“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 decade-long holding period, or even longer, would fit right into the strategy. How would such a strategy have worked out for an investment into Autodesk Inc (NASD: ADSK)? Today, we examine the outcome of a decade-long investment into the stock back in 2014.
| Start date: | 04/08/2014 |
|
|||
| End date: | 04/05/2024 | ||||
| Start price/share: | $47.15 | ||||
| End price/share: | $244.74 | ||||
| Starting shares: | 212.09 | ||||
| Ending shares: | 212.09 | ||||
| Dividends reinvested/share: | $0.00 | ||||
| Total return: | 419.07% | ||||
| Average annual return: | 17.90% | ||||
| Starting investment: | $10,000.00 | ||||
| Ending investment: | $51,896.50 | ||||
As shown above, the decade-long investment result worked out exceptionally well, with an annualized rate of return of 17.90%. This would have turned a $10K investment made 10 years ago into $51,896.50 today (as of 04/05/2024). On a total return basis, that’s a result of 419.07% (something to think about: how might ADSK shares perform over the next 10 years?). [These numbers were computed with the Dividend Channel DRIP Returns Calculator.]
One more piece of investment wisdom to leave you with:
“The whole secret to winning big in the stock market is not to be right all the time, but to lose the least amount possible when you’re wrong.” — William O’Neil
