If You Invested $1,000 In Twitter When Jack Dorsey Stepped Down, Here's How Much You'd Have Now (Plus: Would You Make Money From Musk Bid?)

Social media platform Twitter Inc TWTR continues to be in the headlines with a confirmed bid and more rumors of takeover offers.

Here’s how shares of the company have performed since co-founder Jack Dorsey stepped down.

What Happened: Jack Dorsey served as the CEO of Twitter on two occasions in moves that parallel the storyline of Apple Inc AAPL co-founder Steve Jobs.

Dorsey was the CEO of Twitter before being forced out by the board of directors in 2008, a move similar to what Jobs faced at Apple.

Dorsey was named the interim CEO in June 2015 in a move to bring the struggling company back to life. Later in October 2015, Dorsey received the official CEO title, a position he held until November 2021.

After six years of leading the company he co-founded, Dorsey announced on November 29, 2021, he would be stepping down as the CEO of Twitter.

Twitter Chief Technology Officer Parag Agrawal was named the replacement for Dorsey, making him at the age of 37 the youngest CEO of all S&P 500 companies.

Less than a year into the role, Agrawal has now found himself in the middle of a battle for control with Tesla Inc TSLA CEO Elon Musk.

Musk acquired a 9.1% stake in Twitter and after deciding not to join the board of directors announced his offer to acquire the company for $54.20 a share.

The board of directors adopted a poison pill and are expected to turn down the offer. Unusual Whales noted on Twitter that Agrawal owns 0.06% of Twitter and Dorsey owns 2.25% of the company he helped create. Together, the board of directors owns 2.37% of Twitter, significantly less than Musk’s stake.

Related Link: 5 Fun Facts You Might Not Know About Jack Dorsey 

Investing $1,000 in Twitter: It was revealed around market open on Nov. 29, 2021, that Dorsey would be stepping down as CEO immediately. Shares traded at $51.88 at that time.

Shares closed at $45.78 on Nov. 29 and opened for trading at $45.51 on Nov. 30, the first official day of Agrawal leading the company.

A $1,000 investment at open on Nov. 29 would have been able to purchase 19.28 shares of Twitter. The $1,000 investment would be worth $915.22 today based on a share price of $47.47 at the time of writing. This represents a hypothetical loss of 8% over the last five months.

A $1,000 investment at open on Nov. 30 when Agrawal was officially in charge would have been able to purchase 21.97 shares of Twitter. The $1,000 investment would be worth $1,042.92 today, representing a gain of 4.3%.

Taking things a step further, if a buyout price of $54.20 from Musk was approved here’s how the returns would compare.

19.27 shares on Nov. 29: $1,044.98, +4.5%

21.97 shares on Nov. 30: $1,190.77, +19.1%

The hypothetical investments since Agrawal took over would have seen a loss of 8% or a gain of 4.3%. A buyout by Musk at $54.20 would increase the return on both of these investments to a positive 4.5% and 19.1%.

Photo: Ryan Lash/TED via Flickr Creative Commons