5 Stocks That Could 10X Over the Next 10 Years

In this article, we will be taking a look at 5 stocks that could 10x over the next 10 years. To read our detailed analysis of current market dynamics, you can go directly to see the 10 Stocks That Could 10X Over the Next 10 Years.

5. UiPath Inc. (NYSE:PATH)

Number of Hedge Fund Holders: 28

UiPath Inc. (NYSE:PATH) is a systems software company providing an end-to-end automation platform. It is based in New York.

Wells Fargo’s Michael Turrin holds an Equal Weight rating and a $20 price target on UiPath Inc. (NYSE:PATH) as of June 9.

Our hedge fund data for the second quarter shows 28 hedge funds long UiPath Inc. (NYSE:PATH), with a total stake value of $1.3 billion.

4. Snap Inc. (NYSE:SNAP)

Number of Hedge Fund Holders: 29

Stephen Ju at Credit Suisse maintains an Outperform rating and a $15 price target on Snap Inc. (NYSE:SNAP) as of July 26.

Snap Inc. (NYSE:SNAP) is a communication services company based in Santa Monica, California. It operates a visual messaging application named Snapchat.

Snap Inc. (NYSE:SNAP) had 29 hedge funds long its stock in the second quarter, with a total stake value of $1.5 billion.

3. StoneCo Ltd. (NASDAQ:STNE)

Number of Hedge Fund Holders: 35

We saw 35 hedge funds long StoneCo Ltd. (NASDAQ:STNE) in the second quarter. Their total stake value was $871.2 million.

StoneCo Ltd. (NASDAQ:STNE) is a financial company providing financial tech and software solutions. It is based in George Town, Cayman Islands.

A Buy rating and an $18 price target were maintained on StoneCo Ltd. (NASDAQ:STNE) on August 24 by Gabriel Gusan at Citigroup.

Nordstern Capital made the following comments about StoneCo Ltd. (NASDAQ:STNE) in its first-quarter 2023 investor letter:

“StoneCo Ltd. (NASDAQ:STNE): (STNE, share price increased + 1% in 1Q 2023)

The card association in Brazil have indicated that the industry should grow between 14% and 18% this year. And we expect to continue to gain market share.” – Thiago dos Santos Piao, Director and former CEO StoneCo Ltd

STNE’s transformation is progressing well. New key personnel have joined, the board and management have strengthened. Cash flows are growing, margins are increasing, the client base and market share keep expanding. The company is all set to restart its lending business in the second half of 2023.

In our view, despite all the changes, STNE still offers best-in-class service coupled with lower pricing than the industry and continues to drive high customer satisfaction…” (Click here to read the full text)

2. Block, Inc. (NYSE:SQ)

Number of Hedge Fund Holders: 66

RBC Capital’s Daniel Perlin reiterated an Outperform rating and a $90 price target on Block, Inc. (NYSE:SQ) on August 29.

In total, 66 hedge funds were long Block, Inc. (NYSE:SQ) in the second quarter, with a total stake value of $3.8 billion.

Block, Inc. (NYSE:SQ) is a financial company that creates tools enabling sellers to accept card payments, among more. It is based in San Francisco, California.

1. Meta Platforms, Inc. (NASDAQ:META)

Number of Hedge Fund Holders: 225

There were 225 hedge funds long Meta Platforms, Inc. (NASDAQ:META) in the second quarter. Their total stake value was $30.9 billion.

Ygal Arounian initiated coverage on Meta Platforms, Inc. (NASDAQ:META) with an Outperform rating and a $350 price target on August 22.

Meta Platforms, Inc. (NASDAQ:META) is a communication services company. It is a big tech corporation and the company behind popular social media applications like Facebook and Instagram.

Giverny Capital Asset Management, LLC mentioned Meta Platforms, Inc. (NASDAQ:META) in its second-quarter 2023 investor letter:

“I have believed for a while that we’re better served with a lower weight to the tech giants – we own Alphabet (8.1% of our model portfolio at the end of June) and Meta Platforms, Inc. (NASDAQ:META) (5.2%) for a 13.3% exposure, or about half the Index’s weight in the giants. And while Alphabet’s 36% return for the first half and Meta’s 138% return were gratefully received, I’m pleased to report that if we strip out that contribution to our overall return, the other 23 stocks we own, constituting 85% of our portfolio (with cash making up the balance), were up 10.2% on a weighted basis.

GCAM owns two of the seven tech mega caps in Alphabet and Meta, and they enjoyed similar rises. As mentioned, Alphabet A&C shares rose 36% while Meta rose 138%. Together, they added 2.38 percentage points to the overall Index return, meaning these seven tech giants cumulatively generated 12.4 percentage points of return, or roughly three-quarters of the Index’s return.

Alphabet and Meta combined sport a $2.25 trillion market cap and between them should generate roughly $120 billion of pretax profit this year. That’s a multiple of 19 times pretax profit, a substantial discount to Microsoft and Apple, and an even larger discount to Amazon, Nvidia and Tesla.”

See also Wall Street Analysts See Upside Potential for 10 Stocks and 12 Small-Cap Stocks With Highest Upside Potential.