3 Stocks Set for Decade-Long Gains Amid Market Weakness


  • Blue-chip retail stocks are slumping, and the AI bubble may soon burst — but these long-term stocks to buy offer stability instead.
  • VICI Properties (VICI): The Vegas property owner’s dividend yield contributes to its significant growth rate.
  • Atlanta Braves Holdings (BATRA): Billionaires love owning Braves stock.
  • Acuity Brands (AYI): The lighting company keeps growing and boasts perfect financial management.

market weakness - 3 Stocks Set for Decade-Long Gains Amid Market Weakness

Source: shutterstock.com/ex_artist

Finding long-term stocks to buy in today’s market isn’t easy. Many of the best blue chips, like Target (NYSE:TGT), suffer from inflation concerns and reduced consumer spending, sending shares spiraling and creating uncertain futures. On the other hand, mega-cap tech companies riding high on artificial exuberance may be amid a bubble rivaling the Dot-Com era in scope (only time will tell). We can’t count on imminent rate cuts anymore, either, as inflation stays stubbornly above 3% and well above the Fed’s 2% target. Inflation and other concerns are signs of market weakness that have investors worried.

But these stocks are largely agnostic to all those factors and present plenty of upside opportunities. Ranging in size, their respective fundamentals and long-term outlook make them ideal picks among long-term stocks to buy within your “forever portfolio.”

Stocks to Buy Amid Makret Weakness: VICI Properties (VICI)

Person holding mobile phone with logo of American real estate company Vici Properties Inc. on screen in front of web page. VICI stock.
Source: T. Schneider / Shutterstock

Ready for a Vegas vacation? VICI Properties (NYSE:VICI) owns (and sometimes operates) multiple famous Las Vegas properties, including Caesar’s Palace, the Venetian, and MGM Grand. That portfolio of properties alone makes VICI worth considering, as there’s little chance Vegas will lose its global appeal any time soon. The REIT hit public markets as a corporate entity fairly recently, in 2017, after Caesars Entertainment’s (NASDAQ:CZR) bankruptcy proceedings. And, yes, Caesars Entertainment still exists — but is responsible for operating Caesars Palace in this case, while VICI owns the land and property itself.

Since going live, VICI’s stock has returned 60%, but gross returns swell to more than 120% when factoring in the company’s dividend. VICI’s sustained a solid 5%-ish dividend over the past seven years, with its current 12-month trailing yield at 5.54%. That makes the company’s distributions competitive with higher short-term bond yields, creating a perfect blend of growth and income that typify the best long-term stocks to buy.

Atlanta Braves Holdings (BATRA)

Atlanta Braves stadium
Source: Katherine Welles / Shutterstock.com

You don’t have to be a billionaire to own a sports team. Instead, you can invest in small-cap Atlanta Braves Holdings (NASDAQ:BATRA) to own a slice of the Georgian sports dynasty. The company listed less than a year ago, in July 2023, and gives investors access to the team’s sales revenue alongside income from real estate assets within the larger Braves ecosystem.

Consider some of the company’s top shareholders if you need encouragement to buy shares. The holding company is among rarely-discussed Warren Buffett stocks, as he holds a small position in the firm to complement his larger SiriusXM Holdings (NASDAQ:SIRI), as the team’s former owner was Liberty Media (NASDAQ:LSXMA) — Sirius and Liberty are in the middle of a well-publicized merger. Buffett clearly focuses attention on this unique investing ecosystem, but he isn’t the only billionaire betting on Atlanta Braves stock. Legendary value investor Mario Gabelli also loves the stock, saying shares could go as high as $55 in coming years. Despite market weakness, this stock is a home run!

Acuity Brands (AYI)

an interior view of a house attic under construction. Home Improvement Stocks
Source: ronstik / Shutterstock.com

Light fixtures and lighting is one of those sectors that’s embedded in our daily lives but goes largely ignored by investors—but that’s a mistake. Acuity Brands (NYSE:AYI) is one of the world’s largest lighting companies and offers a range of products from bathroom fixtures sold to DIY home improvers to wide-ranging streetlights sold to municipalities. Acuity is an active buyer of smaller companies, which is how it rapidly expanded its footprint to touch so much of the wider lighting market in the past 20 years.

Acuity’s averaged nearly 10% compounded annual earnings growth rate since 2010, a strong endorsement of the stock considering the market fluctuation within that timeframe. Acuity is keeping that track record going, too, as the company’s CEO Neil Ashe told investors in its first-quarter call: “We increased our adjusted operating profit, adjusted operating profit margin and adjusted diluted earnings per share. We generated significant free cash flow, and we allocated capital effectively to drive value.” Amid market weakness, Acuity Brands looks bulletproof.

On the date of publication, Jeremy Flint held no positions in the securities mentioned. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

Jeremy Flint, an MBA graduate and skilled finance writer, excels in content strategy for wealth managers and investment funds. Passionate about simplifying complex market concepts, he focuses on fixed-income investing, alternative investments, economic analysis, and the oil, gas, and utilities sectors. Jeremy’s work can also be found at www.jeremyflint.work.

Article printed from InvestorPlace Media, https://investorplace.com/2024/05/3-stocks-set-for-decade-long-gains-amid-market-weakness/.

©2024 InvestorPlace Media, LLC