Stocks to buy

Let’s take a quick look at stocks for investment until 2033. All are high-quality firms, meaning they’re stable and have the potential to continue growing. Granted, it might be hard to imagine some of these companies getting bigger. But that’s exactly what some detractors surely said a decade ago. The truth is that many of the best stocks of today will be the best stocks in a decade. Strong companies have many ways to maintain their dominance, including these seven.

Stocks for Investment Until 2033: Apple (AAPL)

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Apple (NASDAQ:AAPL) is a no-brainer. Over the last decade alone, it’s become so omnipresent in our way of life that it’s hard to suggest it won’t continue to dominate. Better, its fan base is fervent, which won’t change any time soon. Those simple factors alone suggest that Apple is one of the most obvious long-term stock choices to invest in today. Further, Apple has grown so fast that it’s become very attractive to those determined not to miss out on gains this time around. 

Back in 2013, AAPL shares traded at $15. Today they’re worth $175. No one knows precisely where they’ll be in 10 years but this forecast expects prices near $500. Investors should also consider that as Apple continues to mature that it will continue to raise its dividends as well. 

Stocks for Investment Until 2033: Microsoft (MSFT)

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Big Tech firms, like Microsoft, (NASDAQ:MSFT) have every chance of being just as strong as they are now in 10 years. Thanks in large part to the AI boom.

Microsoft has arguably set itself apart with a massive foray into AI ahead of others. The OpenAI investment gives it a first-mover advantage that will continue to matter. Google (NASDAQ:GOOGGOOGL) has responded more slowly even as it makes inroads. 

The other obvious question here is if AI is the future, why not invest in Nvidia (NASDAQ:NVDA)? Granted, there’s a strong case favoring Nvidia after its Q1 results for sure. It continues to make all the sense in the world, honestly. The only issue is that the chip sector’s cyclicality is very unpredictable making NVDA especially volatile. Therefore, holding for a decade may not be the best strategy. 

Stocks for Investment Until 2033: Block (SQ)

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Fintech stocks including Block (NYSE:SQ) hold massive potential. Over the next decade or so, consumers will continue to demand more modern methods of banking and financial services. Block’s current size, position, and growth mean that it is the best overall fintech stock to hold over that period. 

Let’s pull back and consider the landscape here. Boston Consulting Group expects compound annual growth of 17% for U.S. fintech through 2030. Fintech revenues should grow from $245 billion to $1.5 trillion based on data released in early May. The sector is going to make a lot of investors rich in the coming years. 

Block is the clear U.S. pick here. Truly risk-forward investors should consider Asian firms where 32% annual growth is expected through 2030. Square continues to be a massive part of Block’s performance. But Cash App has become an even bigger profit-generating machine for the company. Block continues to be positioned to capture that growth in the U.S. market. 

Walmart (WMT) 

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I once read that Walmart (NYSE:WMT) fairly represents the U.S. economy. The idea was simple — Walmart offers a wide cross-section of the goods and services Americans buy. So, I’m sure there’s some truth to that notion. 

However, from a growth perspective, Walmart outpaces the U.S. For example, U.S. GDP grew by 1.6% in the first quarter. GDP is a summation of the value of all the goods and services produced so it’s roughly analogous to revenue. And Walmart’s revenues increased by 7.6% in the first quarter so it continues to be a growth machine. 

What many might not recognize when discussing Walmart is that the company is fast becoming an eCommerce force. eCommerce grew by 27% domestically and by 25% internationally. Walmart is not content to dominate brick-and-mortar retail. It is going to continue to chip away at Amazon (NASDAQ: AMZN) and other eCommerce-first firms well into the future. 

JPMorgan Chase (JPM)

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JPMorgan Chase (NYSE:JPM) has already shown investors the strategy it uses when it shrewdly took advantage of the recent banking collapse. While acting as a bulwark against total collapse, the company simultaneously played big brother and calculating advisor. It pledged funds to prevent a collapse of regional banks, sure. But it also swooped in and took what it wanted from First Republic: Wealthy coastal clientele

JPMorgan Chase intends to get bigger – it’s already the largest bank in the U.S. – and become higher quality. It is getting bigger and making deeper inroads with the coastal elite. Unsurprisingly that has ruffled feathers and furthered divisions with political lines. In fact, GOP states have sent a letter to the company for religious bias in lending practices. 

How does this all relate to JPMorgan Chase’s long-term prospects? It means the bank has become more entrenched with coastal wealth and the political associations therewith. That’s where the money is for the most part with tech in the west and finance in the east. It means the bank should only get stronger. 

Applied Materials (AMAT) 

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Applied Materials (NASDAQ:AMAT) provides goods in the form of manufacturing equipment and services as software to the chip sector. It’s basically a high-quality stock that runs adjacent to the semiconductor industry and has growth prospects aplenty. The semiconductor industry should reach $1 trillion in revenues by 2030. That assumes 6% to 10% annual growth over the intervening years.  

AMAT has been a tremendous growth stock over the last decade, providing 25.75% returns annually. Any investment placed 10 years ago and left untouched would have multiplied in value nearly 10 times. Some of that growth was due to 20% industry-wide growth in 2021 during the chip boom. Such spikes are unpredictable. But even absent that spike AMAT shares grew rapidly in the run-up. 

One of my favorite ways to predict if a company will produce gains over time is by comparing returns on invested capital to the weighted average cost of capital (WACC). The greater the discrepancy, the better. Applied Materials’ ROIC is 33.92% and its ROIC is 9.68%. 

Verizon (VZ)

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The Verizon (NYSE:VZ) stock has not done well over the last decade. It provided 1.73% returns annually during the last decade. That means $1,000 would have grown to a “massive” $1,137 if left untouched. However, Verizon’s past, hopefully, won’t be its future. 

The reason so many investors are keen on Verizon is 5G. The 5G market is expected to grow by roughly 60% annually between 2023 and 2030. Forget the recent past and embrace the potential of the future in other words. That’s what is required of investors in VZ stock over the coming years. 

Verizon, though, is doing its part to sweeten that deal. It offers a dividend yielding 7.43% currently that hasn’t been reduced since 2000. That means investors get an actual return that is much higher in reality as long as Verizon continues to pay shareholders to hold onto their stock. Further, VZ stock has roughly 20% upside right now based on its target price.

On the date of publication, Alex Sirois did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

Alex Sirois is a freelance contributor to InvestorPlace whose personal stock investing style is focused on long-term, buy-and-hold, wealth-building stock picks. Having worked in several industries from e-commerce to translation to education and utilizing his MBA from George Washington University, he brings a diverse set of skills through which he filters his writing.

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