“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 Copart Inc (NASD: CPRT)? Today, we examine the outcome of a ten year investment into the stock back in 2009.
|Average annual return:||24.88%|
The above analysis shows the ten year investment result worked out exceptionally well, with an annualized rate of return of 24.88%. This would have turned a $10K investment made 10 years ago into $92,298.21 today (as of 07/22/2019). On a total return basis, that’s a result of 822.64% (something to think about: how might CPRT shares perform over the next 10 years?). [These numbers were computed with the Dividend Channel DRIP Returns Calculator.]
One more piece of investment wisdom to leave you with:
“Sometimes buying early on the way down looks like being wrong, but it isn’t.” — Seth Klarman