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If You Invested $1000 in S&P Global 10 Years Ago, This Is How Much You'd Have Now

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For most investors, how much a stock's price changes over time is important. This factor can impact your investment portfolio as well as help you compare investment results across sectors and industries.

Another thing that can drive investing is the fear of missing out, or FOMO. This particularly applies to tech giants and popular consumer-facing stocks.

What if you'd invested in S&P Global (SPGI - Free Report) ten years ago? It may not have been easy to hold on to SPGI for all that time, but if you did, how much would your investment be worth today?

S&P Global's Business In-Depth

With that in mind, let's take a look at S&P Global's main business drivers. Incorporated in December 1925, S&P Global Inc. is a leading provider of transparent and independent ratings, benchmarks, analytics and data to the capital and commodity markets worldwide.

The company operates through six reportable segments: S&P Global Market Intelligence (“Market Intelligence”), S&P Global Ratings (“Ratings"), S&P Global Commodity Insights (“Commodity Insights”), S&P Global Mobility (“Mobility”), S&P Dow Jones Indices (“Indices”) and S&P Global Engineering Solutions (“Engineering Solutions”).

Ratings (27% of total revenues in 2023): Ratings operates as an independent provider of credit ratings, research and analytics, providing investors and other market participants with information, ratings and benchmarks. With offices in more than 25 countries globally, Ratings holds an important position in the world's financial infrastructure. Ratings’ revenues are differentiated between transaction and non-transaction revenues.

Market Intelligence (34%): It helps investment professionals, government agencies, corporations and universities to track performance, generate alpha, identify investment ideas, understand competitive and industry dynamics, perform evaluations and assess credit risk. Desktop, Data Management Solutions and Risk Services are the business lines included in the segment.

Commodity Insights (15%): Commodity Insights provides information and benchmark prices for commodity and energy markets. It helps producers, traders, energy and commodity market intermediaries with price data, analytics and industry insights, thereby enhancing transparency and efficiency in the market.

Indices (11%): Indices is a global index provider that maintains a wide variety of valuation and index benchmarks for investment advisors, wealth managers and institutional investors. Indices mainly derives revenues from asset-linked fees based on the S&P and Dow Jones indices and also from subscription and transaction revenues.

Mobility (12%) & Engineering Solutions (1%) which were acquired as a result of the IHS Markit buyout, serves two different sections of customers. Mobility serves vehicle manufacturers, automotive suppliers, mobility service providers, retailers, consumers, and finance and insurance companies while Engineering Solutions serves technical professionals.

Bottom Line

While anyone can invest, building a lucrative investment portfolio takes research, patience, and a little bit of risk. If you had invested in S&P Global ten years ago, you're probably feeling pretty good about your investment today.

According to our calculations, a $1000 investment made in January 2015 would be worth $5,853.53, or a gain of 485.35%, as of January 31, 2025, and this return excludes dividends but includes price increases.

The S&P 500 rose 204.32% and the price of gold increased 109.03% over the same time frame in comparison.

Analysts are forecasting more upside for SPGI too.

S&P Global remains well-poised to gain from the growing demand for business information services. Buyouts help innovate, increase differentiated content and develop products. The latest service launches have been aiding the company's growth. Dividend payments and share buybacks boost investors' confidence and positively impact earnings per share. Increasing current ratio is a good sign for the company liquidity position. On the flip side, S&P Global remains vulnerable to proceedings, investigations and inquiries concerning the ratings provided, leading to legal charges, damages or fines. Growth initiatives, higher compensations and incentives raise the company's expenses. The stock has gained 13.8% in the past year and we have a Neutral recommendation on it in anticipation of a correction.

Shares have gained 5.66% over the past four weeks and there have been 8 higher earnings estimate revisions for fiscal 2024 compared to none lower. The consensus estimate has moved up as well.

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