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Video: What is a Stock Split?
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Microsoft is a technology company that develops and supports software, services, devices, and solutions. Co. provides a range of services, including cloud-based solutions that provide software, services, platforms, content, solution support and consulting services. Co. also delivers relevant online advertising. Co.'s products include operating systems; cross-device productivity applications; server applications; business solution applications; desktop and server management tools; software development tools; and video games. Co. also designs and sells devices, including personal computers, tablets, gaming and entertainment consoles, other intelligent devices, and related accessories. According to our MSFT split history records, Microsoft has had 9 splits. | |
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Microsoft (MSFT) has 9 splits in our MSFT split history database. The first split for MSFT took place on September 21, 1987. This was a 2 for 1
split, meaning for each share of MSFT owned pre-split, the shareholder now owned 2 shares. For example, a 1000 share position pre-split, became a 2000 share position following the split. MSFT's second split took place on April 16, 1990. This was a 2 for 1
split, meaning for each share of MSFT owned pre-split, the shareholder now owned 2 shares. For example, a 2000 share position pre-split, became a 4000 share position following the split. MSFT's third split took place on June 27, 1991. This was a 3 for 2
split, meaning for each 2
shares of MSFT owned pre-split, the shareholder now owned 3 shares. For example, a 4000 share position pre-split, became a 6000 share position following the split. MSFT's 4th split took place on June 15, 1992. This was a 3 for 2
split, meaning for each 2
shares of MSFT owned pre-split, the shareholder now owned 3 shares. For example, a 6000 share position pre-split, became a 9000 share position following the split. MSFT's 5th split took place on May 23, 1994. This was a 2 for 1
split, meaning for each share of MSFT owned pre-split, the shareholder now owned 2 shares. For example, a 9000 share position pre-split, became a 18000 share position following the split. MSFT's 6th split took place on December 09, 1996. This was a 2 for 1
split, meaning for each share of MSFT owned pre-split, the shareholder now owned 2 shares. For example, a 18000 share position pre-split, became a 36000 share position following the split. MSFT's 7th split took place on February 23, 1998. This was a 2 for 1
split, meaning for each share of MSFT owned pre-split, the shareholder now owned 2 shares. For example, a 36000 share position pre-split, became a 72000 share position following the split. MSFT's 8th split took place on March 29, 1999. This was a 2 for 1
split, meaning for each share of MSFT owned pre-split, the shareholder now owned 2 shares. For example, a 72000 share position pre-split, became a 144000 share position following the split. MSFT's 9th split took place on February 18, 2003. This was a 2 for 1 split, meaning for each share of MSFT owned pre-split, the shareholder now owned 2 shares. For example, a 144000 share position pre-split, became a 288000 share position following the split.
When a company such as Microsoft splits its shares, the market capitalization before and after the split takes place remains stable, meaning the shareholder now owns more shares but each are valued at a lower price per share. Often, however, a lower priced stock on a per-share basis can attract a wider range of buyers. If that increased demand causes the share price to appreciate, then the total market capitalization rises post-split. This does not always happen, however, often depending on the underlying fundamentals of the business.
Looking at the MSFT split history from start to finish, an original position size of 1000 shares would have turned into 288000 today. Below, we examine the compound annual growth rate — CAGR for short — of an investment into Microsoft shares, starting with a $10,000 purchase of MSFT, presented on a split-history-adjusted basis factoring in the complete MSFT split history.
Growth of $10,000.00
With Dividends Reinvested
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Start date: |
09/12/2014 |
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End date: |
09/10/2024 |
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Start price/share: |
$46.70 |
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End price/share: |
$414.20 |
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Starting shares: |
214.13 |
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Ending shares: |
250.45 |
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Dividends reinvested/share: |
$20.24 |
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Total return: |
937.38% |
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Average Annual Total Return: |
26.35% |
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Starting investment: |
$10,000.00 |
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Ending investment: |
$103,760.19 |
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Years: |
10.00 |
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Growth of $10,000.00
Without Dividends Reinvested
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Start date: |
09/12/2014 |
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End date: |
09/10/2024 |
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Start price/share: |
$46.70 |
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End price/share: |
$414.20 |
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Dividends collected/share: |
$20.24 |
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Total return: |
830.28% |
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Average Annual Total Return: |
24.98% |
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Starting investment: |
$10,000.00 |
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Ending investment: |
$93,040.18 |
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Years: |
10.00 |
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Date |
Ratio |
09/21/1987 | 2 for 1
| 04/16/1990 | 2 for 1
| 06/27/1991 | 3 for 2
| 06/15/1992 | 3 for 2
| 05/23/1994 | 2 for 1
| 12/09/1996 | 2 for 1
| 02/23/1998 | 2 for 1
| 03/29/1999 | 2 for 1
| 02/18/2003 | 2 for 1 |
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