“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 Fiserv Inc (NASD: FISV)? Today, we examine the outcome of a ten year investment into the stock back in 2012.
| Start date: | 02/07/2012 |
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| End date: | 02/04/2022 | ||||
| Start price/share: | $16.24 | ||||
| End price/share: | $104.88 | ||||
| Starting shares: | 615.76 | ||||
| Ending shares: | 615.76 | ||||
| Dividends reinvested/share: | $0.00 | ||||
| Total return: | 545.81% | ||||
| Average annual return: | 20.51% | ||||
| Starting investment: | $10,000.00 | ||||
| Ending investment: | $64,599.75 | ||||
As shown above, the ten year investment result worked out exceptionally well, with an annualized rate of return of 20.51%. This would have turned a $10K investment made 10 years ago into $64,599.75 today (as of 02/04/2022). On a total return basis, that’s a result of 545.81% (something to think about: how might FISV shares perform over the next 10 years?). [These numbers were computed with the Dividend Channel DRIP Returns Calculator.]
One more investment quote to leave you with:
“The most important thing about an investment philosophy is that you have one.” — David Booth
