These large-cap stocks are set to get even bigger in the next decade.
This article is for the middle-class American who is seeking growth opportunities within their investment portfolio. While everyone is trying to predict the future of the markets, the best growth stocks are companies that are already showing a strong track record of success and have a clear roadmap to continue increasing their market share. This list covers nine companies across different sectors that may be worth considering for your long-term investment goals.
What are growth stocks?
Growth stocks are companies that have a high growth rate in earnings and revenue. These companies typically invest heavily in research and development and have a strong competitive advantage in their respective industries. Investors buy growth stocks with the expectation that their share prices will increase as the companies continue to grow.
Why is investing in best growth stocks challenging?
Challenges of Investing in Best Growth Stocks Growth investing can be challenging and involve a number of risk factors that you should consider before investing in these companies.
- Volatile markets: The stock market can be volatile and growth stocks can be especially susceptible to swings in investor sentiment. If a company’s growth slows down or fails to meet expectations, the stock can experience a sharp decline in price.
- Overvaluation: Growth stocks can become overvalued if investors have high expectations for their future growth. This can lead to a “bubble” in the stock price that eventually bursts, causing significant losses for investors.
- Competition: Growth industries tend to attract a lot of competition. If a company fails to keep up with its competitors, it can lose market share and its growth prospects can suffer.
Investing in Best Growth Stocks for the Long Term Investing in growth stocks can be beneficial for long-term investors, but only if you have a proper understanding of the risks and potential rewards. The key to success in growth investing is to identify companies with a strong competitive advantage, a solid track record of growth, and a sustainable business model.
9 Best Growth Stocks for the Next 10 Years Here is a list of 9 high-growth companies that might be worth considering for your investment portfolio:
| STOCK | SECTOR | MARKET CAPITALIZATION |
|---|---|---|
| Nvidia Corp. (NVDA) | Technology | $2.9 trillion |
| Apple Inc. (AAPL) | Technology | $3.4 trillion |
| Palo Alto Networks Inc. (PANW) | Technology | $110 billion |
| Meta Platforms Inc. (META) | Communication services | $1.3 trillion |
| AbbVie Inc. (ABBV) | Health care | $341 billion |
| Intuitive Surgical Inc. (ISRG) | Health care | $166 billion |
| MercadoLibre Inc. (MELI) | Consumer discretionary | $96 billion |
| Jones Lang LaSalle Inc. (JLL) | Real estate | $11.4 billion |
| Coinbase Global Inc. (COIN) | Financials | $48.7 billion |
Nvidia Corp. (NVDA) Nvidia is a global leader in artificial intelligence (AI), gaming, and high-performance computing. Its GPUs are used in a variety of applications, including data centers, autonomous vehicles, and gaming consoles. The company has a strong track record of innovation and is well-positioned to capitalize on the growth of AI and other emerging technologies.
- Upcoming earnings: Nvidia’s next earnings report is expected on August 29, 2024. Analysts are expecting EPS of $0.64 and revenue of $28.60 billion.
- Key stats: Nvidia’s market capitalization is $3.06 trillion. The company’s dividend yield is 0.04% and its P/E ratio is 61.28.
Apple Inc. (AAPL)
Apple is a global leader in consumer electronics and software. Its products include iPhones, Macs, iPads, and Apple Watches. The company has a loyal customer base and a strong brand reputation. Apple is also investing heavily in new technologies, such as augmented reality and artificial intelligence, to continue its growth.
- Upcoming earnings: Apple’s next earnings report is expected on October 24, 2024. Analysts are expecting EPS of $1.59 and revenue of $94.27 billion.
- Key stats: Apple’s market capitalization is $3.44 trillion. The company’s dividend yield is 0.44% and its P/E ratio is 34.21.
Palo Alto Networks Inc. (PANW)
Palo Alto Networks is a leading provider of cybersecurity solutions. Its products help organizations protect their networks and data from cyber threats. The company has a strong track record of growth and is well-positioned to benefit from the increasing demand for cybersecurity solutions.
- Upcoming earnings: Palo Alto Networks’ next earnings report is expected in 2 days. Analysts are expecting EPS of $1.41 and revenue of $2.16 billion.
- Key stats: Palo Alto Networks’ market capitalization is $108.18 billion. The company’s dividend yield is — and its P/E ratio is 49.97.
Meta Platforms Inc. (META)
Meta Platforms is the parent company of Facebook, Instagram, and WhatsApp. The company is a leader in social media and online advertising. Meta is investing heavily in new technologies, such as the metaverse and augmented reality, to continue its growth.
- Upcoming earnings: Meta Platforms’ next earnings report is expected on October 23, 2024. Analysts are expecting EPS of $5.17 and revenue of $40.03 billion.
- Key stats: Meta Platforms’ market capitalization is $1.33 trillion. The company’s dividend yield is 0.39% and its P/E ratio is 26.44.
