How is MSFT doing? — an update

On May 5, 2006 I blogged about Microsoft stock was performing and how the stock had done since Steve Balmer had been named President and then also CEO.  Since MSFT has been doing better as of late — almost a 5 year high last week I thought I would run the numbers and see what has changed.  Unfortunately for shareholders it is still not great and continues to be the second worst of the DOW.
 

Today MSFT closed at $30.90.  If you think that one of the jobs of a President or CEO is to protect shareholder value just how well is Steve Ballmer doing?  The bio on Microsoft’s site says Ballmer became President in July of 1998.  If you would have put $10000 in MSFT on 7/1/98 it would be worth $13493 so you would only be up $3493!  The highest value would have had over this time period would have been $21900 in late 1999.  The low would have been $8890 in late 2000.  The bio says he became CEO in January 2000.  Putting $10000 on 1/3/00 by March of that year you would have made $22 but today your value would be $6474 for a loss of $3526!  Sad In late 2000 the value would have been $3882 so I guess being down 35% is not all that bad.  Smile  I guess shareholder should be looking long term but just how long should one have to look?

 

Here are the rankings again investing $10000 ~when Steve Ballmer was named CEO. MSFT is still the second worst.  Interestingly enough now two thirds of the companies that make up the DOW are in the black for this time period whereas in 5/06 it was only a third.

Altria Group Inc.

MO

$38,949

Caterpillar Inc.

CAT

$33,651

United Technologies Corp.

UTX

$26,703

Exxon Mobil Corp.

XOM

$25,749

Boeing Co.

BA

$23,976

3M Co.

MMM

$19,852

McDonald’s Corp.

MCD

$15,891

Johnson & Johnson

JNJ

$15,384

Procter & Gamble Co.

PG

$14,518

American Express Co.

AXP

$14,133

Hewlett-Packard Co.

HPQ

$13,811

Citigroup Inc.

C

$13,718

AT&T Inc.

T

$13,163

JPMorgan Chase & Co.

JPM

$12,609

Walt Disney Co.

DIS

$11,956

Honeywell International Inc.

HON

$11,702

Coca-Cola Co.

KO

$11,526

Verizon Communications Inc.

VZ

$11,231

International Business Machines Corp.

IBM

$10,782

Alcoa Inc.

AA

$10,458

Merck & Co. Inc.

MRK

$10,106

General Electric Co.

GE

($9,618)

American International Group Inc.

AIG

($9,009)

E.I. DuPont de Nemours & Co.

DD

($8,364)

Pfizer Inc.

PFE

($8,265)

General Motors Corp.

GM

($7,135)

Intel Corp.

INTC

($6,986)

Wal-Mart Stores Inc.

WMT

($6,900)

Microsoft Corp.

MSFT

($6,474)

Home Depot Inc.

HD

($5,314)

 

About Aaron Bregel

Just trying to get by
This entry was posted in News and politics. Bookmark the permalink.

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