“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 Akamai Technologies Inc (NASD: AKAM)? Today, we examine the outcome of a five year investment into the stock back in 2016.
|Average annual return:||15.24%|
As we can see, the five year investment result worked out exceptionally well, with an annualized rate of return of 15.24%. This would have turned a $10K investment made 5 years ago into $20,324.33 today (as of 07/12/2021). On a total return basis, that’s a result of 103.22% (something to think about: how might AKAM shares perform over the next 5 years?). [These numbers were computed with the Dividend Channel DRIP Returns Calculator.]
One more piece of investment wisdom to leave you with:
“In investing, what is comfortable is rarely profitable.” — Robert Arnott