“Someone’s sitting in the shade today because someone planted a tree a long time ago.”
— Warren Buffett
The Warren Buffett investment philosophy calls for a long-term investment horizon, where a two-decade 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 two-decade investment into the stock back in 2005.
| Start date: | 02/07/2005 |
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| End date: | 02/06/2025 | ||||
| Start price/share: | $33.80 | ||||
| End price/share: | $105.02 | ||||
| Starting shares: | 295.86 | ||||
| Ending shares: | 295.86 | ||||
| Dividends reinvested/share: | $0.00 | ||||
| Total return: | 210.71% | ||||
| Average annual return: | 5.83% | ||||
| Starting investment: | $10,000.00 | ||||
| Ending investment: | $31,077.47 | ||||
As shown above, the two-decade investment result worked out well, with an annualized rate of return of 5.83%. This would have turned a $10K investment made 20 years ago into $31,077.47 today (as of 02/06/2025). On a total return basis, that’s a result of 210.71% (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.]
Here’s one more great investment quote before you go:
“The investor’s chief problem, even his worst enemy, is likely to be himself.” — Benjamin Graham