If You Bought 1 Share of Amazon at Its IPO, Here's How Many Shares You Would Own Now

Amazon (NASDAQ: AMZN) has been one of the best investments ever on the stock market. Although you couldn't have been certain at the time, if you'd been lucky enough to take a chance on its initial public offering (IPO), you'd be sitting on a lot of money today.

The opportunity of a lifetime

Amazon went public in 1997 with an IPO price of $18 per share. It has split four times since then: a year later in a 2-for-1 split, twice in 1999 with a 3-for-1 split and a 2-for-1 split, and then again only recently, in 2022, in a 20-for-1 split.

The split-adjusted IPO price is $0.075, and each IPO share has now become 240 shares today. Amazon stock has gained a whopping 250,300% from the IPO price, and 240 shares at today's price is equivalent to $45,079.

Most people don't get to buy at IPO prices, which are usually reserved for underwriting investment banks and other institutional investors. That has changed somewhat today from 30 years ago, and individual investors have more options and easier access to IPOs, but it's still not the common way to buy stock. If you'd bought a share on the market at the first-day closing price, you'd still own 240 shares, but you'd have had to pay $23.50 rather than $18, and you'd "only" have a gain of about 191,800%.

If you're like me and feel pained that you didn't buy in 27 years ago, don't regret it too much; the point isn't to feel bad but to recognize that there are new Amazons out there right now. If you purchase a collection of high-potential stocks today, hold on tight; one of them could be the next Amazon. Amazon itself still has tons of opportunities, and you could still buy Amazon today to add a proven winner to your portfolio.

Should you invest $1,000 in Amazon right now?

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John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Jennifer Saibil has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Amazon. The Motley Fool has a disclosure policy.