There is a lot of uncertainty right now. Even as the market has hit all-time highs in the wake of the recent interest rate reduction from the U.S. Federal Reserve, continued geopolitical unrest around the globe as well as a contentious election around the corner make it very difficult to know what’s next on Wall Street.
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That said, investors who do their research can sometimes find durable growth stories that will last for many years to come. Stocks that have strong share price momentum coupled with consistent growth in profits and sales may have what it takes to deliver regardless of the ups and downs of their peers.
The following nine stocks all have compelling growth stories and a history of delivering outsized returns for investors, making them among the best growth stocks to buy for the next 10 years:
| Stock | Sector | Market capitalization |
| Apple Inc. (ticker: AAPL) | Technology | $3.5 trillion |
| Alphabet Inc. (GOOG, GOOGL) | Technology | $2 trillion |
| Amazon.com Inc. (AMZN) | Technology | $2 trillion |
| Costco Wholesale Corp. (COST) | Consumer staples | $400 billion |
| AbbVie Inc. (ABBV) | Health care | $340 billion |
| DaVita Inc. (DVA) | Health care | $14 billion |
| Toll Brothers Inc. (TOL) | Consumer discretionary | $15 billion |
| Coinbase Global Inc. (COIN) | Financials | $42 billion |
| Fair Isaac Corp. (FICO) | Financials | $47 billion |
Apple Inc. (AAPL)
— Market capitalization: $3.5 trillion
— Sector: Technology
The largest U.S. stock by market capitalization, Apple just keeps getting bigger thanks to a dominant position in the consumer electronics market that allows it to squeeze more cash out of its loyal customer base. Its products segment, which includes iPads and iPhones, remains the most important at more than 70% of revenue, but its services segment is increasingly important — and growing at a faster rate. That includes cloud storage, Apple Pay, Apple Music and App Store revenue. Besides, this “smaller” business line is worth a cool $100 billion in revenue annually. That means as a stand-alone unit, Apple’s services would be larger than health care king Johnson & Johnson (JNJ). And considering this business line was about $53 billion or so back in fiscal year 2020, recent trends hint that this is only the beginning of the growth that Apple has to offer.
— Market cap: $2 trillion
— Sector: Technology
Google parent Alphabet just started paying dividends at 20 cents per quarter, good for a roughly 0.5% yield but adding up to a payout of about $7.5 billion annually considering the massive scale of this tech giant. That means a considerable commitment to shareholders, even as it keeps ample cash invested in new bets on artificial intelligence, cloud services and other high-tech endeavors. As the leading digital advertising platform in the world, the firm is positioned to profit from a continued megatrend as marketing spending moves off traditional TV channels and into online alternatives like YouTube. Revenue is forecasted to grow at a double-digit rate both this fiscal year and in fiscal 2025, showing strong momentum for a stock that’s already at the head of the pack.
Amazon.com Inc. (AMZN)
— Market cap: $2 trillion
— Sector: Technology
Rounding out the list of mega-cap tech stocks on the list of the best growth stocks to own for the next 10 years, Amazon has proven adept at unlocking new opportunities for revenue expansion. That includes moving into new e-commerce channels as well as launching its now-dominant Amazon Web Services division. In fact, Amazon’s cloud infrastructure market share is the largest out there at more than 30% of the entire market, and is worth more than $100 billion in annual revenue. Even more impressive than the raw size is that AWS is growing strong, with fiscal Q2 numbers in August showing a 19% growth rate. With massive scale and a history of innovation, Amazon is the kind of growth stock that investors should consider for the long haul.
Costco Wholesale Corp. (COST)
— Market cap: $400 billion
— Sector: Consumer staples
You may not think there’s reliable or impressive growth to be had from a consumer staples stock, but Costco is the exception to the rule thanks to its pricing power, popular Kirkland store brand and a business model that continues to prove itself amid e-commerce competition. An army of almost 130 million card-carrying members ensures a steady stream of reliable cash, but more importantly, fuels consistent growth. For instance, revenue was just $166 billion in FY 2020 but is forecast to top $254 billion this fiscal year. What’s more, shares have surged more than 200% since the beginning of 2020, nearly tripling the returns of the S&P 500 in the same period.
