In the current environment, finding stocks to invest in for the long-term is one of the best ways you can spend your time. Most of your portfolio should stay put in these stocks, and over time, these stocks can deliver tremendous gains. Sure, there are ETFs, which are essential for most investors who don’t know how to read the market. Yet, many investors also struggle to beat the market by focusing solely on ETFs and very safe stocks.
In my opinion, sacrificing some near-term stability is very much worth the risk, particularly for those focused on time-tested businesses. Additionally, it’s my view that creating a portfolio of strong dividend-paying businesses can outperform the market significantly over the long-term.
With that said, let’s look at the three long-term stocks to invest in right now.
Apple (AAPL)
Apple (NASDAQ:AAPL) is a major holding in the portfolios of most large hedge funds on Wall Street. That’s because AAPL stock is historically among the most solid long-term equities to own, and arguably the best option in the FAANG group.
Apple’s consistent growth, high margins, and strong consumer loyalty highlight its indestructible moat and enduring product appeal. Apple’s closed-loop ecosystem offers seamlessly integrated, user-friendly products within the company’s complete control. Indeed, Apple’s consistency makes it a safe long-term stock.
In addition, the younger generation overwhelmingly prefers Apple products. This trend is projected to drive Apple’s growth, with revenue and earnings per share expected to double by 2031. Recently, AAPL stock dropped about 8.5% from its peak due to a cooling tech rally. I believe this dip presents an excellent opportunity to snap up this long-term gem.
Berkshire Hathaway (BRK.A, BRK.B)
Berkshire Hathaway (NYSE:BRK.A, NYSE:BRK.B) is another no-brainer option for long-term investors. Warren Buffett is widely considered to be one of the greeters investors of all time, meaning investors have an opportunity to ride the coattails of the Oracle of Omaha by owning his stock. His five largest holdings (as of the latest SEC filings) include aforementioned Apple, Bank of America (NYSE:BAC), Occidental Petroleum (NYSE:OXY), Coca-Cola (NYSE:KO), and Chevron (NYSE:CVX).
These holdings have consistently outperformed the market, especially during the most recent elongated bull market. As of writing, the Berkshire’s five-year gain stood at ~77%, significantly higher than the S&P 500’s 59%. Additionally, Berkshire Hathaway holds a substantial cash reserve of over $147 billion, which is great for those uncertain about the future. If things take a turn for the worse, Berkshire’s ability to invest in value stocks posits well for the long-term investors.
Flowers Foods (FLO)
Flowers Foods (NYSE:FLO) is a personal favorite of mine. It might look out of place amidst the previously-mentioned behemoths, but the stock is unlikely to disappoint in the long run. It is a consumer staples company that sells baked foods. It’s also the second-largest U.S. packaged bakery foods producer, also holding subsidiary brands in Europe within its portfolio.
As I write this article, FLO stock is currently seeing some volatility. Indeed, FLO stock has deviated from its long-term upward trajectory due to weaker-than-expected growth. However, I believe this temporary situation provides a great opportunity for patient investors to snap up one of the most consistent long-term stocks to invest in.
Currently, FLO stock offers a 3.7% forward dividend yield, boasting 21 consecutive years of dividend growth. It is currently changing hands below $25 per share, which is really compelling in my view.
On the date of publication, Omor Ibne Ehsan did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
