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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 above quote from Warren Buffett is timeless, and brings into focus the choice about time horizon that any investor should think about before buying a stock they are considering. Behind every stock is an actual business; what will that business look like over a ten year period?

Today, let’s look backwards in time to 2012, and take a look at what happened to investors who asked that very question about Centene Corp (NYSE: CNC), by taking a look at the investment outcome over a ten year holding period.

Start date: 07/30/2012


End date: 07/27/2022
Start price/share: $9.75
End price/share: $92.51
Starting shares: 1,025.64
Ending shares: 1,025.64
Dividends reinvested/share: $0.00
Total return: 848.82%
Average annual return: 25.24%
Starting investment: $10,000.00
Ending investment: $94,877.41

The above analysis shows the ten year investment result worked out exceptionally well, with an annualized rate of return of 25.24%. This would have turned a $10K investment made 10 years ago into $94,877.41 today (as of 07/27/2022). On a total return basis, that’s a result of 848.82% (something to think about: how might CNC shares perform over the next 10 years?). [These numbers were computed with the Dividend Channel DRIP Returns Calculator.]

Another great investment quote to think about:
“Cash combined with courage in a time of crisis is priceless.” — Warren Buffett