AbbVie Inc. (ABBV)
AbbVie is a global pharmaceutical company that develops and markets innovative treatments for a wide range of diseases. The company has a strong track record of growth and is well-positioned to benefit from the aging global population and the increasing demand for new and effective medicines.
- Upcoming earnings: AbbVie’s next earnings report is expected on October 25, 2024. Analysts are expecting EPS of $2.95 and revenue of $14.27 billion.
- Key stats: AbbVie’s market capitalization is $342.49 billion. The company’s dividend yield is 3.26% and its P/E ratio is 63.53.
Intuitive Surgical Inc. (ISRG)
Intuitive Surgical is a leading provider of minimally invasive surgical systems. The company’s da Vinci Surgical System is used in a variety of procedures, including prostate surgery, hysterectomy, and heart valve repair. Intuitive Surgical has a strong track record of growth and is well-positioned to benefit from the increasing adoption of minimally invasive surgery.
- Upcoming earnings: Intuitive Surgical’s next earnings report is expected on October 17, 2024. Analysts are expecting EPS of $1.64 and revenue of $2.01 billion.
- Key stats: Intuitive Surgical’s market capitalization is $170.21 billion. The company’s dividend yield is — and its P/E ratio is 82.45.
MercadoLibre Inc. (MELI)
MercadoLibre is a leading e-commerce platform in Latin America. The company offers a variety of services, including online shopping, digital payments, and logistics. MercadoLibre has a strong track record of growth and is well-positioned to benefit from the increasing adoption of e-commerce in Latin America.
- Upcoming earnings: MercadoLibre’s next earnings report is expected on October 31, 2024. Analysts are expecting EPS of $9.57 and revenue of $5.05 billion.
- Key stats: MercadoLibre’s market capitalization is $100.28 billion. The company’s dividend yield is — and its P/E ratio is 72.17.
Jones Lang LaSalle Inc. (JLL)
Jones Lang LaSalle is a global real estate services firm. The company provides a variety of services, including property management, leasing, investment sales, and capital markets. JLL is well-positioned to benefit from the growing demand for real estate services, especially as the economy continues to grow and businesses seek more space.
- Upcoming earnings: Jones Lang LaSalle’s next earnings report is expected on October 30, 2024. Analysts are expecting EPS of $2.69 and revenue of $5.66 billion.
- Key stats: Jones Lang LaSalle’s market capitalization is $11.69 billion. The company’s dividend yield is — and its P/E ratio is 30.86.
Coinbase Global Inc. (COIN)
Coinbase is a leading cryptocurrency exchange. The company allows users to buy, sell, and store cryptocurrencies, and it also provides other services, such as staking and lending. Coinbase is well-positioned to benefit from the growing adoption of cryptocurrencies.
- Upcoming earnings: Coinbase’s next earnings report is expected on October 31, 2024. Analysts are expecting EPS of $0.64 and revenue of $1.29 billion.
- Key stats: Coinbase’s market capitalization is $51.01 billion. The company’s dividend yield is — and its P/E ratio is 35.31.
FAQs
What are the risks of investing in best growth stocks? Investing in growth stocks carries risks that should be understood. Growth stocks are more volatile and can experience steep declines if their growth slows down or they fail to meet investor expectations. Also, they tend to be more expensive and it is difficult to know if their valuations will continue to rise.
What are some of the best growth sectors to invest in for the next 10 years? The best growth sectors for the next 10 years are those that are likely to benefit from long-term trends, such as the increasing demand for technology, healthcare, and consumer goods.
How much should I invest in best growth stocks? The amount you should invest in growth stocks will depend on your risk tolerance and investment goals. If you are a long-term investor with a high risk tolerance, you may want to allocate a larger portion of your portfolio to growth stocks. However, if you are a more conservative investor, you may want to allocate a smaller portion of your portfolio to growth stocks.
How can I find the best growth stocks to invest in? There are a number of resources that can help you find the best growth stocks to invest in. You can look for companies with a strong track record of growth, a sustainable business model, and a solid competitive advantage. You can also consult with a financial advisor to get personalized advice.
Should I invest in best growth stocks if I am close to retirement? If you are close to retirement, you may want to consider investing in more conservative investments, such as bonds and dividend-paying stocks. Growth stocks can be too risky for investors who need to preserve their capital.
What is the best way to manage risk when investing in growth stocks? Diversification is key to managing risk when investing in growth stocks. You should invest in a variety of growth stocks from different sectors to reduce the risk of losing money if one particular stock or sector performs poorly.
Best Growth Stocks: The companies included in this list are just a few examples of the many great growth stocks available to investors. By carefully considering these factors and doing your research, you can make informed investment decisions that will help you achieve your long-term financial goals.
Disclaimer: This article is not intended to be investment advice and does not take into account your specific investment needs. The author is not a financial advisor, and you should consult with a professional before making any investment decisions.
