Apparel and footwear company Nike Inc (NYSE:NKE) has been a dominant player in its sector since it was founded in 1964. Here’s a look at how the company has performed since its IPO.
What Happened: Nike was founded as Blue Ribbon Sports in 1964 by University of Oregon track and field coach Bill Bowerman and former student Phil Knight.
The company grew quickly by offering apparel and opening stores in 1966. The company later launched the first Nike shoe in 1972.
Blue Ribbon Sports was renamed to Nike Inc in 1978, the name it has been known by since that time.
The company enjoyed many milestones along the way including signing Michael Jordan to an endorsement deal and launching the Air Jordan shoe. Other endorsements with athletes and brands and acquisitions along the way have made Nike a top-performing stock over the last 40-plus years.
Related Link: Nike Q3 Earnings Highlights: Revenue And EPS Beat, Digitial Sales Growth And More
Investing $1,000 In Nike IPO: Nike went public in December 1980 with an offering price of $22.
A $1,000 investment in Nike shares at IPO could have purchased 45.45 shares.
Nike underwent seven stock splits since its IPO with two-for-one splits completed in January 1983, October 1990, October 1995, October 1996, April 2007, December 2012 and December 2015.
Thanks to the stock splits, the amount of Nike shares owned would have grown from 45.45 shares to 5,817.6 shares.
The same 5,817.6 shares would be worth $786,015.94 today based on a price of $135.11 for Nike shares at the time of writing.
The $1,000 investment would be up a staggering 78,501% over the past 42 years, representing an average annual gain of $1,915%.
Photo by Chris Henry on Unsplash
