“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 DISH Network Corp (NASD: DISH)? Today, we examine the outcome of a decade-long investment into the stock back in 2013.
| Start date: | 01/11/2013 |
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| End date: | 01/10/2023 | ||||
| Start price/share: | $36.21 | ||||
| End price/share: | $14.83 | ||||
| Starting shares: | 276.17 | ||||
| Ending shares: | 276.17 | ||||
| Dividends reinvested/share: | $0.00 | ||||
| Total return: | -59.04% | ||||
| Average annual return: | -8.54% | ||||
| Starting investment: | $10,000.00 | ||||
| Ending investment: | $4,094.55 | ||||
As we can see, the decade-long investment result worked out poorly, with an annualized rate of return of -8.54%. This would have turned a $10K investment made 10 years ago into $4,094.55 today (as of 01/10/2023). On a total return basis, that’s a result of -59.04% (something to think about: how might DISH 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:
“It’s not always easy to do what’s not popular, but that’s where you make your money. Buy stocks that look bad to less careful investors and hang on until their real value is recognized.” — John Neff
