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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 decade-long holding period, or even longer, would fit right into the strategy. How would such a strategy have worked out for an investment into Discovery Inc (NASD: DISCA)? Today, we examine the outcome of a decade-long investment into the stock back in 2009.

Start date: 08/27/2009


End date: 08/26/2019
Start price/share: $13.48
End price/share: $27.20
Starting shares: 741.84
Ending shares: 741.84
Dividends reinvested/share: $0.00
Total return: 101.78%
Average annual return: 7.27%
Starting investment: $10,000.00
Ending investment: $20,177.45

As shown above, the decade-long investment result worked out well, with an annualized rate of return of 7.27%. This would have turned a $10K investment made 10 years ago into $20,177.45 today (as of 08/26/2019). On a total return basis, that’s a result of 101.78% (something to think about: how might DISCA shares perform over the next 10 years?). [These numbers were computed with the Dividend Channel DRIP Returns Calculator.]

Another great investment quote to think about:
“It’s not how much money you make, but how much money you keep.” — Robert Kiyosaki