Home Depot founder Bernard Marcus’s net worth: From fired CEO to entrepreneur
According to The Street, Homeowners seeking tools and equipment for do-it-yourself repairs and projects often turn to Home Depot (HD) for supplies and advice from knowledgeable associates. Founded in 1978 by Bernard Marcus and Arthur Blank, Home Depot has become the largest home improvement retailer in the U.S., built on Marcus’s commitment to exceptional customer service. His net worth has risen dramatically alongside the value of Home Depot’s stock.
Bernard Marcus’s Journey to Success
Bernard “Bernie” Marcus, born in 1929 in Newark, New Jersey, is the youngest of four children in a family of Russian immigrants. Growing up in a mixed-race neighborhood, he faced challenges, including bullying, which led him to join a local gang. His father, a carpenter, struggled in business, prompting Marcus to aspire to a more secure profession—medicine.
He studied pre-med at Rutgers University and gained admission to Harvard Medical School, but the school required a $10,000 donation he couldn’t afford. Undeterred, Marcus trained to be a pharmacist but soon found his passion in retail. His experience at the discount retailer Two Guys laid the groundwork for his belief in prioritizing customer service in retail operations.
The Birth of Home Depot
Marcus’s retail journey included roles as president of O’Dell’s and vice president of hard goods merchandising for Vornado. In 1972, he became president of Handy Dan Home Improvement Centers, a company operating about 70 stores. However, after being fired in 1978 by Handy Dan’s CEO, Marcus faced an urgent need for employment to support his family.
With encouragement from friend and venture capitalist Kenneth Langone, who believed in Marcus’s vision for a home improvement store, Marcus, along with Blank and two others, secured $2 million in startup capital to launch Home Depot.
Home Depot’s Stock Performance
Home Depot went public in 1981, trading initially on the Nasdaq Stock Market before moving to the New York Stock Exchange in 1984. Since its IPO, the company’s stock has performed exceptionally well, appreciating over 19,800 times by late September 2024. This remarkable growth means that a $10,000 investment in 1981 would now be worth approximately $198 million, reflecting the substantial gains enjoyed by many of Home Depot’s employees through stock awards.
Bernard Marcus’s Net Worth
As of late September 2024, Bernard Marcus’s net worth stands at $11 billion, according to Forbes. This positions him among the wealthiest Americans whose fortunes originated in retail. For context, each of the Walton siblings, heirs to the Walmart fortune, has a net worth around $100 billion. The majority of Marcus’s wealth stems from his holdings in Home Depot, though the precise number of shares he retains today is unclear. Upon retirement in 2002, he reportedly owned 60 million shares, potentially valued at about $24 billion based on current stock prices.
Philanthropy and Political Involvement
After stepping down from his role as Home Depot’s CEO in 1997 and retiring in 2002, Marcus redirected his focus toward philanthropy. His charitable endeavors include funding hospitals, autism programs, and the establishment of the Georgia Aquarium in Atlanta. He also supports various Jewish causes, including educational programs for Jewish youth traveling to Israel, and initiatives aiding military veterans with traumatic brain injuries.
In 2009, he and his wife, Billi Marcus, established the Marcus Foundation, which focuses on sustainability issues. As a signatory of the Giving Pledge, Marcus has committed to donating the majority of his wealth to charitable causes. Additionally, he is a prominent Republican donor, contributing to candidates such as former President Donald Trump.
The First Home Depot Store
The first Home Depot store opened on June 22, 1979, in Atlanta, Georgia. Since then, the company has expanded significantly, operating over 2,300 stores across the U.S., Canada, and Mexico, with more than 85% of its locations in the U.S. Today, Home Depot continues to thrive, embodying the values of customer service and innovation that Bernard Marcus championed from the beginning.
