“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 Tesla Inc (NASD: TSLA)? Today, we examine the outcome of a five year investment into the stock back in 2016.
|Average annual return:||69.23%|
The above analysis shows the five year investment result worked out exceptionally well, with an annualized rate of return of 69.23%. This would have turned a $10K investment made 5 years ago into $138,799.14 today (as of 05/26/2021). On a total return basis, that’s a result of 1,287.87% (something to think about: how might TSLA shares perform over the next 5 years?). [These numbers were computed with the Dividend Channel DRIP Returns Calculator.]
Another great investment quote to think about:
“He who earns and does not invest will have to work for the rest of his life.” — Debasish Mridha