if I purchased 100 shares of eli lilly (lly) 20 yrs ago, and reinvested dividends, what is total worth now?

I can't seem to figure it out - my math brain isn't very sharp! Thanks.

2 Answers

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  • 8 years ago
    Best Answer

    20 years ago (Oct. 4, 1991) LLY closed at $76.87/share. As per the Yahoo Finance historic stock index charts, your adjusted cost per share (adjusted for both stock splits and dividends) is $10.58/share. So your total gain factor over 20 years with all dividends reinvested is 7.2656 of the original investment (76.87/10.58).

    So, your 100 old shares in 1991 would have cost you $7,687 and today with all dividends reinvested would be worth 7.2656 times more, or have a value of $55,851. Your actual gain would therefore be $48,164. See historic data from Yahoo Finance:

    http://finance.yahoo.com/q/hp?s=LLY&a=09&b=5&c=199...

    P.s. Yes Joey, my answer was incorrect because of a wrong ending date and the fact that I did not use the 1991 stock price in my calculation. But please check the link to the historic chart above and you will find that the adjusted closing price listed in the last column as per their footnote is clearly adjusted for stock splits AND dividends. You can also double check that by using the daily charts and you will find out on the day of the dividend the adjusted price drops by the amount of that dividend.

  • JoeyV
    Lv 7
    8 years ago

    That would require historical data on the lly dividends which I just don't happen to have handy...

    Edit: Spending my life today correcting cactusgene. The didividens are not included in those prices. The prices are adjusted for stock dividends not cash dividends. Sigh.

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