logo
5 Monster Stocks to Hold for the Next 10 Years

5 Monster Stocks to Hold for the Next 10 Years

Globe and Mail7 hours ago

With the stock market settling in after a volatile period, now is a good time to start looking at some leading growth stocks that have strong potential over the next decade.
Here are five growth stocks across industries that investors can look to hold for the long term.
1. Taiwan Semiconductor Manufacturing
Taiwan Semiconductor Manufacturing (NYSE: TSM) is one of the most critical players in the artificial intelligence (AI) boom. As the world's leading contract chip manufacturer, TSMC manufactures the advanced semiconductors powering a range of products from AI infrastructure to smartphones and automotive tech.
Producing these chips isn't easy, as it requires leading-edge technology, precision manufacturing, and scale. Few companies in the world have the capabilities or the track record that TSMC does, and with competitors struggling, it has also garnered strong pricing power.
As such, the company has become the go-to partner for top chip designers, thanks to its leadership in advanced nodes and packaging. Advanced nodes refer to manufacturing processes that allow more transistors to be packed onto a chip, which in turn boosts performance and power efficiency.
Meanwhile, demand for high-performance computing, including AI chips, has exploded. With AI workloads growing, TSMC is expanding capacity alongside key customers to meet future demand.
Despite its pivotal role in the AI supply chain, TSMC's stock still looks reasonably valued. For long-term investors looking to benefit from the continued growth in AI infrastructure and semiconductors in general, TSMC is a great stock to hold.
2. Pinterest
Pinterest (NYSE: PINS) has undergone a quiet but powerful transformation under CEO Bill Ready. Over the past three years, the company has invested heavily in technology to turn its massive user base, which now sits at more than 570 million monthly active users worldwide, into a growth engine. Pinterest is no longer just an online vision board; it's become a shoppable platform with growing ad conversion capabilities.
One of the big drivers behind Pinterest's transformation has been its embrace of AI. The company built a multimodal model trained on both images and text to better understand what users are looking for. This powers personalized recommendations, while a visual search feature makes it easier for users to find and shop for products they see in pinned images. On the backend, meanwhile, its Performance+ platform is giving advertisers the tools to run better campaigns.
The results speak for themselves. Last quarter, Pinterest's revenue jumped 16%. Average revenue per user (ARPU) climbed across all regions, especially outside the U.S., where Pinterest is starting to better monetize users in emerging markets through the help of a partnership with Google.
Pinterest's stock still looks attractively valued, and the company is just scratching the surface of monetizing its user base. With AI-powered tools and a more shoppable platform, Pinterest has solid long-term investment potential.
3. Dutch Bros
Dutch Bros (NYSE: BROS) is shaping up to be one of the most compelling expansion stories in the restaurant space. With just over 1,000 locations across 18 states, the company believes it can more than double its footprint to 2,029 shops by 2029, and it sees the opportunity to eventually support 7,000 coffee shops nationwide.
Meanwhile, its small, drive-thru-focused shops are inexpensive to build, have attractive unit economics, and offer fast payback periods.
What makes the story even more attractive, though, is that Dutch Bros is only now starting to unlock other key growth levers. Mobile ordering, for example, is still early but gaining traction, accounting for only 11% of transactions last quarter. Mobile ordering also feeds into its loyalty program, allowing it to personalize its marketing and promotions.
The company is also leaning into food, testing hot items to drive breakfast sales at a few select locations. Food currently makes up less than 2% of sales, compared to nearly 20% at Starbucks, so there's real upside here. With more menu expansion and store openings on the way, Dutch Bros looks like a long-term winner.
4. Philip Morris International
Philip Morris International (NYSE: PM) is a growth stock in a defensive industry. While many tobacco companies are struggling with declining cigarette volumes in the U.S., Philip Morris doesn't have to worry about that because it doesn't sell cigarettes domestically. Instead, its growth is being driven by its smokeless portfolio, led by Zyn and Iqos, both of which have better unit economics than traditional cigarettes.
Zyn, its fast-growing nicotine pouch, has been its biggest growth driver, as evidenced by U.S. shipment volumes jumping 53% in Q1.
Meanwhile, Iqos, its premium heated tobacco product, continues to gain traction in Europe and Japan, with early success in new markets like Mexico City, Jakarta, and Seoul. In addition, after buying back its U.S. rights from Altria, the U.S. has the potential to be its next big growth driver. At the same time, its traditional cigarette business remains stable overseas, helped by strong pricing power and steady demand.
With strong pricing power, local manufacturing that limits tariff exposure, and growing demand for Zyn and Iqos, Philip Morris looks well positioned to keep delivering strong growth in the future.
5. Eli Lilly
Eli Lilly (NYSE: LLY) has emerged as a leader in the booming GLP-1 drug space, with surging demand continuing to drive strong revenue growth. Last quarter, its two key GLP-1 drugs -- Mounjaro and Zepbound -- generated a combined $6.1 billion in revenue, up sharply year over year. While Zepbound is officially approved by the Food and Drug Administration (FDA) for weight loss in obese adults or overweight adults with at least one weight-related condition, and Mounjaro is approved to help adults with type 2 diabetes, the reality is that the growth of these drugs is being driven by their being prescribed off-label for weight loss.
However, the drug that could be the biggest game changer for Lilly is still on its way. Orforglipron, its first oral GLP-1 drug candidate, recently demonstrated in a phase 3 trial that patients who took the drug lost considerable weight. As an oral medication, it is a much more convenient alternative to injectable GLP-1 drugs, making it especially appealing to patients who are wary of needles.
Orforglipron is also easier to manufacture and distribute than injectable drugs, as it doesn't require cold storage or injection pens. This should help Lilly avoid the supply constraints it saw with its injectable GLP-1 portfolio. With orforglipron looking like it has the potential to be the most potent oral GLP-1 weight loss drug on the market, Lilly is well positioned for continued future growth.
Should you invest $1,000 in Taiwan Semiconductor Manufacturing right now?
Before you buy stock in Taiwan Semiconductor Manufacturing, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Taiwan Semiconductor Manufacturing wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $669,517!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $868,615!*
Now, it's worth noting Stock Advisor 's total average return is792% — a market-crushing outperformance compared to173%for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor.
See the 10 stocks »
*Stock Advisor returns as of June 2, 2025
Geoffrey Seiler has positions in Philip Morris International and Pinterest. The Motley Fool has positions in and recommends Pinterest and Taiwan Semiconductor Manufacturing. The Motley Fool recommends Dutch Bros and Philip Morris International. The Motley Fool has a disclosure policy.

Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

CrowdStrike Stock Rises 52% in 3 Months: Time to Hold or Book Profits?
CrowdStrike Stock Rises 52% in 3 Months: Time to Hold or Book Profits?

Globe and Mail

time22 minutes ago

  • Globe and Mail

CrowdStrike Stock Rises 52% in 3 Months: Time to Hold or Book Profits?

CrowdStrike Holdings CRWD shares have soared 51.7% over the past three months, outperforming the Zacks Security industry's 23.5% growth. The stock has also exceeded the returns of other industry peers, including CyberArk Software CYBR, Palo Alto Networks PANW and Check Point Software CHKP. In the past three months, shares of CyberArk, Palo Alto Networks and Check Point Software have gained 29.1%, 14.8% and 3.6%, respectively. CrowdStrike has been benefiting from strong enterprise demand for artificial intelligence (AI)-native cybersecurity solutions, platform consolidation, and rapid adoption of its Falcon Flex model, as organizations modernize security operations in an increasingly AI-driven threat landscape. However, the stock's sharp rise in the past three months raises the question: Does the stock still have upside potential left and is it worth holding or is it time to book profits? Let's see. 3 Month Price Return Performance AI Integration Helps CRWD Scale Subscription Revenues CrowdStrike's subscription business model is driving its overall top-line performance. The company's quarterly revenues crossed the $1 billion mark for the third consecutive time during the first quarter of fiscal 2026 and marked a year-over-year improvement of nearly 21%. was partly achieved due to the Falcon Flex Subscription Model, which allows customers to commit upfront and later choose modules, eliminating procurement friction. CrowdStrike's subscription customers, who adopted six or more cloud modules, represented 48% of the total subscription customers at the end of the first quarter. Those with seven or more cloud modules accounted for 32%, and those with eight or more cloud modules represented 22% as of April 30, 2025. CRWD's Falcon platform is gaining popularity as an 'AI-native SOC,' with strong adoption in Charlotte AI Agentic Detection Triage, Workflows and Response. CrowdStrike is partnering with other AI companies to expand its capabilities. CrowdStrike integrated its Falcon cybersecurity platform into NVIDIA's Enterprise AI Factory to enable enterprises to secure their AI systems, covering data ingestion, model training, and deployment. The company also collaborated with Microsoft to standardize cyber threat attribution across vendors. New introductions, including AI Model Scanning and AI Security Dashboard by CRWD, along with its strong partnerships, will likely help the company gain more customers. Falcon Flex: A Game-Changer Solution for CrowdStrike A significant driver of CrowdStrike's customer growth is the Falcon Flex subscription model, which simplifies security adoption by offering modular, scalable cybersecurity solutions. This flexibility encourages long-term commitments, ensuring steady revenue growth and deep customer integration. The company ended the first quarter with $4.44 billion in ARR, up 22% on a year-over-year basis. The robust growth in Falcon Flex's customer adoption and deal value is driving CrowdStrike's total ARR. During the first quarter of fiscal 2026, CrowdStrike added $774 million of total Falcon Flex account value, bringing the total deal value of accounts that have adopted Falcon Flex to $3.2 billion. At the end of the first quarter, more than 820 customer accounts have adopted the Falcon Flex model. CrowdStrike achieved the $3.2 billion deal value milestone within two years since its launch, and represents a robust growth of 31% sequentially and more than six times year over year. In addition to strong module adoption rates, CrowdStrike is securing major platform expansion deals through Falcon Flex. A Fortune 100 technology company