12 Safe Stocks to Buy for the Long Term in 2025

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1. Microsoft Corporation (NASDAQ:MSFT)

Number of Hedge Fund Holders: 279

Microsoft Corporation (NASDAQ:MSFT) is a Washington-based technology company. This company is a great investment prospect due to numerous factors. For example, the company’s commitment to rewarding investors is reflected in the report for the fourth quarter of 2024, as it returned $8.4 billion to shareholders in the form of share repurchases and dividends. Notably, the company has surpassed the sector median of 1.7 years by 1,091% in 20 consecutive years of dividend increases, showing impressive performance in dividend growth. The company has maintained 20 consecutive years of dividend payments, outperforming the sector median of 11.3 years by 76%, demonstrating the company’s strong financial portfolio and long-term commitment to shareholders. Moreover, the company, with Azure AI, is building out the app server for the AI age, providing access to the most diverse selection of models to meet customers’ unique cost, latency, and design considerations.

While we acknowledge the potential of Microsoft Corporation (NASDAQ:MSFT) as an investment, our conviction lies in the belief that some stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for a stock that is more promising than Microsoft Corporation (NASDAQ:MSFT) but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap

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