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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 F5 Inc (NASD: FFIV)? Today, we examine the outcome of a ten year investment into the stock back in 2013.

Start date: 01/25/2013


End date: 01/24/2023
Start price/share: $105.43
End price/share: $146.47
Starting shares: 94.85
Ending shares: 94.85
Dividends reinvested/share: $0.00
Total return: 38.93%
Average annual return: 3.34%
Starting investment: $10,000.00
Ending investment: $13,890.69

The above analysis shows the ten year investment result worked out as follows, with an annualized rate of return of 3.34%. This would have turned a $10K investment made 10 years ago into $13,890.69 today (as of 01/24/2023). On a total return basis, that’s a result of 38.93% (something to think about: how might FFIV 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:
“I believe in the discipline of mastering the best that other people have ever figured out. I don’t believe in just sitting down and trying to dream it all up yourself. Nobody’s that smart.” — Charlie Munger