If You Bought 1 Share of Microsoft at Its IPO, Here's How Many Shares You'd Own Now

Core Insights - Microsoft has completed nine stock splits since its IPO in 1986, turning an initial investment of $21 into a cumulative value of $141,710 over 39 years, excluding dividends [4][1] - Stock splits have become a significant trend on Wall Street, alongside artificial intelligence, with Microsoft being a leader in this practice [2][1] Stock Split History - Microsoft went public on March 13, 1986, at an IPO price of $21 per share and has executed nine stock splits since then [4] - The stock splits occurred in the following years: September 1987 (2-for-1), April 1990 (2-for-1), June 1991 (3-for-2), June 1992 (3-for-2), May 1994 (2-for-1), December 1996 (2-for-1), February 1998 (2-for-1), March 1999 (2-for-1), and February 2003 (2-for-1) [6] Current Market Position - Microsoft may be preparing for its 10th stock split due to a high share price of $492.05 and significant ownership by everyday investors, who hold 34% of its outstanding shares [5] - The company has seen substantial benefits from investments in cloud computing and AI, with its Azure platform holding a 23% market share in the cloud infrastructure service sector [7] Legacy Operations - Despite the decline in growth for Windows and Office, Microsoft's legacy operations continue to generate significant cash flow, which supports high-growth initiatives like AI investments, stock buybacks, and increasing dividends [8]