7 of the Best Long-Term Stocks to Buy

The best long-term stocks to buy don’t always have to be mega-cap companies with deep pockets. But it certainly helps.

The future is always uncertain on Wall Street, but massive corporations with billions in revenue and well-established relationships with customers can endure short-term disruptions. There may not be as much upside for a company that is already mature, but there definitely is a greater degree of stability.

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The following companies are entrenched blue chips with approximately $100 billion or more in market value, and reliable profits that they share with investors via sustainable dividends.

Stocks Sector Market Value Forward Dividend Yield*
Costco Wholesale Corp. (ticker: COST) Consumer staples $456 billion 0.5%
Enbridge Inc. (ENB) Energy $93 billion 6.4%
JPMorgan Chase & Co. (JPM) Financial $731 billion 1.9%
Microsoft Corp. (MSFT) Technology $2.9 trillion 0.9%
Southern Co. (SO) Utilities $97 billion 3.3%
Verizon Communications Inc. (VZ) Communication services $181 billion 6.3%
Walmart Inc. (WMT) Consumer staples $782 billion 1.0%

*As of Feb. 27 close.

Costco Wholesale Corp. (COST)

Sector: Consumer staples Market value: $456 billion Dividend yield: 0.5%

While it’s a consumer-facing name that is a bit exposed to short-term spending trends, Costco has great long-term appeal thanks to an army of loyal customers. Specifically, it boasts nearly 130 million card-carrying members who pay $60 a pop, which adds up to a cool $7.8 billion in recurring revenue — without a single rotisserie chicken or oversized bag of Kirkland chips getting rung up. What’s more, the value-oriented approach of Costco ensures it is insulated from any economic downturns as consumers will cut back on other things, and perhaps even deploy more cash at this money-saving warehouse operator. The current dividend admittedly is pretty small, but with payouts at just 20% or so of next year’s earnings, there is ample room for dividend growth over time.

Enbridge Inc. (ENB)

Sector: Energy Market value: $93 billion Dividend yield: 6.4% In an age of commodity market volatility and potential trade wars, identifying energy stocks with staying power can be a tall order. However, one of the largest and most stable stocks in the space is midstream energy company Enbridge. This infrastructure company isn’t an explorer drilling for crude, but rather operates pipelines, terminals and storage facilities. This business model makes the company less volatile than energy exploration-and-production firms, or the various other energy stocks that are sensitive to market prices for petroleum products. In recent years, ENB has tightened its grip through acquisitions of firms such as Spectra Energy, and has only widened its moat to provide greater long-term stability for shares.

JPMorgan Chase & Co. (JPM)

Sector: Financial Market value: $731 billion Dividend yield: 1.9%

If you want a big bank with staying power, there’s perhaps no better pick out there than JPMorgan. With roots tracing back to 1799, JPM has a long history weathering anything the global economy throws its way. For instance, it did not require a mega-bailout in 2008 like other rivals and was the first major financial organization in the U.S. to eclipse its pre-crisis dividend levels. More recently, it proved much stronger than its peers and won approval to acquire troubled regional bank First Republic after the bank failed in early 2023 — only adding to its scale, and acquiring the business at a fire-sale price. Though the yield isn’t as high as some other stocks in the sector, JPM’s distributions have leapt from 5 cents quarterly in 2011 to $1.25 at present. And with total dividends at just about 25% of expected earnings, there’s more than ample headroom for future increases in those dividends down the road.

[Read: 7 Up-and-Coming Stocks to Buy in 2025]

Microsoft Corp. (MSFT)

Sector: Technology Market value: $2.9 trillion Dividend yield: 0.9%

A dominant tech stock that has seen amazing growth over the past few decades, Microsoft is a leader in enterprise software that has become ingrained into the way the world works. But beyond its iconic Windows and Office software, MSFT has moved into cloud data services and other areas. For instance, in 2023 a $70 billion deal was approved for Microsoft to acquire game studio Activision Blizzard and add to its impressive Xbox video game hardware and software arm. It also hired key artificial intelligence (AI) staff away from ChatGPT maker OpenAI in a bid to bolster its own offerings. Between strong current operations and ambitious hopes to layer on new business lines, MSFT is a tech stock with a bright future.

Southern Co. (SO)

Sector: Utilities Market value: $97 billion Dividend yield: 3.3%

Southern Co. is among the largest publicly traded utility stocks in the U.S., with electricity and natural gas operations that range from Illinois to Tennessee to Georgia. Incorporated back in 1945, it now serves 9 million total customers in regions with growing populations and consistent demand. That makes it a tremendous prospect for investors looking for long-term stability. What’s more, shares are up more than 30% in the past 12 months to outperform the broader S&P 500 thanks to optimism over how AI and other energy-intensive technologies will drive continued demand growth in the power generation sector. With a wide moat thanks to strong regulatory oversight and the expensive nature of running a utility, SO is a blue-chip stock that isn’t likely to go anywhere for a long time.

Verizon Communications Inc. (VZ)

Sector: Communication services Market value: $181 billion Dividend yield: 6.3% Verizon has a lot going for it in terms of stability as the largest U.S. wireless carrier by market share, with over 37% of wireless subscriptions and about 149 million customers. It also boasts a tremendous dividend yield that is more than four times the S&P 500 right now. What’s more, the prospect of lower interest rates long term, along with a debt position that is a bit more favorable than other large telecoms like AT&T, make this a communications stock to look at for the long haul. The icing on the cake is that reliable revenue from customers fuels steady and generous dividends that provide a great income stream for buy-and-hold investors.

Walmart Inc. (WMT)

Sector: Consumer staples Market value: $782 billion Dividend yield: 1%

When it comes to the best long-term stocks, there are a lot of reasons to include Walmart on the list. The company has unrivaled scale, with more than 10,000 total stores worldwide and more than 2 million employees. In fact, Walmart is now the largest grocery store chain in the U.S. thanks to its Supercenters, which stock produce and packaged food along with other merchandise. There are undoubtedly going to be ups and downs in the short term for both the U.S. and the global economy, but Walmart remains an essential local employer as well as the main retailer across multiple segments for many rural areas. That provides long-term stability that is hard for any other retailer to match, even in the age of e-commerce.

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7 of the Best Long-Term Stocks to Buy originally appeared on usnews.com

Update 02/28/25: This story was published at an earlier date and has been updated with new information.

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