Apple (NASDAQ: AAPL) stock has experienced many struggles since its 1980 IPO. After its board fired Steve Jobs in 1985, the corporate spent years within the wilderness. It suspended its dividend payout in 1996, and was near bankruptcy when it brought Jobs back in 1997.
Shortly after that, Apple stock began a run that made it one of the vital successful stocks in history, illustrating how innovation can dramatically improve an organization’s fortunes.
Apple’s stock growth since Jobs’ return
If one had bought $1,000 in Apple stock when Jobs returned in February 1997 and held on until today, that position can be price around $1.8 million. That figure assumes this hypothetical investor would have reinvested their income from the dividend, which Apple reinstated in 2012.
Jobs’ first major move after returning was to integrate the Mac ecosystem with the broader tech world, convincing Microsoft to speculate $150 million in Apple and develop and support a Mac-compatible version of its popular Office software.
He also set to construct an Apple ecosystem, revamping the Macintosh, launching the iMac in 1998, and following up with a recent MacOS in 2001. The corporate gained additional traction by launching the iPod music player in 2001, and opening Apple Stores and the iTunes Store soon after.
Nonetheless, the innovation that actually transformed Apple was the iPhone, which it launched in 2007. It pioneered the trendy smartphone industry, and eventually eliminated many individuals’s must own a PC. So successful was the iPhone that it drives nearly all of Apple’s revenue to today.
Apple’s pace of innovation slowed with the passing of Jobs in 2011. Now, it more directly competes with devices and apps using Alphabet‘s Android operating system and with most of its mega-tech competitors within the artificial intelligence field.
Nonetheless, its continued innovations have at times made it the world’s largest company by market cap, and positioned it in the highest three today. Due to products equivalent to the iPhone and its extensive ecosystem, Apple’s stock price should proceed to grow.
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Suzanne Frey, an executive at Alphabet, is a member of The Motley Idiot’s board of directors. Will Healy has no position in any of the stocks mentioned. The Motley Idiot has positions in and recommends Alphabet, Apple, and Microsoft. The Motley Idiot recommends the next options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Idiot has a disclosure policy.
If You’d Invested $1,000 in Apple Stock 27 Years Ago, Here’s How Much You’d Have Today was originally published by The Motley Idiot