With so many investment ideas floating around, it’s a big challenge to buy and hold for the long term. There is always a temptation for a switchover. In a dynamic world from a technology perspective, it makes sense to have a portfolio that’s for the short or medium term. However, millionaires from the markets are made by buying and holding growth stocks with potential for the long term.

In my view, it’s easier to have the right stock selection for 10x or 50x returns. The difficult part is the conviction to hold through the thick and thin. Often, investors panic when a portfolio stock declines by 15% or 20%. These are the times to hold tight and potentially add positions rather than panic sell.

I am saying this because macroeconomic headwinds will impact equities. Investors, however, need to focus solely on business developments and progress. This column discusses three ideas that have 10-bagger potential by 2030.

Li Auto (LI)

Li Auto (NASDAQ:LI) stock has witnessed a big rally of 50% in the last month. However, LI stock remains undervalued at a forward price-earnings ratio of 30. Given the growth and cash flow potential, LI stock will continue to create value in the coming years.

Li Auto has a conservative, yet aggressive approach to growth. While peers like Nio (NYSE:NIO) and XPeng (NYSE:XPEV) have pursued European expansion, Li Auto remains laser-focused on the Chinese market. That has helped in cost control.

However, within China, Li Auto has aggressively expanded its retail network. At the same time, the company has launched several new cars in the last 18 months. The result is 182.2% deliveries growth on a year-on-year basis for 2023. Further, Li Auto has an ambitious target of 800,000 vehicle deliveries this year. With the impending launch of Li MEGA, I expect renewed acceleration in deliveries growth.

From a financial perspective, Li reported cash reserves of $14.6 billion as of December 2023. For Q4 2024, the company reported free cash flow (FCF) of $2 billion. Considering the growth trajectory, I expect FCF of more than $10 billion this year.

DraftKings (DKNG)

DraftKings (NASDAQ:DKNG) is another potential multibagger growth stock that’s worth considering at current levels. It’s worth noting that DKNG stock has surged by 128% in the last 12 months. The rally from deeply oversold levels is likely to sustain considering the addressable market and positive financial metrics.

DraftKings is an online sports betting and iGaming company in the United States. The company believes the total addressable market for this business will swell from $20 billion in 2023 to $30 billion by 2028 in existing states. As more states legalize OSB and iGaming, the market will likely get bigger. Given the potential, I expect DraftKings to continue delivering stellar growth.

For the year, DraftKings has guided for revenue of $4.7 billion. Further, the company’s adjusted EBITDA midpoint guidance is $460 million. From significant EBITDA losses, DraftKings has moved toward profitability. That is a key catalyst for DKNG stock upside, and I expect EBITDA margin expansion to sustain in the coming years.

Coupang (CPNG)

I believe that e-commerce stocks have been ignored and are undervalued. Coupang (NYSE:CPNG) is an attractive name to consider and has multibagger returns potential from current levels of $19. Backed by strong Q4 results, CPNG stock has trended higher by 36% in the last month. I expect the uptrend to sustain.

For Q4 2023, Coupang beat revenue and earnings per share expectations. Revenue increased by 23% on a year-on-year basis to $6.6 billion. Besides the headline numbers, there are two positives to note.

First, Coupang reported a 16% year-on-year growth in active customers to 21 million. Further, the net revenue per active customer increased by 6% on a year-on-year basis to $312. It’s also worth noting that Coupang reported free cash flow of $1.8 billion for 2023.

In my view, healthy revenue growth and margin expansion are likely to sustain. My point is underscored by the fact that the Korean e-commerce market is expected to increase to $563 billion by 2027 from $483 billion last year. Additionally, Coupang is making inroads in other emerging markets in Asia and Southeast Asia.

On the date of publication, Faisal Humayun did not hold (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.