Illustration of compound interest

If you bought 100 shares of Exxon 35 years ago for $2.77 per share, and reinvested the dividends,you’d have $230,944 today. source. That’s an annual return of 19.2% compounded, exclusive of taxes.

** update **
if you bought Exxon on Dec. 31st 1976, you would have had a compounded return of 17.1%. Berkshire Hathaway, by contrast, gave a compounded annualized return of 21.1%. Source

If the price of oil goes up to $130 next year as Mark Waggoner claims it will source, the annualized return on Exxon from 1976-2011 could exceed that of Berkshire Hathaway.


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