AbbVie Inc. (ABBV)
— Market cap: $340 billion
— Sector: Health care
AbbVie is a standout pharmaceutical company and continues to impress analysts. In fact, the company is projected to be the top drugmaker by revenue at some point in the next three years — thanks in part to its blockbuster anti-inflammatory drug Humira holding strong even as it brings new treatments online to supplement its offerings. That includes Skyrizi and Rinvoq, which treat things such as Crohn’s disease and arthritis, and are projected to bring in tens of billions of dollars a year. With an aging global population that will increasingly need care, ABBV is in a great sector to profit from long-term growth trends and changes in demographics.
DaVita Inc. (DVA)
— Market cap: $14 billion
— Sector: Health care
DaVita is another stock cashing in on the long-term growth in health care, offering treatment for patients with chronic kidney conditions. More than half a million dialysis patients in the U.S. need regular care, giving this health care stock a large number of “customers.” What’s more, DVA has the backing of Warren Buffett’s Berkshire Hathaway, which first took a stake in the stock back in 2011 and has increased its position steadily to account for more than 43% ownership in the firm. And with FY 2024 earnings per share set to soar more than 30% followed by another 15% expansion in FY 2025, it’s no wonder why the Oracle of Omaha believes in this long-term growth stock.
Toll Brothers Inc. (TOL)
— Market cap: $15 billion
— Sector: Consumer discretionary
To be clear, consumer discretionary stocks are troublesome companies to bet on for the long term given their inherent link to the ups and downs of the broader economy. But even a stock like leading homebuilder Toll Brothers can prove it has a lot of consistent power to offer regardless of the broader movements of Wall Street. Case in point: Despite a volatile interest rate environment that drove mortgages to the highest levels in decades, TOL stock has surged more than 280% in the last five years to more than triple the S&P 500 in the same period. What’s more, analysts expect 16% growth in earnings per share this year after that already amazing run. Though smaller than other residential construction stocks, it is still a force to be reckoned with and has proven itself with a track record of long-term growth.
Coinbase Global Inc. (COIN)
— Market cap: $42 billion
— Sector: Financials
It’s hard to find a financial stock that is fundamentally a growth company, as the entrenched megabanks tend to squeeze out competition. What’s more, the basic business of lending and managing money is a very “cyclical” enterprise tied to the ups and downs of the border economy. Coinbase stands apart from the typical banks and investment firms, however, with a focus on the disruptive digital asset marketplace.
The firm is not a Bitcoin miner or a direct play on crypto, however, as it operates exchange and custody services for various coins as well as related financial products. The firm is young, as it only went public in 2021, but the multiyear tailwind for crypto markets proves that digital assets are not a fad. As proof: Analysts expect a stunning 85% growth rate in revenue this year. COIN is well positioned to capitalized on the continued success of this marketplace in the years ahead, and it is a rare growth stock in the financial sector for those who want to look beyond the typical software names.
Fair Isaac Corp. (FICO)
— Market cap: $47 billion
— Sector: Financials
Building off of the last stock but also coming full circle back to technology, Fair Isaac is a software firm that offers data analytics that are used in formulating credit scores, among other things. Credit markets have tightened up thanks to relatively higher interest rates as well as Americans’ chronic lack of savings or carrying too much personal and credit card debt. In such an environment, FICO scores are key — and that makes Fair Isaac a stock to rely on for many years to come as businesses look to limit their credit risk. Investors can moralize about the state of consumer finances in America, but they should also pay attention to the whopping 500% gain for FICO stock in the last five years as it continues to be in demand among merchants, lenders and other players.
[SEE: 10 Stocks Warren Buffett Just Bought and Sold]
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Update 09/20/24: This story was previously published at an earlier date and has been updated with new information.
