IBM was initially founded following a merger between the International Time Recording Company, Computing Scale Company, and Tabulating Machine Company in 1911. It was renamed to the Computing Tabulating Company following the merger and adopted its current name in 1924. By 2018, IBM ranked in the top 20 on the Forbes’ list of the most valuable brands in the world, with a value of more than 455 billion ZAR.
The IPO for IBM was held in 1913 and by 1914, IBM had more than 700 stockholders. IBM has seen many challenges in its performance on popular stock exchanges and during 2009, its total return on the S&P500 was just above 102% and during the same 10-year timeframe, the S&P 500 was up by more than 270%. Despite this, IBM has been on an upswing since 2019, starting the year by having beaten earnings estimates and reporting an impressive full-year guidance. Currently, IBM shares are selling at R2075.43, showing significant growth from 2020, with further growth expected for the remainder of the year.
If you had invested R10 000 in 1972, how much would your investment be worth today?
Even though IBM started early in 1911, official stock data and information available does not date back to earlier than January 3, 1972. On January 3, 1972, the price on IBM shares closed at R236.10. If you had invested R10 000 on this day, you would have been able to purchase 42 IBM shares. Following 41 different stock splits, with the most recent split having occurred in May 1999 during a 2-for-1, you would have 14,100 shares that have a current value of more than 29 million ZAR at a return rate of more than 770%.