If You Bought 1 Share of Coca-Cola at Its IPO, Here's How Many Shares You'd Own Now

Companies enacting stock splits are currently all the rage on Wall Street.

A stock split allows a publicly traded company to alter its share price and outstanding share count without impacting its market cap or operating performance. Although all eyes have been on high-profile stock-split stocks like Nvidia and Broadcom , which both recently announced 10-for-1 forward splits , investors shouldn't overlook the time-tested businesses that are truly stock-split champions.

Beverage colossus Coca-Cola (NYSE: KO) is a perfect example.

Image source: Getty Images.

Unraveling Coca-Cola's stock-split history

On Sept. 5, 1919, Coca-Cola debuted as a public company on the New York Stock Exchange at an initial public offering (IPO) price of $40 per share. Over 105 years, this iconic business has navigated 10 forward-stock splits and one stock dividend:

• April 1927: 1-for-1 stock dividend
• November 1935: 4-for-1 stock split
• January 1960: 3-for-1
• January 1965: 2-for-1
• May 1968: 2-for-1
• May 1977: 2-for-1
• June 1986: 3-for-1
• May 1990: 2-for-1
• May 1992: 2-for-1
• May 1996: 2-for-1
• July 2012: 2-for-1

This means a single share purchased in 1919 would have grown to a cumulative 9,216 shares, worth $578,488.32, as of June 21, not including dividends.

Is Coca-Cola still a magnificent business?

Admittedly, Coca-Cola's stock has performed poorly in the current bull market. But when push comes to shove, Coca-Cola is flush with competitive advantages that make it a phenomenal business.

Coca-Cola has over two-dozen global brands generating at least $1 billion in annual sales, and it operates in all but three countries worldwide (North Korea, Cuba, and Russia). Kantar's "Brand Footprint" report also finds that Coca-Cola has been the most-chosen brand by consumers for an astounding 12 consecutive years.

Moreover, Coca-Cola's marketing prowess is top tier . It relies on well-known brand ambassadors and digital campaigns to connect with younger audiences, while leaning on more than a century of history to engage with its mature consumers.

For long-term-minded investors, Coca-Cola stock is still bubbling with opportunity ( and a hearty dividend ).

Sean Williams has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Nvidia. The Motley Fool recommends Broadcom. The Motley Fool has a disclosure policy .