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— Warren Buffett

A 10-year holding period can reveal far more about an investment than short-term price swings. For FirstEnergy Corp (NYSE: FE), the central question is straightforward: how did a buy-and-hold investment perform from 2016 to 2026 when dividends were reinvested? Based on the figures below, a $10,000 investment in FirstEnergy stock on 10/17/2016 would have grown to $21,370.36 by 10/15/2026, producing a total return of 113.79% and an average annual return of 7.89%.

FirstEnergy 10-Year Total Return

FE 10-Year Return Details
Start date:	10/17/2016	$10,000 10/17/2016   $21,370 10/15/2026
End date:	10/15/2026
Start price/share:	$32.23
End price/share:	$45.55
Starting shares:	310.27
Ending shares:	469.34
Dividends reinvested/share:	$15.84
Total return:	113.79%
Average annual return:	7.89%
Starting investment:	$10,000.00
Ending investment:	$21,370.36

The result is notable not just because the investment more than doubled, but because the return came from two distinct sources: share price appreciation and dividend income. That distinction matters with utility stocks such as FirstEnergy, where total return often depends heavily on distributions being retained or reinvested over time.

What Drove the Return

Over the period shown, the stock price rose from $32.23 to $45.55, representing capital appreciation before accounting for dividends. The larger gain in ending value reflects the additional effect of reinvested payouts. According to the data above, FirstEnergy paid $15.84 per share in dividends over the 10-year period, and those dividends were assumed to be reinvested into additional FE shares on each ex-dividend date using the closing price on that date.

That reinvestment assumption increased the share count from 310.27 shares to 469.34 shares. In other words, compounding came not only from the stock rising in price over time, but also from cash distributions purchasing more shares that could themselves generate future dividends.

FirstEnergy Dividend Yield and Yield on Cost

Using the most recent annualized dividend rate of $1.86 per share, FirstEnergy’s current yield works out to approximately 4.08% based on the ending share price of $45.55. For long-term holders, yield on cost provides a second lens for evaluating income generation. Measured against the original purchase price of $32.23 per share, the current annualized dividend implies a yield on cost of about 5.77%.

That figure is conceptually useful because it shows how an established position can generate a higher income rate relative to original cost basis over time. It should not, however, be confused with the stock’s current market yield, which is based on the current share price rather than the historical purchase price.

Key Takeaways From This 10-Year FirstEnergy Investment

• A $10,000 investment in FirstEnergy stock in October 2016 grew to $21,370.36 by October 2026.
• The total return was 113.79%, assuming dividends were reinvested.
• The average annual return was 7.89%.
• Dividend reinvestment materially increased the ending share count, from 310.27 to 469.34 shares.
• Total return exceeded simple price appreciation because income contributed meaningfully to compounding.

Why Total Return Matters More Than Price Alone

Looking only at the change in FirstEnergy’s share price would understate the full economic result of owning the stock. That is especially true for dividend-paying utilities, where a significant portion of long-term shareholder return may come from regular cash distributions. For that reason, total return is typically the more useful measure when evaluating how a long-term investment actually performed.

Investors reviewing FirstEnergy’s historical return may also want to separate three related but different concepts: price return, income return, and total return. Price return captures only the stock’s movement in the market. Income return reflects dividends received. Total return combines both, and with reinvestment, it captures the compounding effect that can materially change long-run outcomes.

[These numbers were computed with the Dividend Channel DRIP Returns Calculator.]

“Although it’s easy to forget sometimes, a share is not a lottery ticket… it’s part-ownership of a business.” — Peter Lynch