expanded its relationship with CrowdStrike from a $12 million EDR (endpoint detection and response) deal into a $100 million-plus, five-year Falcon Flex agreement, covering cloud, identity, Next-Gen SIEM, and endpoint protection. Also, GuidePoint Security became CrowdStrike's fifth partner to surpass $1 billion in total deal value mark, joining AWS, Optiv, CDW, and SHI, reinforcing the strength of its ecosystem-driven growth. A large healthcare provider signed an 8-figure Falcon Flex expansion centered on Charlotte AI and CrowdStrike's Next-Gen SIEM, supporting the customer's full transformation to an AI-native SOC. As Flex gains further traction, CrowdStrike appears well-positioned to achieve its longer-term goal of $10 billion in ARR. If current trends hold, Falcon Flex may well be the game-changer that redefines the company's revenue growth trajectory CrowdStrike's Rising Expenses Weigh on Profitability To survive in the highly competitive cybersecurity market, each player must continuously invest in broadening its capabilities. Over the past few years, CrowdStrike has invested heavily to enhance its sales and marketing (S&M) capabilities, particularly by increasing the sales force. As a result, its sales and marketing expenses flared up nearly ninefold to $1.52 billion in fiscal 2025 from $173 million in fiscal 2019. Additionally, investment in research & development (R&D) is a top priority for CrowdStrike. Over the last six fiscals, the company has increased its R&D expenses 12-fold to improve the design, architecture, operation and quality of its cloud platform. In the first quarter of fiscal 2026, S&M and R&D expenses soared 25.5% and 34.7%, respectively, year over year. Though the firm foresees these investments to garner benefits over the long run, higher expenses are weighing on the company's bottom-line results. First-quarter non-GAAP earnings declined 7.6% year over year to 73 cents per share. Increasing costs are likely to continue impacting CrowdStrike's bottom-line performance in the near term, as reflected in the Zacks Consensus Estimate.(Find the latest EPS estimates and surprises on Zacks Earnings Calendar.) Image Source: Zacks Investment Research CrowdStrike Trades at a Premium Valuation CrowdStrike is currently trading at a high price-to-sales (P/S) multiple, far above the Zacks Security industry. CrowdStrike's forward 12-month P/S ratio sits at 22.60X, significantly higher than the Zacks Security industry's forward 12-month P/S ratio of 14.78X. Forward 12 Month P/S Ratio Image Source: Zacks Investment Research CRWD stock also trades at a higher P/S multiple compared with other industry peers, including CyberArk, Palo Alto Networks and Check Point Software. At present, CyberArk, Palo Alto Networks and Check Point Software have P/S multiples of 13.96X, 12.94X and 9.25X, respectively. Conclusion: Hold CrowdStrike Stock Now As businesses continue prioritizing AI-driven cybersecurity solutions, CrowdStrike's leadership in threat prevention, response and recovery will only strengthen. However, shrinking profits and premium valuation warrant a cautious approach to the stock. So, it is prudent for existing investors to remain invested, while new investors should wait for a better entry point. CrowdStrike currently has a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Zacks Names #1 Semiconductor Stock It's only 1/9,000th the size of NVIDIA which skyrocketed more than +800% since we recommended it. NVIDIA is still strong, but our new top chip stock has much more room to boom. With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $803 billion by 2028. See This Stock Now for Free >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Check Point Software Technologies Ltd. (CHKP): Free Stock Analysis Report Palo Alto Networks, Inc. (PANW): Free Stock Analysis Report CyberArk Software Ltd. (CYBR): Free Stock Analysis Report CrowdStrike (CRWD): Free Stock Analysis Report

