Could Investing $10,000 in Nvidia Stock Help Make You a Millionaire?
Buying and holding great companies for a long time is one of the best ways to make money in the stock market as this strategy allows investors to compound their investment, and also gain from secular growth trends or disruptive innovation that the companies they invest in may benefit from.
For instance, a $10,000 investment in the Nasdaq Composite index a decade ago is now worth $39,000. However, finding individual stocks that could turn $10,000 into a million dollars in the long run isn't an easy task. A stock will have to jump 100-fold to achieve this feat. In other words, the stock you picked will have to clock a compound annual growth rate of 20% for 25 consecutive years to appreciate this much. That's tough.
However, let me highlight one stock that has achieved this milestone in an even shorter period -- Nvidia (NASDAQ: NVDA). A $10,000 investment made in Nvidia stock a decade ago is now worth almost $1.2 million.
Source Fool.com
