10 Best Stocks to Buy and Hold Forever
Investing in the stock market is one of the easiest ways to grow your wealth and set yourself up for a comfortable retirement when you get older.
Many beginner investors buy ETFs or mutual funds at first but often want to dabble in stocks to increase their returns and reduce expense ratio fees.
If you really want to maximize your portfolio gains on autopilot then try some of my favorite stocks to hold forever (over the next 20 to 30 years).
Stocks to Buy and Hold Forever
Company (Ticker) | 10 Year CAGR |
---|---|
Tesla (TSLA) | 34.97% |
Apple Inc (AAPL) | 26.97% |
MicroSoft (MSFT) | 26.18% |
Dominos (DPZ) | 19.81% |
McDonalds (MCD) | 12.57% |
Berkshire Hathaway (BRK-B) | 11.81% |
Starbucks (SBUX) | 10.88% |
Proctor and Gamble (PG) | 8.62% |
Johnson and Johnson (JNJ) | 8.17% |
Realty Income (O) | 7.08% |
Apple Inc. (AAPL)
Apple Inc. is a globally renowned technology company founded in 1976 by Steve Jobs, Steve Wozniak, and Ronald Wayne.
Headquartered in Cupertino, California, it’s known for its iconic products like the iPhone, iPad, Mac computers, and software like iOS and macOS. Apple is celebrated for its design innovation and user-friendly technology.
Why Hold AAPL Stock Forever?
Apple is the largest American company by market cap and controls a massive market share over electronics.
AAPL makes up a good portion of every index fund and a whopping 50% of Warren Buffett’s portfolio.
AAPL shares maintain an impressive 26.97% 10-year average annualized return plus pay a rising dividend for growth investors.
Tesla (TSLA)
Tesla, established in 2003 by Elon Musk, JB Straubel, and others, is a pioneering electric vehicle (EV) and clean energy company.
Based in Palo Alto, California, Tesla is famous for its groundbreaking EVs like the Model S and Model 3, pushing the boundaries of sustainable transportation and renewable energy solutions.
Why Hold TSLA Stock Forever?
Tesla is the leading EV stock by market cap and aims to hit 20 million annual electric vehicles produced by 2030.
The company has industry leading operating margins and a robust pipeline f futuristic clean energy products.
Not to mention Tesla also owns 10,000 Bitcoin on its balance sheet if you believe in the future of cryptocurrencies.
TSLA shares maintain an impressive 34.95% 10-year average annualized return.
Realty Income (O)
Realty Income Corporation, founded in 1969, is a prominent real estate investment trust (REIT) headquartered in San Diego, California. It’s renowned for its monthly dividend payments, earning the nickname “The Monthly Dividend Company.”
Realty Income specializes in commercial real estate, particularly retail and industrial properties, and offers stable income to investors through rental income.
Why Hold O Stock Forever?
Realty Income is one of the most consistent dividend paying stocks of all-time and gives income investors a simple and easy way to generate monthly dividend income.
While 2013 has been a down year for O shares, I think Realty Income is a safe bet for slow and steady dividend growth.
O shares maintain a 7.08% 10-year average annualized return.
McDonalds (MCD)
McDonald’s operates in over 100 countries, serving millions of customers daily.
Why Hold MCD Stock Forever?
You gotta eat, right? McDonalds operates more as a real estate company than restaurant chain and maintains one of the most recognizable brands in the world.
The Golden Arches company feeds billions of people annually and gives growth and income investors the best of both worlds with an impressive 94.5% quarterly earnings growth YoY and 2.35% annual dividend yield.
McDonalds plans to raise its franchise fees for the first tie in 30 years to 5%, which will provide even more future income to MCD shareholders.
MCD shares maintain an impressive 12.57% 10-year average annualized return.
Berkshire Hathaway (BRK-B)
Berkshire Hathaway, established in 1839 as a textile manufacturer before being transformed by Warren Buffett in 1965, is a multinational conglomerate based in Omaha, Nebraska. It’s renowned for its diverse portfolio of subsidiary companies, spanning industries like insurance, utilities, and consumer goods.
Berkshire Hathaway is known for its long-term value investing strategy and is one of the largest publicly-traded companies globally.
Why Hold BRK Stock Forever?
Warren Buffett and Charlie Munger heled Berkshire shareholders become wealthy over an impressive 50-year time frame and will go down in history as two of the greatest investors of all-time.
The company is organized to thrive many years after Buffett and Munger’s lifespan so it makes sense to HODL Berkshire shares for the long run.
BRK-B shares maintain an impressive 11.81% 10-year average annualized return.
Dominos Pizza (DPZ)
Domino’s Pizza is a prominent American pizza delivery and takeout chain founded in 1960. Headquartered in Ann Arbor, Michigan, it’s known for its quick delivery, online ordering system, and innovative menu items.
Domino’s has expanded globally, serving a wide range of pizzas and other fast-food options.
Why Hold DPZ Stock Forever?
Everyone loves pizza, right? Domino’s sells a simple to consume product that will always be in high demand.
DPZ shares maintain an impressive 19.81% 10-year average annualized return.
Proctor and Gamble (PG)
Procter & Gamble (P&G), founded in 1837, is a multinational consumer goods corporation based in Cincinnati, Ohio. It’s renowned for a vast portfolio of household brands such as Tide, Pampers, Gillette, and Crest.
P&G products are staples in homes worldwide, covering a wide spectrum of consumer needs.
Why Hold PG Stock Forever?
Proctor and Gamble is a classic consumer staples company with the ability to raise prices forever and retain customers.
PG shares maintain an impressive 8.62% 10-year average annualized return.
Johnson and Johnson
Johnson & Johnson is a global pharmaceutical and consumer goods conglomerate founded in 1886, headquartered in New Brunswick, New Jersey. It’s famous for its diverse range of healthcare products, including Band-Aid, Tylenol, and pharmaceuticals.
Johnson & Johnson’s commitment to healthcare innovation has earned it a trusted reputation.
Why Hold JNJ Stock Forever?
Healthcare companies will always be in demand and Johnson and Johnson has a long reputation for excellence and quality.
JNJ shares maintain an impressive 8.17% 10-year average annualized return.
Starbucks (SBUX)
Starbucks Corporation, established in 1971 in Seattle, Washington, is an internationally recognized coffeehouse chain.
Known for its premium coffee, espresso drinks, and cozy café ambiance, Starbucks has expanded globally, becoming a cultural icon for coffee lovers, offering a wide variety of beverages and snacks.
Why Hold SBUX Stock Forever?
Starbucks is an iconic brand that maintains a wide moat and the ability to raise prices over the long term without losing its customer base.
SBUX shares maintain an impressive 10.88% 10-year average annualized return.
Microsoft (MSFT)
Microsoft Corporation, founded in 1975 by Bill Gates and Paul Allen, is a technology giant headquartered in Redmond, Washington. It’s renowned for its software products, including the Windows operating system and Microsoft Office suite.
Microsoft is a leader in cloud computing with Azure and has a significant presence in hardware, gaming, and enterprise solutions. It plays a pivotal role in shaping the digital landscape globally.
Why Hold MSFT Stock Forever?
Microsoft maintains control of the lucrative software market with its Windows platform plus owns a stake in the innovative AI company, OpenAI. MSFT shares provide plenty of exposure to lots of different industries along with a steady dividend.
MSFT shares maintain an impressive 26.18% 10-year average annualized return.