A $10,000 investment in 1984 would be worth $51,710 today, or a 4.4% compounded annual growth rate. That's a sorry performance compared to the S&P 500, which would be worth $263,000, or a 9% return, though slightly better than Verizon's own, or a 4.2% CAGR.
https://www.fool.com/investing/2022/11/17/if-you-invested-10000-in-att-in-1984-this-is-how-m/
company 401 k match 70% with drip, tax free adds up over 30 years, just saying
"not very good if you look at inflation and consumer prices.
even if you consider dividend reinvestment 200,000 isn't enough to retire today. a million is barely enough with inflation and consumer prices.
"
No way 200k is enough to retire on. Your mistake though is that you assume an employee invested $10k in 1984 and never another dime after to their 410k?
If said employee invested the maximum amount in 1984 into their 401k. Kept it in T stock only, say an average of 5k per year including company match.
They would have $1,257,587 today and would have enough to retire with the 401k and Pension! While not the greatest investment, it would have gotten the job done and matched the S&P 500 up until 2016.
If you wanted more, you should have invested in something with bigger growth. Maybe Facebook or crypto.
not very good if you look at inflation and consumer prices.
even if you consider dividend reinvestment 200,000 isn't enough to retire today. a million is barely enough with inflation and consumer prices.
Some people don't understand the stock market.
"A $10,000 investment in 1984 would be worth $51,710 today, or a 4.4% compounded annual growth rate. That's a sorry performance compared to the S&P 500, which would be worth $263,000, or a 9% return, though slightly better than Verizon's own, or a 4.2% CAGR.
https://www.fool.com/investing/2022/11/17/if-you-invested-10000-in-att-in-1984-this-is-how-m/
"
So, math is not your strong suit, eh?
Div reinvested a $10k investment in T in 1985 would be worth $262,412.00 today.
https://www.portfoliovisualizer.com/backtest-portfolio#analysisResults
Your not calculating reinvestment of dividends.
WHAT price appreciation? It's down more than half prior to the Covid outbreak when it was around $39/share. It's one of the very few companies that didn't recover from the Covid crash in March, 2020! Pathetic, just pathetic!
You're forgetting the dividends. For years AT&T had dividend payouts ranging 5 to 7 %. That's on top of price appreciation.
What about dividend and spin-offs?