Jakarta, CNBC Indonesia – Microsoft has just reached a milestone by celebrating its 40th anniversary. On November 10, 1983, Microsoft launched the first version of Windows, which was an extension of the MS-DOS operating system, a software company for personal computers that was just starting to gain popularity in the 80s.
This iteration of Windows is a graphical user interface that features the most basic version we know today. Such as drop-down menus, the ability to run multiple applications at once and the ability to use the mouse to click and open electronic files.
However, this version of Windows was not as widespread as the current software. Consumers were only able to buy it two years later in 1985. It cost around US$100 and only sold around 500,000 copies.
Today, more than a billion people now use Windows, Microsoft reported in May.
As a company that has been around for a long time, what is the total value of the stock investment in Microsoft?
Microsoft shares first went public on March 13, 1986 at a price of US$21 per share. By the end of the trading day, the price had risen to US$28 per share.
Now, the price is almost 13 times higher, closing at US$360.69 on November 9, 2023. The shares are up about 50% year to date.
If you invested US$1,000 in Microsoft 1, 5 or 10 years ago, this is how much money you would have had. The following calculations were made by CNBC International, based on the closing price of the company’s shares on November 9 of US$360.69.
– If you invested US$1,000 in Microsoft a year ago, your investment would have grown by about 57% and would be worth about US$1,592 on November 9.
– If you had put US$1,000 into Microsoft 5 years ago, the value of your investment would have tripled to US$3,408 on November 9.
– If you invested US$1,000 in Microsoft 10 years ago, its value would have jumped more than 854% to US$11,400 on November 9.
– And if you could have bought US$1,000 worth of Microsoft shares when the company went public 37 years ago, your investment would have been worth US$5,959,744 on November 9.
But remember, any company’s current performance should not be used to predict how well it will perform in the future. The stock market can be volatile and stock prices can fluctuate or fall due to many unpredictable factors.
Rather than trying to pick individual stocks, financial experts recommend that most people take a hands-off approach, such as buying index mutual funds or exchange-traded funds.
This type of fund aims to mimic a market index such as the S&P 50 which tracks how well about 500 large public companies perform.
With this strategy, you essentially buy a basket of stocks, spreading the investment across different companies and industries.
[Gambas:Video CNBC]
Next Article
The Attraction of Bond & Stock Investment in the Midst of World Turmoil
(haa/haa)