Jan 19, 2026 2 min read 0 views

Microsoft Stock Delivers Substantial Returns Over Past Decade

Microsoft stock has generated significant wealth for investors over the past ten years, with a $1,000 investment in 2016 growing to over $10,000 by 2026, supported by strong price appreciation and consistent dividend payments.

Microsoft Stock Delivers Substantial Returns Over Past Decade

Microsoft stock has created considerable wealth for many investors, particularly those who acquired shares during its early public offerings and maintained their holdings. The stock's performance continues to yield profits for current investors.

A $1,000 investment in Microsoft stock ten years ago would now be worth substantially more. On January 15, 2016, Microsoft shares closed at an adjusted price of $44.65 per share, as reported by Yahoo Finance, which accounts for stock splits and dividends. An investment of $1,000 at that time would have purchased approximately 22 shares.

By January 15, 2026, Microsoft stock closed at $456.66 per share. This represents a gain exceeding 900%, turning the initial $1,000 into approximately $10,050.

Investors also benefited from quarterly dividend payments. In fiscal 2016, Microsoft paid a quarterly dividend of $0.36 per share. The company has since increased this dividend, now paying $0.91 quarterly.

Analysts remain optimistic about Microsoft's investment potential. According to MarketWatch, 53 analysts currently rate the stock as a "Buy," nine give it an "Overweight" rating, and two rate it a "Hold." The average price target is $629.56, with at least one analyst projecting it could reach $730 per share.

Microsoft is part of the group known as the "Magnificent 7" technology stocks, which also includes Alphabet, Amazon, Apple, Meta Platforms, Nvidia, and Tesla. Fidelity notes that each of these companies has achieved a market capitalization exceeding $1 trillion at some point.

Many popular mutual funds, including target-date funds, hold significant positions in Microsoft. For instance, the Vanguard 500 Index Fund Admiral Shares owns over $91 billion worth of Microsoft stock. As the third-largest company in the S&P 500, any fund indexed to it will have a substantial holding in Microsoft.

Leave your opinion