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Microsoft’s 40-Year Run Since IPO Delivers 423,908% Return

Successive pivots from PC software to cloud to AI helped lift the company to roughly a $3 trillion value.

Overview

  • Microsoft went public on March 13, 1986, and its total return since listing far outpaced the S&P 500’s roughly 2,705% gain over the same period.
  • A $1,000 investment at the IPO would be worth about $5.5 million today, aided by nine stock splits that expanded roughly 47 initial shares into about 13,700.
  • Microsoft began paying a quarterly dividend in 2003, with long-term holders collecting hundreds of thousands of dollars in payouts and significant ongoing annual income.
  • The company’s AI and cloud momentum includes multibillion-dollar investments tied to OpenAI, which has become a major Azure customer.
  • In Q2 of fiscal 2026, Microsoft reported $81.3 billion in revenue, up 17% year over year, and returned $12.7 billion to shareholders through dividends and buybacks.