“I buy on the assumption that they could close the market the next day and not reopen it for five years.”
— Warren Buffett
The Warren Buffett investment philosophy calls for a long-term investment horizon, where a five year holding period, or even longer, would fit right into the strategy. How would such a strategy have worked out for an investment into Edwards Lifesciences Corp (NYSE: EW)? Today, we examine the outcome of a five year investment into the stock back in 2020.
| Start date: | 07/09/2020 |
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| End date: | 07/08/2025 | ||||
| Start price/share: | $68.26 | ||||
| End price/share: | $76.39 | ||||
| Starting shares: | 146.50 | ||||
| Ending shares: | 146.50 | ||||
| Dividends reinvested/share: | $0.00 | ||||
| Total return: | 11.91% | ||||
| Average annual return: | 2.28% | ||||
| Starting investment: | $10,000.00 | ||||
| Ending investment: | $11,193.18 | ||||
The above analysis shows the five year investment result worked out as follows, with an annualized rate of return of 2.28%. This would have turned a $10K investment made 5 years ago into $11,193.18 today (as of 07/08/2025). On a total return basis, that’s a result of 11.91% (something to think about: how might EW shares perform over the next 5 years?). [These numbers were computed with the Dividend Channel DRIP Returns Calculator.]
One more piece of investment wisdom to leave you with:
“If you’re looking for a home run, a great investment for five years or 10 years or more, then the only way to beat this enormous fog that covers the future is to identify a long-term trend that will give a particular business some sort of edge.” — Ralph Wanger
