Photo credit:

“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 ten year holding period, or even longer, would fit right into the strategy. How would such a strategy have worked out for an investment into Incyte Corporation (NASD: INCY)? Today, we examine the outcome of a ten year investment into the stock back in 2011.

Start date: 08/26/2011


End date: 08/25/2021
Start price/share: $14.68
End price/share: $75.76
Starting shares: 681.20
Ending shares: 681.20
Dividends reinvested/share: $0.00
Total return: 416.08%
Average annual return: 17.82%
Starting investment: $10,000.00
Ending investment: $51,591.77

The above analysis shows the ten year investment result worked out exceptionally well, with an annualized rate of return of 17.82%. This would have turned a $10K investment made 10 years ago into $51,591.77 today (as of 08/25/2021). On a total return basis, that’s a result of 416.08% (something to think about: how might INCY shares perform over the next 10 years?). [These numbers were computed with the Dividend Channel DRIP Returns Calculator.]

More investment wisdom to ponder:
“When I was young I thought that money was the most important thing in life; now that I am old I know that it is.” — Oscar Wilde