This ASX 200 share turned $10k into $1 million in just 10 years

As a big fan of buy and hold investing, I like to look at how investments in some ASX shares would have fared if you’d made a patient investment over a period of 10 years.

On this occasion, I’m going to focus on Pro Medicus Limited (ASX: PME). It is a leading health imaging technology provider that was founded back in 1983.

Pro Medicus provides a range of software and services to hospitals, imaging centres, and health care groups across Australia, Europe, and North America. This includes radiology information systems (RIS), Picture Archiving and Communication Systems (PACS), and advanced visualisation solutions.

The company notes that these high quality products combine speed, scalability, stability and smarts to help eliminate administrative tasks and workarounds, optimise the efficiency of clinical and administrative staff, and ultimately maximise profits for its users.

Their increasing popularity has also helped Pro Medicus maximise its own profits, with the company delivering consistently strong profit growth for years.

So how much would a $10,000 investment in this ASX share be worth now?

Since this time in 2012, despite what the world has thrown at the share market and particularly richly valued tech stocks, Pro Medicus’ shares have generated a mind-boggling average total return of 59.3% per annum.

This means that if you were lucky enough to invest $10,000 into this ASX share in 2012, your investment would have grown 100 times over and be worth $1.05 million today.

But the returns may not even stop there! Analysts at Bell Potter currently have a buy rating and $55.00 price target on its shares.

The broker believes Pro Medicus can grow its net profit after tax from $44.9 million in FY 2022 to $114.2 million in FY 2025. That’s an increase of over 150% in the space of three financial years.

If only all investments could be like Pro Medicus!

The post This ASX 200 share turned $10k into $1 million in just 10 years appeared first on The Motley Fool Australia.

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Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Pro Medicus Ltd. The Motley Fool Australia has positions in and has recommended Pro Medicus Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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