Every $10K Invested Into ORLY In 2018 Is Now Worth This

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— Warren Buffett

This inspiring quote from Warren Buffett teaches us the importance of considering our investment time horizon when approaching any given investment: Could we envision ourselves holding the stock we are considering for many years? Even a five year holding period potentially?

For “buy-and-hold” investors taking a long-term view, what’s important isn’t the short-term stock market fluctuations that will inevitably occur, but what happens over the long haul. Looking back 5 years to 2018, investors considering an investment into shares of O’Reilly Automotive, Inc. (NASD: ORLY) may have been pondering this very question and thinking about their potential investment result over a full five year time horizon. Here’s how that would have worked out.

ORLY 5-Year Return Details
Start date:	08/27/2018	$10,000 08/27/2018   $28,327 08/24/2023
End date:	08/24/2023
Start price/share:	$330.08
End price/share:	$935.14
Starting shares:	30.30
Ending shares:	30.30
Dividends reinvested/share:	$0.00
Total return:	183.31%
Average annual return:	23.18%
Starting investment:	$10,000.00
Ending investment:	$28,327.28

As we can see, the five year investment result worked out exceptionally well, with an annualized rate of return of 23.18%. This would have turned a $10K investment made 5 years ago into $28,327.28 today (as of 08/24/2023). On a total return basis, that’s a result of 183.31% (something to think about: how might ORLY shares perform over the next 5 years?). [These numbers were computed with the Dividend Channel DRIP Returns Calculator.]

Here’s one more great investment quote before you go:
“Experience taught me a few things. One is to listen to your gut, no matter how good something sounds on paper. The second is that you’re generally better off sticking with what you know. And the third is that sometimes your best investments are the ones you don’t make.” — Donald Trump