At what price did Warren Buffett buy Apple stock?
Buffett began buying Apple in the first quarter of 2016, but there's no way to know exactly what his average share price was. But if you use the highest closing that quarter as a conservative estimate, it means that you would have paid $27.06 per share for Apple.
Berkshire Hathaway's Apple Stake
Warren Buffett acquired 906 Million Apple shares worth $156 Billion. It makes up 45.23% of their stock portfolio and is their biggest holding. The investor owns 5.90% of the outstanding Apple stock. The first Apple trade was made in Q1 2016.
Apple went public on December 12th, 1980, with a share price of $22. Since then, the company's stock has split five times. On a split-adjusted basis, the IPO price was only $0.10.
The all-time high Apple stock closing price was 197.86 on December 14, 2023. The Apple 52-week high stock price is 199.62, which is 16.8% above the current share price.
In other words, that $1,000 investment in 1980 would be worth more than $1.26 million today! But that's not all, because Apple has paid a dividend in several years since 1987. Assuming you never sold a single share along the way, you would've collected an additional $155,131 in dividend payments!
The lowest closing price for Apple (AAPL) all-time was $0.04, on July 8, 1982. The latest price is $171.48.
Largest shareholders include Vanguard Group Inc, BlackRock Inc., Berkshire Hathaway Inc, State Street Corp, VTSMX - Vanguard Total Stock Market Index Fund Investor Shares, VFINX - Vanguard 500 Index Fund Investor Shares, Geode Capital Management, Llc, Fmr Llc, Morgan Stanley, and Price T Rowe Associates Inc /md/ .
If you had invested $1,000 in Apple stock on Jan. 24, 1984, today, you would have $1,593,809. Likewise, if you had invested $1,000 in an index fund replicating Nasdaq, you would have $55,090. A similar $1,000 investment in an index fund that replicates the S&P 500 would be worth $29,230.
Factoring in the company's five stock splits, these 454 shares would have increased to 101,696 shares, as of today. With Apple closing last week at $140.09, it means an initial $10,000 investment nearly 42 years ago would now be worth $14,246,593. Keep in mind that this figure doesn't take into account dividends paid.
But if you were smart enough to invest $1,000 in Apple stock at the start of the year 2000, you'd be sitting on a monster gain of 21,230%. This means that modest investment would be worth a whopping $213,000 today (as of July 27).
How much is $10,000 invested in Apple 20 years ago?
Those gains translate to a 36.6% compound annual growth rate for Apple compared to a 7.4% CAGR for the S&P 500 in that time. That means that $10,000 in AAPL stock purchased 20 years ago would be worth about $5.08 million today, assuming reinvested dividends.
1. Berkshire Hathaway ($628,390) Berkshire Hathaway is the holding company of billionaire investor Warren Buffett. Berkshire Hathaway A shares (BRK.A) reached a high of $628,390 on March 20, 2024.1 The stock traded at $623,300 per share as of the intraday trading session on March 26, 2024.
"Apple's been on top for so long now," says Matt Warman in Britain's Telegraph, "there is only one way it can go." Indeed, Apple shares will never get back to $700, says The Economist.
In August of 1997, Gates stepped in and saved Apple, which, at the time, was on the brink of bankruptcy. “Bill, thank you. The world's a better place,” Jobs told Gates after the Microsoft exec agreed to make a $150 million investment in Apple.
To get a sense of what that sort of underperformance looks like on an account statement, have a look at the chart below. This chart illustrates the disconcerting fact that if you invested $1,000 in Walmart stock 20 years ago, today it would be worth only about $4,400.
What does that look like on a brokerage statement? Check out the above chart and you'll see that if you invested $1,000 in Apple stock 20 years ago, it would today be worth almost $530,000. The same $1,000 invested in the S&P 500 would have theoretically turned into $6,186 over the same period.
Despite recent headwinds, Apple remains a leader in tech with dominating brand power and immense financial resources. A recent stock dip could be the perfect time to make a long-term investment in its business and profit from its potential over the next decade.
Does Apple Pay a Dividend? Yes, AAPL has paid a quarterly dividend since 2012. The company also paid a quarterly dividend from November 1988 to November 1995 before suspending it for seventeen years.
When did Amazon go public and at what price? Amazon went public on May 15, 1997, and the IPO price was $18.00, or $0.075 adjusted for the stocks splits that occurred on June 2, 1998 (2-for-1 split), January 5, 1999 (3-for-1 split), and September 1, 1999 (2-for-1 split), and June 3, 2022 (20-for-1 split).
| Name | Equities | % |
|---|---|---|
| Vanguard Fiduciary Trust Co. 8.536 % | 1,318,064,349 | 8.536 % |
| BERKSHIRE HATHAWAY INC. 5.864 % | 905,560,000 | 5.864 % |
| BlackRock Advisors LLC 5.257 % | 811,835,633 | 5.257 % |
| STATE STREET CORPORATION 3.795 % | 586,052,057 | 3.795 % |
Does Warren Buffett still own Apple stock?
Warren Buffett's holding company Berkshire Hathaway, which owns GEICO and Dairy Queen, sold off about 1% of its stake in Apple in the last quarter of 2023, the company revealed in new SEC filings.
Warren Buffett finally sold some Apple stock
(NASDAQ: AAPL) in the last quarter of 2023. While for many, that would be a gigantic portfolio move, it was the proverbial drop in the bucket as the fund still holds 905,560,000 shares, which equates to a 5.9% stake in the legacy technology leader.
As a result, those who bought $10,000 worth of Amazon's stock in January 2013 would have $78,138.51 today, with an annual rate of return of 22.42%. The growth proves the importance of holding stocks over the long term, as doing so can safeguard your investment against short-term headwinds.
If you bought $10,000 worth of Apple shares at that price and didn't sell any shares along the way, your investment would today be worth close to $66,250. At the stock's peak in late December 2023, your shares would have been worth a little over $71,000.
$5,000 in 1984 has the same purchasing power as $14,477.38 in 2024. Over the 40 years this is a change of $9,477.38. The average inflation rate of the dollar between 1984 and 2024 was -0.07% per year. The cumulative price increase of the dollar over this time was -100.00%.
