Suppose you bought your shares in Sears at the beginning of 1989. Back then, Sears Stock ($S) was trading at about $16 per share. You would have had purchased 6,200 shares of stock.
Sears stock paid dividends.
From 1989 through 2005, Sears would have paid you $125,000 in dividends.
In 1994, Sears spun off Allstate. Each Sears shareholder received 0.93 shares of Allstate for each share of Sears. So you got about 5,766 shares of Allstate. In July 1998, Allstate shares split 2:1. So now you would have had 11,532 shares in Allstate.
Allstate is currently trading at $94 per share. That’s $1,084,008
Allstate paid dividends. Since IPO, they would have paid $277,690 on all your shares. (Not reinvested)
In 1993, Sears spun off Dean Witter. Each shareholder of Sears got 0.39031 shares of Dean Witter for each share of Sears. You got about 2,400 shares of Dean Witter.
Dean Witter then acquired Morgan Stanley, (they took the Morgan Stanley name) In 2000, it split 2:1, so you now have 4,800 shares of Morgan Stanley. It split 1:3 in 2004, making your investment 1600 shares. Morgan Stanley is now trading at $41.19. So you have $65,905 in Morgan Stanley.
Morgan Stanley paid dividends. A total of $65,688 since being bought by Dean Witter.
This brings your initial $100,000 investment in Sears in 1989 to $1,618,291 without reinvesting dividends!
Submitted February 14, 2019 at 04:05AM by missedthecue http://bit.ly/2GHCTYb
