Microsoft (NASDAQ: MSFT) has been on a winning streak for decades now. One of the biggest tech companies in the world, it’s currently valued at nearly $3.2 trillion. This isn’t surprising considering Microsoft is a pioneer in artificial intelligence (AI), cloud computing, software and leading operating systems.
When it first went public in 1986, Microsoft stock was worth just $21 a share. In today’s dollars, that’s about $60.
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As of Jan. 2, MSFT opened at $425.53 and closed at $418.58. On Jan. 15, it opened at $419.13 and closed at $426.31, keeping fairly steady over the two-week period.
But what about over the past decade? If you’d invested in Microsoft 10 years ago, what would it be worth today?
MSFT Has Seen Major Cumulative Returns
From Jan. 15, 2024 to Jan. 15, 2025, Microsoft stock saw +10.55% returns. The year prior, it saw cumulative returns closer to +34%.
But just because returns were lower on a year-over-year basis doesn’t mean Microsoft is in a downswing. In fact, it’s been growing for decades.
If you’d invested $2,000 in Microsoft stock on Jan. 15, 2015, it’d be worth $19,368.94 on Jan. 15, 2025. Over the past 10 years, the stock has seen +992% in total returns.
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What You’d Have Now If You’d Invested Then
Even though you can’t go back in time and invest when you didn’t, it’s still an interesting thought experiment to run the numbers and see what could have been. Here are a few other examples of what you could have now if you’d invested different amounts a decade ago:
- If you’d invested $1,000 in MSFT a decade ago, you’d have roughly $9,684.47 now.
- If you’d invested $5,000 in MSFT a decade ago, you’d have roughly $48,422.36 now.
- If you’d invested $10,000 in MSFT a decade ago, you’d have roughly $96,844.72 now.
- If you’d invested $15,000 in MSFT a decade ago, you’d have roughly $145,267.08 now.
What Does This Mean for Your Portfolio?
This doesn’t necessarily mean you should run out there and start investing in Microsoft right now. But nor does it mean the opposite. It’s up to you, your financial goals and situation and what works best with your investing strategy and risk tolerance.
If you are thinking about investing in stocks, however, here are a few things to consider first:
- Long-term returns: Even the most profitable companies can have their ups and downs. Investing in stocks is a long-term strategy, not a short-term one. Look into a company’s history to see how it’s done over time and where it’s headed.
- Price-to-earnings ratio: A company’s price-to-earnings (P/E) ratio measures the company’s per-share earnings relative to its share price. It’s worth knowing as it shows what investors are willing to pay for those shares. Even if the P/E ratio seems low, if the company is growing quickly, it might be worth investing in — or at least watching.
- Dividends: As an investor, dividends can be a great way of boosting your regular income. But it depends on how much you earn each month or, more commonly, quarter. Larger, more predictable dividends means higher, more consistent profits. So, check the company’s dividend rate over time and, if you want to earn more, go with stocks with larger historic dividends.
- Overall investment strategy: What works for one individual investor might not work for another. Weigh your options, consider the risks and, when in doubt, consult a professional before investing.
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This article originally appeared on GOBankingRates.com: If You Invested $2,000 in Microsoft Stock 10 Years Ago, It Would Be Over $19K Today
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
