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“Only buy something that you’d be perfectly happy to hold if the market shut down for 10 years.”

— Warren Buffett

The Warren Buffett investment philosophy calls for a long-term investment horizon, where a ten year holding period, or even longer, would fit right into the strategy. How would such a strategy have worked out for an investment into F5 Networks, Inc. (NASD: FFIV)? Today, we examine the outcome of a ten year investment into the stock back in 2009.

Start date: 05/28/2009


End date: 05/24/2019
Start price/share: $31.15
End price/share: $136.94
Starting shares: 321.03
Ending shares: 321.03
Dividends reinvested/share: $0.00
Total return: 339.61%
Average annual return: 15.97%
Starting investment: $10,000.00
Ending investment: $43,964.69

As we can see, the ten year investment result worked out exceptionally well, with an annualized rate of return of 15.97%. This would have turned a $10K investment made 10 years ago into $43,964.69 today (as of 05/24/2019). On a total return basis, that’s a result of 339.61% (something to think about: how might FFIV shares perform over the next 10 years?). [These numbers were computed with the Dividend Channel DRIP Returns Calculator.]

Here’s one more great investment quote before you go:
“Taking risks is really the only way to consistently achieve above-average returns.” — Sam Zell