If you own a computer, you know of Microsoft Windows. In fact, it’s still the most widely used operating system and cloud service in the world, with 7 out of 10 computers using it. As a result, Microsoft is one of the most valuable companies in the world.
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Since it went public on March 13, 1986, its stock has grown exponentially. What if you could go back in time and invest $1,000 when it went public? If you were lucky enough to do so, your original grand could be worth about $8 million today.
Never mind buying Microsoft way back then, though, what if you invested $1,000 in Microsoft stock just 25 years ago? Let’s find out how much would it be worth today.
Quick Take: Investing in Microsoft (MSFT) Now
Though investing in Microsoft won’t necessarily give you Bill Gates’ money, which is currently an estimated net worth of $107 billion, it could definitely boost your portfolio and financial outlook. Here is how the stock is performing as of Sept. 10, 2025:
- Stock price: $501.69
- Market cap: $3.72 trillion
- 52-week high: $555.45
- 52-week low: $344.79
- Dividend yield: 0.66%
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Microsoft Stock in 2000-2025
Founded in 1975 by Bill Gates and Paul Allen, Microsoft Corporation was already a major tech company by the year 2000. At the time, it was riding the wave of the dot-com boom and had a market share of 97%.
Let’s assume you invested $1,000 at the beginning of 2000. The stock opened on January 3, 2000, at $58.69, according to Microsoft’s website. Therefore, your $1,000 would buy you 17 shares (adjusted for Microsoft’s nine stock splits).
As of Sept. 10, 2025, Microsoft’s stock price is about $502. If you multiply that by your 17 shares, they would now be worth $8,534, a return of close to 700%. This amount, however, does not include reinvested cash dividends. Cash dividends are payments a company makes to its shareholders from its profits.
Microsoft’s current quarterly dividend is $0.66 per share. You would receive $11.22 (17 shares x $0.66) per quarter. You can reinvest the money through a dividend reinvestment plan (DRIP) or receive it as cash. Reinvesting through a DRIP allows you to purchase additional shares at a discounted rate, compounding the value of your investment.
The Dot-Com Bubble and Microsoft’s Long-Term Stock Performance
Stock prices fluctuate, and even successful companies like Microsoft experience setbacks. Shortly after 2000, the dot-com bubble burst. Microsoft’s stock price dropped and remained stagnant for years. For example, the $1,000 invested at the beginning of 2000 was worth just $355 two and a half years later — a 65% loss. However, if you were patient, the stock not only regained what you lost but also increased significantly.
Investing in stocks is a long-term commitment. While there may be ups and downs, history shows that those who hold onto their investments long-term are more likely to see significant returns.
Comparing Microsoft Stock’s Performance to Other Investments
While a 700% return on a $1,000 investment in Microsoft stock over the past 25 years is impressive, how does it compare to S&P returns?
The average annual return of the S&P 500 since 2000 is approximately 7.92% per year, for a total return of 603.08%, assuming you reinvested your dividends. A $1,000 investment in an S&P 500 index fund would be worth roughly $7,030.83 in 2025. Ultimately, investors who stuck with Microsoft reaped the rewards, slightly edging out the index.
Caitlyn Moorhead contributed to the reporting for this article.
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This article originally appeared on GOBankingRates.com: How Much Money Would You Have If You Invested $1K in Microsoft Stock in 2000?