This ETF Gives You an Easy Way to Invest in Top Canadian Growth Stocks
This ETF Gives You an Easy Way to Invest in Top Canadian Growth Stocks

Globe and Mail

time23 minutes ago

  • Globe and Mail

This ETF Gives You an Easy Way to Invest in Top Canadian Growth Stocks

Do you want to invest in some of the best Canadian growth stocks but don't know how to decide? You may want to consider investing in the iShares Canadian Growth Index ETF (TSX:XCG). Through this exchange-traded fund (ETF), you'll get exposure to some of the best growth stocks in Canada, including Shopify (TSX:SHOP)(NASDAQ:SHOP), Dollarama (TSX:DOL), and Alimentation Couche-Tard (TSX:ATD). These are all among the ETF's top 10 holdings. Unlike many other growth-focused ETFs, tech isn't the top sector in this fund. Instead, industrials make up the largest position at 31% of the ETF's total, followed by tech at 21%, and financials at 10%. There are 35 holdings in this fund which means it isn't as diverse as other ETFs, but that's not necessarily a bad thing. In ETFs that contain thousands of stocks, that amounts to a very small position in the vast majority of stocks. With this ETF, however, most stocks account for at least 1% of the fund's total weight, which means you can benefit more from their growth and rising value more than you would in a larger and much broader ETF. The fund charges an expense ratio of 0.55%, which is comparable to other funds. It also yields around 0.5%, which isn't a whole lot, but this is an ETF that's primarily going to appeal to growth rather than dividend investors anyway. Since the start of year, the ETF has risen by more than 6% and over the past five years, it has increased by nearly 60% in value. If you're a growth investor, this is a fund you'll want to consider holding in your portfolio.

INTC Plunges 35% in the Past Year: Should You Dump the Stock?
INTC Plunges 35% in the Past Year: Should You Dump the Stock?

Globe and Mail

time38 minutes ago

  • Globe and Mail

INTC Plunges 35% in the Past Year: Should You Dump the Stock?

