The United States economy added 187,000 new jobs last month, and this is accompanied by an unexpected rise in the unemployment rate to 3.8% . This in turn raises the odds for the soft landing that the Federal Reserve wanted. In addition, labor force participation increased and earnings growth slowed. This shows a positive outlook for the Federal Reserve goals and the health of the economy as a whole. All of this has lead us to our list of the best long-term stocks to buy right now.
President Joe Biden spoke in Philadelphia on Labor Day to update the general public on his “bidenomics: economic plan for American workers. To a surprise to many analysts, President Biden remarked that inflation is “near its lowest point in over two years.” All of this positive news is beneficial to the overall stock market and to investors in particular. The possibility of a recession and any negative effects is getting more distant as news comes in, making it a worthwhile time for investors to buy in on the three best long-term stocks for September.
Apple Incorporated (AAPL)
Apple Incorporated (NASDAQ:AAPL) is a leading technology company, known for its innovative hardware and software interfaces. Hovering around $190.00, AAPL stock is up 51.48% year-to-date. Furthermore, Yahoo! Finance reports analysts have a mean one-year target price of $200.68, with the range being from $149.00 to $240.00.
Apple has continued its trend of consistent growth; for Q3 2023. It posted a diluted EPS of $1.26, which grew 5% YoY and beat projections by $0.07. Its revenue of $81.08 billion, though missing estimates by $-3.35 million, presents no concern in the long term. Its total comprehensive income of $19,826 million grew 19% YoY. Moreover, its total liabilities of $274,764 million saw a 9% YoY decrease. This is paving the way for future growth.
On September 12, Apple is planning on hosting its annual press event where it is rumored a plethora of new products will be unveiled. Among these unreleased products stands the highly-anticipated iPhone 15, a product that has the potential to be a massive growth catalyst for Apple. Historically, the quarter following the release of new iPhones always proves to be lucrative with its respective revenue exceeding $100,000 million in the past few years. Given this consistency, a similar effect can be expected in the upcoming week.
Apple has positioned itself in a market designed for future growth. The consumer electronics market is expected to grow $531 billion by 2033 with a CAGR of 5.2%. This trend, along with Apple’s reputable history of growth, makes it a great long-term pick that will boost your portfolio for years to come.
Snowflake (NYSE:SNOW) allows corporate users to analyze data using cloud-based hardware and software. SNOW stock is up 15.93% YTD. Yahoo! Finance reports 38 analysts with a mean 1-year price target of $198.97, spanning from $105.00 to $600.00, and a majority of these analysts have rated SNOW stock as a buy.
Snowflake reported excellent earnings. Revenue of $674.02 million increased 35.55% YoY. EPS of $0.22 beat expectations by 103.93%, and net income of -$226.87 million decreased by 1.82% YoY.
In particular, Snowflake recently acquired Neeva, a search company centered around leveraging generative AI. Neeva allows Snowflake to step into cutting-edge search technology. It does so by working with team members who created products such as Google’s search advertising and YouTube monetization. This bolsters growth for Snowflake on search in the Data Cloud using AI, and the company further expanded its partnership with Microsoft. The partnership will consist of focusing on new product integrations with Microsoft’s Azure OpenAI, significantly elevating field collaboration to benefit joint customers. Allowing Snowflake customers to easily and securely leverage Azure OpenAI and Microsoft Cognitive Services with Snowflake data is a strong and beneficial catalyst for long-term growth for this company. Snowflake has also partnered with NVIDIA. The pair will make it more convenient and efficient to build generative AI applications using the extensive amount of Snowflake data and the power of Nvidia GPUs.
The global cloud data warehouse market is projected to grow at a 22.3% CAGR, from $4.7 billion to $12.9 billion. This excellent industry growth, along with Snowflake catalysts that build a solid foundation by taking advantage of AI, has placed the company in an excellent position for long-term growth.
Royal Caribbean Group (RCL)
Royal Caribbean Group (NYSE:RCL), formerly known as Royal Caribbean Cruises, is a global cruise holding company. What sets Royal Caribbean across from competitors is that the company is the second-largest cruise line operator. This in turn has seen tremendous growth for RCL stock, with it being up 100.57% YTD.
Financials for Royal Caribbean have been strong. In its recent quarter of June, the revenue of $3.52 billion grew 61.29% YoY which beat analyst expectations by 3.19%, net income of $458.76 million increased by 187.96% YoY, and a strong diluted EPS of $1.70 grew 182.93% YoY. EPS in particular also beat analyst expectations by 14.85%, and a healthy net profit margin of 13.02% grew by 154.52%.
The global cruise ship market is valued at $8 billion in 2021 and is projected to grow at a 7.9% CAGR to $16.7 billion by 2031. Moreover, Yahoo! Finance reports 15 analysts having a mean 12-month price target of $120.73, with the range spanning from $83.00 to a high of $139.00.
On the date of publication, Michael Que 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.
The researchers contributing to this article did not hold (either directly or indirectly) any positions in the securities mentioned in this article.