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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 Biogen Inc (NASD: BIIB)? Today, we examine the outcome of a ten year investment into the stock back in 2012.

Start date: 11/12/2012


End date: 11/10/2022
Start price/share: $139.48
End price/share: $290.70
Starting shares: 71.69
Ending shares: 71.69
Dividends reinvested/share: $0.00
Total return: 108.42%
Average annual return: 7.62%
Starting investment: $10,000.00
Ending investment: $20,841.54

As we can see, the ten year investment result worked out well, with an annualized rate of return of 7.62%. This would have turned a $10K investment made 10 years ago into $20,841.54 today (as of 11/10/2022). On a total return basis, that’s a result of 108.42% (something to think about: how might BIIB shares perform over the next 10 years?). [These numbers were computed with the Dividend Channel DRIP Returns Calculator.]

More investment wisdom to ponder:
“To achieve satisfactory investment results is easier than most people realize; to achieve superior results is harder than it looks.” — Benjamin Graham