“I buy on the assumption that they could close the market the next day and not reopen it for five years.”
— Warren Buffett
The Warren Buffett investment philosophy calls for a long-term investment horizon, where a five year holding period, or even longer, would fit right into the strategy. How would such a strategy have worked out for an investment into Amazon.com Inc (NASD: AMZN)? Today, we examine the outcome of a five year investment into the stock back in 2015.
|Average annual return:||36.91%|
The above analysis shows the five year investment result worked out exceptionally well, with an annualized rate of return of 36.91%. This would have turned a $10K investment made 5 years ago into $48,062.02 today (as of 11/27/2020). On a total return basis, that’s a result of 380.65% (something to think about: how might AMZN shares perform over the next 5 years?). [These numbers were computed with the Dividend Channel DRIP Returns Calculator.]
Here’s one more great investment quote before you go:
“The most important three words in investing is: â€œI don’t know.â€ If someone doesn’t say that to you then they are lying.” — James Altucher