Or Does the Market Valuation Get Out of Whack?
Chart of the Week
Written by John O’Donnell, Online Trading Academy
This week I trace the history of a tech giant, Microsoft. The growth of NASDAQ:MSFT compounded for the 14 years after its IPO by more than 14% a year. In the next 14 years (2000-2014) Microsoft increased revenue by almost 3-fold. Yet the total return for the stock (including dividends, which have been significant in recent years – now about 2.8%) has been negative.
Chart is discussed in video following the Read more >> jump.
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