“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 LKQ Corp (NASD: LKQ)? Today, we examine the outcome of a five year investment into the stock back in 2016.
|Average annual return:||7.94%|
As shown above, the five year investment result worked out well, with an annualized rate of return of 7.94%. This would have turned a $10K investment made 5 years ago into $14,652.51 today (as of 06/21/2021). On a total return basis, that’s a result of 46.53% (something to think about: how might LKQ shares perform over the next 5 years?). [These numbers were computed with the Dividend Channel DRIP Returns Calculator.]
One more investment quote to leave you with:
“One of the funny things about the stock market is that every time one person buys, another sells, and both think they are astute.” — William Feather