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“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 Advanced Micro Devices Inc (NASD: AMD)? Today, we examine the outcome of a ten year investment into the stock back in 2012.

Start date: 06/18/2012


End date: 06/15/2022
Start price/share: $5.93
End price/share: $89.30
Starting shares: 1,686.34
Ending shares: 1,686.34
Dividends reinvested/share: $0.00
Total return: 1,405.90%
Average annual return: 31.16%
Starting investment: $10,000.00
Ending investment: $150,553.67

As we can see, the ten year investment result worked out exceptionally well, with an annualized rate of return of 31.16%. This would have turned a $10K investment made 10 years ago into $150,553.67 today (as of 06/15/2022). On a total return basis, that’s a result of 1,405.90% (something to think about: how might AMD 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:
“Price is what you pay. Value is what you get.” — Warren Buffett