Starbucks Stock: A Journey Through Splits and Growth Records

Since Starbucks went public in 1992, the company has established itself as one of the noteworthy success stories of recent decades. The IPO price of $17 per share then has now been far surpassed – currently, the Starbucks share is trading at around $93. What at first glance appears to be a respectable increase of about 450% reveals even more impressive details upon closer inspection. Over the past 32 years, Starbucks has split its stock a total of six times on a two-for-one basis. This strategy has paid off remarkably well for patient investors. For instance, had you purchased a single share at the IPO in 1992, you would now own 64 Starbucks shares due to the splits. A detailed analysis highlights the astonishing growth: An initial investment of $17 at the IPO would now encompass 64 shares, each worth around $93. Consequently, the original investment would have reached a current value of $5,952 – without even considering any transaction fees. The success becomes even more evident hypothetically if you had invested $1,000: That amount would be worth more than $350,000 today. An impressive return – and this does not even include the effect of reinvested dividends. Although the Starbucks share has shown remarkable performance so far, it should be noted that current recommendations are not always equally optimistic. For instance, the analyst team at Motley Fool Stock Advisor does not currently include Starbucks among its top ten stock picks. This selection is based on a well-founded methodology that could potentially yield monstrous returns in the coming years. A prominent example is the 2005 recommendation of Nvidia: An investment of $1,000 back then would have brought in over $630,000 today. Matt Frankel holds positions in Starbucks, as does The Motley Fool, which also recommends Starbucks. Transparency is paramount, as demonstrated by The Motley Fool’s disclosure policy.