In this article, we will discuss the 10 Best Stocks to Invest in for the Next 10 Years.
As per Lukas Brandl-Cheng, Investment Strategy Analyst at Vanguard Europe, the US equities were driven by healthy earnings growth and increasing P/E ratios in recent years. The analyst stated that, over the past decade, US equities posted ~14.8% annualised return, exceeding the global ex-US equities (7.0%) and euro area equities (7.8%). The market was concentrated in growth-oriented sectors, like technology, that aid elevated valuations. That said, while expansion in valuation and the technology sector attracted attention in the US, broad-based earnings growth (mainly because of revenue) dominated the US outperformance.
Small- and Mid-cap Are Attractive, Says Macquarie
Within the US equity market, Macquarie prefers quality companies throughout market capitalisations, even though valuation and policy tailwinds remain more pronounced in profitable small- and mid-cap stocks. The firm opines that these stocks remain attractive heading into 2025, considering the current valuations, earnings growth potential, anticipations of rate cuts by the US Fed, and an underweight position by several investors to this asset class. Mr. Trump’s policy agenda is expected to be particularly beneficial for the US small- and mid-cap equities.
READ ALSO: 7 Best Stocks to Buy For Long-Term and 8 Cheap Jim Cramer Stocks to Invest In.
Reaping the Benefits of AI Transformation
As per Lukas Brandl-Cheng, the higher market concentration in the US showcases that numerous large growth companies have been dominating the S&P 500 Index. Such companies have made advancements associated with AI, which resulted in propelling the US equity valuations to multi-decade highs. While the analyst believes that AI is expected to be positive for the broader economy, it also suggests that investors should not go overweight on technology stocks. However, there are expectations of tug-of-war between productivity improvements due to AI and higher fiscal deficits because of higher, age-related government spending to affirm the value of value-oriented stocks, including health care or financials.
If there is a broadening out of productivity improvements throughout the economy, the analyst anticipates profitability improvements across sectors, and value stocks might come into favour and surpass the equity market. On the other hand, if AI leads to disappointment, the growth projections reflected in the elevated valuations of technology stocks might become difficult to meet, while cheaper value-oriented stocks might encounter comparatively fewer headwinds.
As a result, the analyst suggests that a diversified exposure throughout global equity markets provides a reasonable positioning for either scenario, without the risk of not investing in the best-performing industries or regions of the future.
Amidst these trends, we will now have a look at the 10 Best Stocks to Invest in for the Next 10 Years.
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Our Methodology
To list the 10 Best Stocks to Invest in for the Next 10 Years, we conducted extensive research and sifted through several online rankings to shortlist the companies that are well-placed for the next 10 years. Next, we mentioned the hedge fund sentiments around each stock, as of Q4 2024. Finally, the stocks were arranged in ascending order of their hedge fund sentiments.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
10 Best Stocks to Invest in for the Next 10 Years
10. Enterprise Products Partners L.P. (NYSE:EPD)
Number of Hedge Fund Holders: 29
Enterprise Products Partners L.P. (NYSE:EPD) is engaged in providing midstream energy services to producers and consumers of natural gas, natural gas liquids (NGLs), crude oil, petrochemicals, and refined products. The company’s diversification is expected to support its long-term growth prospects. Instead of being an oil and gas company, Enterprise Products Partners L.P. (NYSE:EPD)’s diversification spanning across refined products and petrochemicals can support it against broader market fluctuations. The company continues to see significant opportunities for the next several years.
Enterprise Products Partners L.P. (NYSE:EPD) has ~$7.6 billion of major growth capital projects under construction. These projects are expected to go into service over the next 3 years. Substantially all of these projects are associated with its natural gas and NGL businesses serving the Permian Basin and related expansions to the downstream infrastructure to aid increasing domestic and international demand. Such projects are backed by long-term contracts and offer some visibility to continuing net income and cash flow per unit growth.
The global energy demand continues to shift towards natural gas and LNG as cleaner alternatives to oil and coal. Therefore, Enterprise Products Partners L.P. (NYSE:EPD) is well-positioned for growth over the next decade through pipeline expansions, LNG & NGL exports, energy transition investments, and petrochemicals.
