In 1985, the U.S. economy was on the upswing. Inflation had cooled, interest rates were falling, and corporate America was leaning into expansion. Wall Street, riding that optimism, welcomed a wave of new public companies.
| Company (Ticker) | IPO Price | Current/Final Price | $1,000 at IPO (rounded) |
|---|---|---|---|
| Costco (COST) | $10.00 | $952.00 | ≈ $1,000,000 |
| Jack Henry (JKHY) | $6.00 | $159.00 | ≈ $1,100,000 |
| Best Buy (BBY) | $13.50 | $74.00 | ≈ $788,000 |
| Autodesk (ADSK) | $11.00 | $318.00 | ≈ $660,000 |
| Ross Stores (ROST) | $17.00 | $147.00 | ≈ $566,000 |
| Oshkosh (OSK) | $10.00 | $136.00 | ≈ $111,000 |
| Enron (public via merger) | — | $0.00 | $0 |
While the year produced fewer flashy headlines than the late-’80s tech boom, it quietly brought some of the most durable stocks of the modern era. Costco reimagined retail, Autodesk reshaped design, and Jack Henry built a quiet fintech empire from rural Missouri.
Almost forty years later, the lesson from 1985 is clear: compounding often comes from steady execution, not hype. Yet, the same year also saw Enron become publicly traded, reminding us that markets can deliver both the best and worst of corporate stories.
1. Costco (COST)
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IPO: $10 | Current: ~$952
Costco’s warehouse model, membership fees, bulk pricing, and no-frills shopping were revolutionary. Starting with just 15 stores, it now operates over 800 worldwide. A $1,000 IPO investment would be worth more than $1 million today.
2. Jack Henry & Associates (JKHY)
IPO: ~$6 | Current: ~$159
A niche banking software vendor at IPO, Jack Henry, built deep, sticky relationships with community banks. Decades of consistent growth and recurring revenue turned it into one of fintech’s quiet giants. That $1,000 IPO bet is now worth around $1.1 million.
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3. Best Buy (BBY)
IPO: $13.50 | Current: ~$74
Then “Sound of Music,” Best Buy pioneered the big-box electronics format. It survived brutal competition from Circuit City, Amazon, and others to remain the category leader. A $1,000 IPO stake is now about $788,000.
4. Autodesk (ADSK)
IPO: $11 | Current: ~$318
Autodesk’s AutoCAD software became the gold standard for architects and engineers. Later moves into 3D modeling and animation expanded its reach. From IPO to now, a $1,000 investment has grown to roughly $660,000.
5. Ross Stores (ROST)
IPO: $17 | Current: ~$147
Ross bet on off-price apparel when it went public in 1985. Its treasure-hunt format proved resilient, thriving in both good and bad economies. That $1,000 IPO investment is worth about $566,000 today.
6. Oshkosh (OSK)
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IPO: $10 | Current: ~$136
Oshkosh, known for military and specialty vehicles, leveraged its IPO to grow into a defense and industrial heavyweight. Despite cyclicality, it’s delivered strong returns. A $1,000 IPO bet is now about $111,000.
7. Enron (Special Mention)
Enron wasn’t a traditional IPO, but it became public in 1985 through the merger of Houston Natural Gas and InterNorth. For years, it was hailed as the “future of energy,” with its stock surging in the ’90s. By 2001, it collapsed in one of history’s largest frauds, leaving investors with nothing.
1985’s IPO Class: From Millionaire-Makers to Market Meltdowns
The IPOs of 1985 show how life-changing compounding can come from ordinary beginnings. Costco, Jack Henry, Best Buy, Autodesk, Ross, and Oshkosh weren’t the flashiest companies in the mid-’80s, but they delivered consistent growth that rewarded patient investors.
A common thread among the winners was durability. Costco’s membership model, Autodesk’s software monopoly, and Jack Henry’s sticky client base gave them moats that survived recessions, tech shifts, and competitive threats. Each one turned a $1,000 bet into hundreds of thousands, or even millions.
Yet the same year also reminds us of the risks. Enron became a Wall Street darling, only to implode spectacularly. Its collapse underscores that financial engineering and market hype can hide weak foundations, and governance matters as much as growth.
For modern investors, the lesson from 1985 is clear: long-term wealth comes from spotting durable models early and having the discipline to hold them. But diversification matters, because for every Costco, there’s an Enron. That duality, compounding giants alongside infamous failures, is what makes the class of 1985 so unforgettable.
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Disclaimer:
Please note that the articles on TIKR are not intended to serve as investment or financial advice from TIKR or our content team, nor are they recommendations to buy or sell any stocks. We create our content based on TIKR Terminal’s investment data and analysts’ estimates. Our analysis might not include recent company news or important updates. TIKR has no position in any stocks mentioned. Thank you for reading, and happy investing!
