If Purchasing a Single Share of Amazon during Its Initial Public Offering, Here's the Current Number of Shares You'd Hold
Amazon, the legendary corporate titan, hit the stock market in 1997, debuting with an IPO at a humble $18 per share. By the end of that fateful day, the stock was already trading above $23, giving early investors a promising start. With a market capitalization of just $560 million, who would've guessed the company's growth potential?
Fast forward 28 years later, and those brave enough to invest in Amazon's early days have seen their gains skyrocket. A single share pocketed for $18 in 1997 would now be worth a staggering $50,000. That's not all; thanks to Amazon's share splits over the years, that initial investment transformed into a jaw-dropping 240 shares today.
Amazon split its shares four times since its initial public offering, with splits in 1998, 1999, and another two in 2022. These splits multiplied the number of shares per investor without affecting the stock's value, effectively making each investor's stake in the company more substantial.
But it's not just about the numbers. The company's performance since its IPO has been nothing short of impressive. A compound annual return of 32.3%, far surpassing the S&P 500's 9.3% rate, has made Amazon a formidable force in the stock market. This eye-catching performance has fueled its status as a long-term buy opportunity for many investors.
Amazon's diversified business streams, its never-ending pursuit of growth, and its exceptional management have earned it the title as a strong investment option. With its iconic past and promising future, it's hard to ignore this American powerhouse's potential.
Enrichment Data:
Over the 28-year period since its IPO in 1997, investors who put $1,000 into Amazon stock would have seen that investment grow to a staggering $2,625,304 today. This represents an annualized total return of 32.47% for Amazon compared to the S&P 500's annualized total return of 10.6% over the same period. This means Amazon's stock has more than tripled the performance of the broader market since its IPO, offering investors an impressive return overall.
- Those who invested in Amazon's stock during its debut in 1997, when a share cost $18, have seen substantial returns over the decades.
- With Amazon's stock outpacing the S&P 500's growth rate by a significant margin, investing in the company's early days has proven to be a lucrative financial decision.
- The company's split of shares four times since its IPO in 1997 has made each investor's stake in Amazon more considerable, transforming a single $18 investment into 240 shares.
- The performance of Amazon's stock over two decades has paved the way for impressive returns, making it an attractive option for long-term investors who seek to diversify their finance portfolios.
