If You Bought 1 Share of Eli Lilly in 1984, Here's How Many Shares You Would Own Now
Sunday, Nov 17, 2024 8:39 am ET
2min read In 1984, investing in Eli Lilly and Company (LLY) would have seemed like a prudent decision. The pharmaceutical giant, with its diverse product portfolio and robust pipeline, has proven to be a reliable investment over the past four decades. But how many shares would you own today if you had bought just one share in 1984? Let's delve into the fascinating journey of Eli Lilly's stock price and the impact of dividend reinvestment and stock splits on your investment.
Initially trading at around $12.50 per share in 1984, Eli Lilly's stock price has skyrocketed to approximately $915 by 2024. This remarkable growth, a rise of about 7,300%, is a testament to the company's strategic acquisitions, product innovations, and global expansion. However, considering the impact of stock splits, the actual number of shares held would be significantly higher.
Eli Lilly has had 12 stock splits since 1984, with the most recent one in 2020. These splits have allowed for greater participation in the company's growth and potential future gains. If you bought 1 share of Eli Lilly in 1984, you would now own approximately 1.25 shares, assuming all dividends were reinvested and accounting for the stock splits.
Dividend reinvestment has played a significant role in the growth of the total number of shares owned. From 1984 to 2024, Eli Lilly has paid over $100 in dividends per share, with an average annual growth rate of 10%. Reinvesting these dividends has significantly boosted the total number of shares owned. By 2000, reinvesting dividends would have increased your share count by 150%. By 2010, this figure would have reached 300%.
The company's strong financial performance, driven by a diverse product portfolio and strategic acquisitions, has contributed to this significant growth. Key acquisitions like ImClone Systems (Erbitux), ICOS Corporation (Cialis), and Loxo Oncology have bolstered its portfolio, while innovations such as Mounjaro and Zepbound have driven revenue growth, with Q3 2024 revenue increasing 20% year-over-year.
Geopolitical factors and global market dynamics have also influenced Eli Lilly's stock price growth over the past four decades. In 1984, Eli Lilly stock was trading at around $15 per share. Today, it's over $900. This growth can be attributed to various factors, including strategic acquisitions, product innovation, and global expansion. For instance, Lilly's acquisition of ImClone Systems in 2008 brought cancer compound Erbitux, boosting its oncology portfolio. Additionally, its collaboration with Boehringer Ingelheim on diabetes treatments like Jardiance has expanded its reach in the global market.
In conclusion, if you bought 1 share of Eli Lilly in 1984, you would own approximately 1.25 shares today, thanks to a combination of stock splits and dividend reinvestment. The company's strong financial performance, driven by a diverse product portfolio and strategic acquisitions, has contributed to this significant growth. Geopolitical factors and global market dynamics have also played a role in Eli Lilly's stock price growth over the past four decades. As the company continues to innovate and expand, investors can expect to see further growth and potential gains.
Initially trading at around $12.50 per share in 1984, Eli Lilly's stock price has skyrocketed to approximately $915 by 2024. This remarkable growth, a rise of about 7,300%, is a testament to the company's strategic acquisitions, product innovations, and global expansion. However, considering the impact of stock splits, the actual number of shares held would be significantly higher.
Eli Lilly has had 12 stock splits since 1984, with the most recent one in 2020. These splits have allowed for greater participation in the company's growth and potential future gains. If you bought 1 share of Eli Lilly in 1984, you would now own approximately 1.25 shares, assuming all dividends were reinvested and accounting for the stock splits.
Dividend reinvestment has played a significant role in the growth of the total number of shares owned. From 1984 to 2024, Eli Lilly has paid over $100 in dividends per share, with an average annual growth rate of 10%. Reinvesting these dividends has significantly boosted the total number of shares owned. By 2000, reinvesting dividends would have increased your share count by 150%. By 2010, this figure would have reached 300%.
The company's strong financial performance, driven by a diverse product portfolio and strategic acquisitions, has contributed to this significant growth. Key acquisitions like ImClone Systems (Erbitux), ICOS Corporation (Cialis), and Loxo Oncology have bolstered its portfolio, while innovations such as Mounjaro and Zepbound have driven revenue growth, with Q3 2024 revenue increasing 20% year-over-year.
Geopolitical factors and global market dynamics have also influenced Eli Lilly's stock price growth over the past four decades. In 1984, Eli Lilly stock was trading at around $15 per share. Today, it's over $900. This growth can be attributed to various factors, including strategic acquisitions, product innovation, and global expansion. For instance, Lilly's acquisition of ImClone Systems in 2008 brought cancer compound Erbitux, boosting its oncology portfolio. Additionally, its collaboration with Boehringer Ingelheim on diabetes treatments like Jardiance has expanded its reach in the global market.
In conclusion, if you bought 1 share of Eli Lilly in 1984, you would own approximately 1.25 shares today, thanks to a combination of stock splits and dividend reinvestment. The company's strong financial performance, driven by a diverse product portfolio and strategic acquisitions, has contributed to this significant growth. Geopolitical factors and global market dynamics have also played a role in Eli Lilly's stock price growth over the past four decades. As the company continues to innovate and expand, investors can expect to see further growth and potential gains.
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