Here's How Much Investing $1,000 In The 2015 Fitbit IPO Would Be Worth Today

Investors who owned stocks in the 2010s generally experienced some big gains. In fact, the SPDR S&P 500 SPY total return for the decade was 250.5%. But there’s no question some big-name stocks did much better than others along the way.

Fitbit’s Difficult Decade

One market laggard of the last decade was Fitbit Inc FIT.

Fitbit was founded in 2007 and made the move to go public in June 2015. Fitbit was one of the highest-profile IPOs of the 2010s, launching with a $4.1 billion market valuation.

Unfortunately, investors expecting Fitbit to burst out of the gates as the next red-hot tech stock were sorely disappointed. Shares plummeted on concerns about rising competition from deep-pocketed Apple Inc. AAPL and other fitness tracker leaders. That same Fitbit committed to transitioning its business model from a consumer electronics company to a digital health care company.

After selling IPO shares at $20, Fitbit shares hit their all-time high within weeks of hitting the market, soaring up to $51.90 during the frenzy surrounding its IPO. By early 2016, Fitbit shares were back below their $20 IPO price and they have never traded that high since.

Fitbit shares finished 2016 down a whopping 75% after heavy investments and a new series of products failed to drive growth for the company. Fitbit stock dropped below $10 by the end of 2016.

See Also: Here's How Much Investing $1,000 In Amazon's IPO Would Be Worth Today

2020 And Beyond

Fitbit hit its all-time low of $2.81 in 2019 before news of a buyout by Alphabet, Inc. GOOG GOOGL sent the stock back up near its proposed $7.35 buyout price.

Unfortunately, the stock has since slumped back to around $6.50 on concerns Alphabet could terminate the deal due to the economic shutdown.

So today, $1,000 worth of Fitbit IPO stock in 2015 would only be worth about $323.

If the Alphabet buyout closes, the $7.35 buyout price suggests about 13.7% upside from current levels. If not, history suggests the stock could be headed significantly lower.