Photo credit:

“When we own portions of outstanding businesses with outstanding managements, our favorite holding period is forever.”

— Warren Buffett

The Warren Buffett investment philosophy calls for a long-term investment horizon, where a twenty year holding period, or even longer, would fit right into the strategy. How would such a strategy have worked out for an investment into Boston Scientific Corp. (NYSE: BSX)? Today, we examine the outcome of a twenty year investment into the stock back in 2004.

Start date: 03/29/2004


End date: 03/26/2024
Start price/share: $43.14
End price/share: $67.94
Starting shares: 231.80
Ending shares: 231.80
Dividends reinvested/share: $0.00
Total return: 57.49%
Average annual return: 2.30%
Starting investment: $10,000.00
Ending investment: $15,759.40

The above analysis shows the twenty year investment result worked out as follows, with an annualized rate of return of 2.30%. This would have turned a $10K investment made 20 years ago into $15,759.40 today (as of 03/26/2024). On a total return basis, that’s a result of 57.49% (something to think about: how might BSX shares perform over the next 20 years?). [These numbers were computed with the Dividend Channel DRIP Returns Calculator.]

One more investment quote to leave you with:
“I think you have to learn that there’s a company behind every stock, and that there’s only one real reason why stocks go up. Companies go from doing poorly to doing well or small companies grow to large companies.” — Peter Lynch