Intel Corporation INTC has plunged 35.1% over the past year against the industry 's growth of 12.3%, lagging its peers Advanced Micro Devices, Inc. AMD and NVIDIA Corporation NVDA. While NVIDIA stock is up 16.4%, Advanced Micro has declined 27.5% over this period. Much of Intel's underperformance is attributable to the severe financial difficulties and operational challenges as it plays a catch-up game with its rivals. One-Year INTC Stock Price Performance INTC Slow Off the Blocks? While most of the competitors evolved with the changing demand patterns, Intel fell behind others as it hung on to its legacy products. For example, despite making significant inroads in AI (artificial intelligence) chips, Intel lagged NVIDIA on the innovation front with the latter's H100 and Blackwell graphics processing units (GPUs) being runaway successes. This offered a competitive advantage to NVIDIA, with leading technology companies reportedly piling up NVIDIA's GPUs to build clusters of computers for their AI work. Moreover, Intel has been facing challenges due to the disruptive rise of over-the-top service providers in this dynamic industry. Price-sensitive competition for customer retention in the core business is expected to intensify in the coming days. Aggressive competition is likely to limit the ability to attract and retain customers and affect operating and financial results. Bitter US-China Trade Ties Continue to Hurt INTC An accelerated ramp-up of AI PCs has significantly affected Intel's short-term margins, as it shifted production to its high-volume facility in Ireland, where wafer costs are typically higher. Margins were also adversely impacted by higher charges related to non-core businesses, charges associated with unused capacity and an unfavorable product mix. Competitive pricing pressure from rivals has further dented its profitability. China accounted for more than 29% of Intel's total revenues in 2024, making it the single largest market for the company. However, the communist nation's purported move to replace U.S.-made chips with domestic alternatives significantly affected INTC's revenue prospects. The directive to phase out foreign chips from key telecom networks by 2027 underscores Beijing's accelerating efforts to reduce reliance on Western technology amid escalating U.S.-China trade and tariff tensions. As Washington tightens restrictions on high-tech exports to China, Beijing has intensified its push for self-sufficiency in critical industries. This shift poses a dual challenge for Intel, as it faces potential market restrictions and increased competition from domestic chipmakers. In addition, weaker spending across consumer and enterprise markets, especially in China, resulted in elevated customer inventory levels. Estimate Revision Trend for INTC Earnings estimates for Intel for 2025 have moved down 40.8% to 29 cents over the past year, while the same for 2026 has declined 31.2% to 77 cents. The negative estimate revision depicts bearish sentiments for the stock. INTC Realigning Manufacturing Strategy Intel is investing to expand its manufacturing capacity to accelerate its IDM 2.0 (Integrated Device Manufacturing) strategy. Interim management is committed to keeping the core strategy unchanged despite efforts to drive operational efficiency and agility. The company is emphasizing the diligent execution of operational goals to establish itself as a leading foundry. Its latest Xeon 6 processors with Performance-cores (P-Cores) can support large AI workloads across diverse sectors. With industry-leading capabilities in AI processing, the Xeon 6 family delivers the industry's best CPU for AI at a lower total cost of ownership. Intel's innovative AI solutions are set to benefit the broader semiconductor ecosystem by driving down costs, improving performance and fostering an open, scalable AI environment. The company has received $7.86 billion in direct funding from the U.S. Department of Commerce for its commercial semiconductor manufacturing projects under the U.S. CHIPS and Science Act. The funds will support Intel in advancing critical semiconductor manufacturing and advanced packaging projects in Arizona, New Mexico, Ohio and Oregon, likely paving the way for innovation and growth. Intel remains on track with its 5N4Y (five nodes in four years) program to regain transistor performance and power performance leadership by 2025. Intel Xeon platforms have reportedly set the benchmark in 5G cloud-native core with substantial performance and power-efficiency improvements, additional power-saving capabilities and easy-to-deploy software. This has triggered healthy demand trends from major telecom equipment manufacturers and independent software vendors to optimize and unleash proven power savings for a more sustainable future. End Note Intel's innovative AI solutions hold immense promise for the broader semiconductor ecosystem. By addressing the challenges of scalability, performance and interoperability, it is paving the way for widespread AI adoption across enterprises worldwide. Management is focusing on simplifying parts of its portfolio to unlock efficiencies and create value. However, the recent product launches appear 'too little, too late' for Intel. In addition, margin woes amid strict export restrictions, unfavorable product mix and elevated customer inventory levels weigh on its bottom line. Declining earnings estimates remain an overhang. With a Zacks Rank #3 (Hold), Intel appears to be treading in the middle of the road, and investors could be better off if they exercise caution and stay invested for long-term gains. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Zacks Names #1 Semiconductor Stock It's only 1/9,000th the size of NVIDIA which skyrocketed more than +800% since we recommended it. NVIDIA is still strong, but our new top chip stock has much more room to boom. With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $803 billion by 2028. See This Stock Now for Free >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Intel Corporation (INTC): Free Stock Analysis Report NVIDIA Corporation (NVDA): Free Stock Analysis Report

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into the world of global news and events? Download our app today from your preferred app store and start exploring.
app-storeplay-store