Best Stocks for Long-Term Growth and Stability

Explore top long-term stocks like Boeing, Netflix, Disney, and FedEx, ideal for stable growth over a 15-year horizon. Learn key traits of successful investments, market insights, and how these companies continue to thrive. Perfect for long-term investors seeking stability and significant returns.

Best Stocks for Long-Term Growth and Stability

Investing with a long-term mindset is a proven method to build wealth through stock markets. The key is determining your investment horizon—considering a period of around 15 years allows for meaningful growth. For instance, putting $20,000 into stocks in 2017 with an average annual return of 12% could grow to roughly $109,000. Selecting strong stocks is essential for investors seeking consistent growth and stability over time.

However, not all stocks are suitable for prolonged holding. The most promising stocks typically possess six qualities: offering sustainable products or services, avoiding fads, having adaptable leadership, demonstrating solid finances, operating in a competitive but manageable environment, and maintaining a strategic vision with cautious innovation. Though rare, finding companies with these traits can lead to successful long-term investments.

Here are some of the top stocks recommended for long-term growth:

Boeing

As a key player in aircraft manufacturing, Boeing (ticker BA) has a reputation for durability. The company took seven years to launch its first 787 Dreamliner, which boasts an 8,300 nautical mile range and 20% fuel savings. With over 10,000 units sold since 1965 and an annual shipment of 500 aircraft, Boeing remains resilient. Despite past production challenges, the company’s focus on innovation and steady demand, along with a stable P/E ratio of 15, make it a favored choice for investors aiming for long-term gains. Airbus is its main competitor.

Washington REIT

Founded in 1960, Washington Real Estate Investment Trust (ticker WRE) manages diverse properties including apartments, healthcare facilities, offices, and 54 shopping centers in the Washington D.C. region. As a REIT, it distributes at least 95% of its profits as dividends, avoiding corporate taxes. During the 2008 financial crisis, WRE's stock declined only 4.4%, outperforming the overall market. With a 15-year annualized return of 7.5% and a current dividend yield of 4.4%, it remains a stable long-term investment.

Netflix

Since its 2003 IPO, Netflix (ticker NFLX) has grown 40 times over, driven by original hits like “Stranger Things” and “House of Cards.” Now with 48 million paying subscribers—up 35% in a year—Netflix continues expanding globally. Its growth potential makes it an attractive stock for long-term investment.

Walt Disney Company

Home to classic characters like Mickey Mouse and Cinderella, Disney (ticker DIS) also boasts a broad distribution network including ABC, ESPN, cruise lines, music, gaming, and theme parks. Despite its large market cap of $150 billion, Disney maintains a strong balance sheet with an A++ rating, making it a reliable choice for long-term growth.

Whole Foods Market

Famous for its customer focus, Whole Foods Market (ticker WFM) has achieved an average annual return of 14.7% over 15 years. Revenues increased from $8 billion in 2009 to $16 billion in 2015. Despite a decline of more than 40% since 2013, it presents a potential buying opportunity for patient long-term investors.

FedEx

With the boom in e-commerce, FedEx (ticker FDX) is positioned for continued growth. Its technological innovations in shipping and tracking give it a competitive edge. As online shopping expands, FedEx remains a top stock for the future.