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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 investment philosophy practiced by Warren Buffett calls for investors to take a long-term horizon when making an investment, such as a ten year holding period (or even longer), and reconsider making the investment in the first place if unable to envision holding the stock for at least five years. Today, we look at how such a long-term strategy would have done for investors in Regeneron Pharmaceuticals, Inc. (NASD: REGN) back in 2009, holding through to today.

Start date: 06/24/2009


End date: 06/21/2019
Start price/share: $17.09
End price/share: $320.26
Starting shares: 585.14
Ending shares: 585.14
Dividends reinvested/share: $0.00
Total return: 1,773.96%
Average annual return: 34.06%
Starting investment: $10,000.00
Ending investment: $187,345.55

As we can see, the ten year investment result worked out exceptionally well, with an annualized rate of return of 34.06%. This would have turned a $10K investment made 10 years ago into $187,345.55 today (as of 06/21/2019). On a total return basis, that’s a result of 1,773.96% (something to think about: how might REGN 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:
“Calling someone who trades actively in the market an investor is like calling someone who repeatedly engages in one-night stands a romantic.” — Warren Buffett