9. Roblox Corporation (NYSE:RBLX)
Number of Hedge Fund Holders: 61
Roblox Corporation (NYSE:RBLX) operates an immersive platform for connection and communication. The company develops and operates Roblox, which is an online platform enabling users to share, create, and play games. Benchmark analyst Mike Hickey upped the company’s price target to $71 from $60, reaffirming a “Buy” rating. The analyst remains optimistic about the company’s long-term growth strategy, demonstrating that bookings growth can potentially surpass the growth in user and hour engagement. This is projected to be fueled by Roblox Corporation (NYSE:RBLX)’s ongoing monetization efforts. The company plans to support 10% of the global gaming content market, with continuing investments in its virtual economy, app performance, and AI-powered discovery and safety.
If the company succeeds in capturing this market size, it can see double-digit revenue growth on a sustainable basis, fueling strong returns over the upcoming decade. Additionally, Roblox Corporation (NYSE:RBLX)’s foray into advertising and e-commerce offers strong growth opportunities. The company’s partnership with Shopify to allow creators to sell physical merchandise within Roblox experiences can result in the development of a strong e-commerce ecosystem within the platform. Overall, Roblox Corporation (NYSE:RBLX)’s growth over the next decade is expected to be backed by AI usage for content creation, advertising, and enhancing monetization via in-game economies.
SaltLight Capital, an investment management company, released its Q3 2024 investor letter. Here is what the fund said:
“Roblox Corporation (NYSE:RBLX) has firmly established itself as the dominant player in user-generated gaming within Western markets. Meanwhile, Tencent has developed a similar ecosystem in China with its WeChat Mini-games platform. Owning both gives us a unique vantage point to assess the evolving landscape of user-generated gaming platforms globally.
At its recent investor day, Roblox set an ambitious target of reaching 10% of gaming content revenue, of which it estimates the total pool is around $180bn (for context, in the last twelve months, it made $4bn in bookings).
We think this will be a challenging target, but it will be positive for the business directionally. The reason is that Roblox has spent the last three years heavily investing in re-engineering its game platform to be high fidelity, performant and widely available across platforms. They also share economics with their creators to the point now that the absolute numbers in highly engaged games are enough to support a small game studio. The result is that the quality of games has materially improved, attracting additional engagement – particularly from older users…” (Click here to read the full text)
8. Take-Two Interactive Software, Inc. (NASDAQ:TTWO)
Number of Hedge Fund Holders: 67
Take-Two Interactive Software, Inc. (NASDAQ:TTWO) develops, publishes, and markets interactive entertainment solutions for consumers. UBS, via analyst Christopher Schoell, upped the company’s stock from “Neutral” to “Buy,” increasing the price objective from $170 to $230 per share. As per the analyst, the combination of increased demand for Grand Theft Auto VI and a grand pipeline to follow highlights that Take-Two Interactive Software, Inc. (NASDAQ:TTWO) is well-placed to achieve growth over the short and long term.
Even though the expectations for GTA VI are significantly high, there is potential for the game to surpass even the optimistic expectations. As we know, the Grand Theft Auto franchise possesses a history of breaking sales records and making new benchmarks for the industry. Take-Two Interactive Software, Inc. (NASDAQ:TTWO)’s tactic of rolling out games from the current franchises is expected to support its stock over the next 10 years or so. That’s because it reduces the risk of lower sales, since the current franchises have a strong fan base, and there are expectations that they will also buy the latest release.
The demand for Grand Theft Auto VI is so strong that many gamers have started to plan to cut purchases of other games. UBS stated that 70% of gamers in its study are expected to follow this strategy. Therefore, Take-Two Interactive Software, Inc. (NASDAQ:TTWO)’s tactic is well-proven and can help it deliver strong returns over the next decade. In its Q3 2025 earnings call, the company highlighted that GTA V crossed 3 console generations and still remains the best-selling title. GTA Online, now more than 10 years old, still has strong ongoing engagement. To date (as at Q3 2025), GTA V has sold in more than 210 million units worldwide.
