3 Hot Stocks to Hold On to for Long-Term Growth

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  • Go on an extended trip with these long-term growth stocks.
  • Meta Platforms (META): Dominant social network with over 3 billion monthly active users, representing a solid long-term growth stock.
  • Amazon (AMZN): E-commerce and technology giant with a strong market position and consistent growth, making it a reliable choice for long-term investors.
  • IonQ (IONQ): Quantum computing hardware and software company with significant growth potential, offering a higher-risk, higher-reward option for those seeking long-term growth stocks.
Long-Term Growth Stocks - 3 Hot Stocks to Hold On to for Long-Term Growth

Source: shutterstock.com/Marian Weyo

While enterprises focused on expanding the top line tend to cater to a short-and-sweet methodology, compelling long-term growth stocks to buy and hold may reward speculators that are not necessarily in a big hurry. Over time, these ideas could lead to significant gains. Plus, they have advantages that many flavors of the week lack.

First and foremost, hot growth stocks that require a bit of marination benefits speculators with busy lives. Let’s face it – not everybody has the time (or the patience) to watch trading monitors all day. That’s especially true for folks living in the west coast. By the time you’ve had your morning coffee and are ready to tackle the day, it’s already afternoon in New York.

Second, your typical ideas for hot growth stocks can fly high and quickly sink lower. That might limit the market for such entities as again, many if not most people can’t sit around at a trading station all day. Yes, you want confidence that your investment can grow. But you also want some reassurance that they won’t completely collapse in a day or two.

With that, below are intriguing ideas for long-term growth stocks to buy and hold.

Meta Platforms (META)

Threads app logo seen on screen. Instagram Threads app is a micro blogging platform, developed by Facebook Meta.
Source: Ascannio / Shutterstock.com

I remember a time when Facebook under Meta Platforms (NASDAQ:META) approached monthly active users (MAUs) of nearly 2 billion people. Now, the latest statistic states that this already wild status has jumped to over 3 billion MAUs. It seems there’s no slowing this massive giant, making it one of the long-term growth stocks to consider.

Analysts agree, rating META one a consensus strong buy. This assessment breaks down as 37 buys, one hold and zero sells. Overall, the average price target lands at $387.71, a decent upside potential given the dominance and maturity of the underlying business. However, the high-side target comes in at $435 by Tigress Financial’s Ivan Feinseth.

In my view, that’s still a reasonable target over the next 12 months. Fundamentally, Facebook represents a consumer data goldmine. Barring a catastrophic failure, the social network is permanently relevant. Despite major headwinds that saw Facebook incur negative sales growth in 2022, on a trailing-12-month (TTM) basis, the company’s back on track with sales of nearly $127 billion.

Thus, it’s one of the growth stocks to buy and hold.

Amazon (AMZN)

Closeup of the Amazon logo at Amazon campus in Palo Alto, California. The Palo Alto location hosts A9 Search, Amazon Web Services, and Amazon Game Studios teams. AMZN stock
Source: Tada Images / Shutterstock.com

At this point, it’s easy to dismiss Amazon (NASDAQ:AMZN) as an e-commerce and technology behemoth that has little room to expand. Further, debate has erupted over whether Amazon should become a dividend-paying enterprise or just broken up into smaller entities. Either approach could unlock shareholder value. Yet the core narrative remains intact, making it one of the long-term growth stocks to consider.

First, let’s check in with the analysts. Right now, the experts peg AMZN as a unanimous strong buy. Here, we’re not just talking about garden-variety unanimity. Rather, 42 analysts stated that AMZN is a buy. Overall, the average price target lands at $176.50. Further, the maximum price target stands at $210, courtesy of Tigress’ Ivan Feinseth.

Second, the fundamentals support the overwhelming optimism. For example, e-commerce represented 16.5% of all retail transactions in the second quarter of 2020. After sliding conspicuously in subsequent quarters, this metric is now back up at 15.6%. That’s a powerful backdrop for AMZN.

Also, despite nearly posting $514 billion in sales last year, TTM revenue soars at $554 billion. Despite its age, AMZN is one of the hot growth stocks.

IonQ (IONQ)

A concept image of a processor representing quantum computing. IONQ Stock
Source: Amin Van / Shutterstock.com

Admittedly, the prior long-term growth stocks to buy and hold represented relatively safe ideas. For those that want to dial up the risk-reward quotient, they may consider IonQ (NYSE:IONQ). As an entity that already gained almost 300% of equity value since the start of the year, there’s a chance of bag-holding with IONQ. Still, analysts believe in the sustained bullishness of the quantum computing hardware and software company.

To be fair, we’re not talking about a significant number of experts – only three. That said, the consensus does land at moderate buy. Also, the average price target sees shares hitting $16.67. On paper, that’s relatively modest for the risk involved. Now, the high-side target is an improvement at $21, which comes courtesy of Craig-Hallum’s Richard Shannon.

Nevertheless, with so much talk about artificial intelligence and machine learning, there may come a time when current-paradigm computing equipment just isn’t a match for the advancements in digital innovation. Over time, we may need to make a radical computing pivot, which could benefit IONQ.

To clarify, this company is about banking on narratives and what could be. However, it’s an extremely powerful storyline for hot growth stocks.

On the date of publication, Josh Enomoto 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.

A former senior business analyst for Sony Electronics, Josh Enomoto has helped broker major contracts with Fortune Global 500 companies. Over the past several years, he has delivered unique, critical insights for the investment markets, as well as various other industries including legal, construction management, and healthcare. Tweet him at @EnomotoMedia.


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