next few decades, Microsoft continued to innovate and expand its scope. Without advertising income, we can't keep making this site awesome for you. Type a symbol or company name. If you had invested $1,000 during Amazon's IPO in May 1997, your investment would be worth $1,362,000 as of September 4, according to CNBC calculations. If you had invested $1,000 into Microsoft five years ago, your investment would have more than tripled to $3,248 as of April 26, according to CNBC's calculations. $MSFT Analysis, (Video) 86. Click to enlarge, Microsoft's success came long before its IPO. He retained that title for years. Investors also focused on today's onslaught of earnings reports, including mixed results for streaming giant Netflix. How rich would I be if I invested in Amazon? How much would I have if I invested $1000 in Microsoft in 1986? Learn More. Type a symbol or company name. Today, Microsoft is a dominant player in cloud computing and MSFT's stock price proves it. Currently, Microsoft has a market capitalization of $2.12 trillion. It operates in so many diverse, transformative industries serving both consumers and businesses that the stock likely remains a safe bet over the next decade and beyond. The S&P 500 rose 280.96% and the price of gold increased -2.15% over the same time frame in comparison. 4. How rich would I be if I invested in Amazon? Solid uptake of new Xbox gaming consoles and Xbox Game Pass drove the top-line growth. Originally, only 2.5 million were offered, but the number was raised to meet demand. 2023 Investguiding. Gates's wealth ballooned from there and, in 1987, he made history as the youngest person to ever become a billionaire. Shares of Microsoft went through a series of stock splits that included 2:1 stock splits in 1987 and 1990. Unsplit, Microsoft would be worth about $8,928 a share. Microsoft's operational diversity means its best growth opportunities might still be ahead of it. During its fiscal third-quarter earnings call, CEO Satya Nadella explained that "investing in the new AI wave" would remain a key focus for the software giant. How long does it take to discover a data breach? Microsoft has also faced plenty of setbacks over the years. When CEO Satya Nadella ascended to the top job in 2014, he not only began instituting cultural changes, he transformed Microsoft's core strategy too. Teams user growth is gaining from continuation of remote work as well as adoption of hybrid work model. Microsoft expects Surface revenues to decline in the fiscal first quarter owing to tough year over year comparison and supply chain disruptions. Daily pricing data for Microsoft dates back to 3/13/1986, and may be incomplete. Microsoft also expanded its reach through the acquisitions of professional networking site LinkedIn in 2016 and code-sharing service GitHub in 2018. Shares of the company have outperformed the industry in the year-to-date period. And while his wealth is an extreme example, if you had bet on Microsoft in its early days in the mid-1980s, your gamble would have paid off big time, too. In addition to regularly making the list of hedge funds' top stock picks, MSFT routinely takes the top spot in analysts' rankings of all 30 Dow stocks. But so much has changed since then. What Happened: Microsoft joined Apple Inc AAPL as the second company to have a market capitalization of $2 trillion, which it recently passed. Those are impressive growth rates for such a large company. Last quarter, revenue and earnings increased by 14% and 21% year over year, respectively. What does cyber insurance typically not cover? How much would I have if I invested $1000 in Microsoft in 1986? Subscribe to CNBC Make It on YouTube! The S&P 500's total return comes to not quite 10% over the same period. He died in October 2018 at age 65 from complications of non-Hodgkin's lymphoma. It was up 67.3% for the year. Not enough to knock anybody's socks off. $10,000 investment in Apple stock 10 years ago is worth $667,159.85 today : r/apple. The deals helped boost the company's user network and emphasize the new direction Microsoft has taken in recent years. The hypothetical investment would now be 2,857.12 shares. But the past 10 years have been nothing short of a renaissance for the software giant. While the major indexes failed to make big moves today, consumer staples giant Procter & Gamble popped after earnings. Redmond, WA-based Microsoft Corporation is one of the largest broad-based technology providers in the world. 30. Here's exactly how much those investors have been rewarded for their patience. If you had invested $1,000 in Amazon.com you would have approximately $218,793.08 today. When the symbol you want to add appears, add it to Watchlist by selecting it and pressing Enter/Return. Increasing spend on Azure enhancements amid intensifying competition in the cloud space from Amazon is likely to dent margins. Si vous ne souhaitez pas que nos partenaires et nousmmes utilisions des cookies et vos donnes personnelles pour ces motifs supplmentaires, cliquez sur Refuser tout. Considering the present scenario, it is highly unlikely that any split will be announced in the near future. The Facebook parent's quarterly results overshadowed a worse-than-expected reading on Q1 gross domestic product. Microsoft shares split 2 . What was the price of Apple stock in 1985? The company dominates the PC software market with more than 80% of the market share for operating systems.The companys Microsoft 365 application suite is one of the most popular productivity software globally. Gates ran Microsoft until 2000, when he stepped down as CEO in order to focus on philanthropy. Heres how it works. Zacks Investment Research. The stock split nine times over the years, with two of those being 3-for-2 splits. 2023 Benzinga.com. Not too long ago, Microsoft (MSFT (opens in new tab)) stock's glory days looked to be behind it as sales of desktop PCs slipped into a seemingly irreversible decline amid the consumer shift to mobile technology. To read this article on Zacks.com click here. Microsoft also expanded its reach through the acquisitions of professional networking site LinkedIn in 2016 and code-sharing service GitHub in 2018. What would Microsoft stock be worth if it never split? What was Microsoft stock price in 1987? What happens if you invest 100 in Amazon 10 years ago? It stands as one of the most powerful companies in the tech industry, with a market cap that rivals those of Amazon and Google . The segment offers productivity and collaboration tools and services including Office 365, Dynamics business solutions, Teams, Relationship Sales solution, Power Platform and LinkedIn.Intelligent Cloud, which include Azure cloud services, contributed to 33.8% of fiscal 2020 revenues.On October 25, 2018, the company completed the acquisition of GitHub, which provides a collaboration platform and code hosting service for developers, for $7.5 billion.More Personal Computing represented 33.7% of fiscal 2020 revenues. Those splits were followed by 3:2 stock splits in 1991 and 1992. The segment comprises mainly the Windows, Gaming (Xbox hardware and Xbox software and services), Devices (Surface, PC accessories, and other intelligent devices) and Search (Bing and Microsoft Advertising) businesses.