Which stocks are the Best to Invest in for Long Term Growth

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Written By Berry Mathew

Investors are always on the lookout for the best stocks to buy due to constant mood swings of the stock market. So it is crucial to invest somewhere you are sure to earn long-term, if not for a lifetime. 

Be sure to invest in portions with great potential and management so you can reap a long holding period. But the question is; what are the best stocks to buy that can come up to your aspirations of forever positive growth?

This article includes everything you need to know about stocks and which ones to invest in. 

But first, what are the three things you should seek in a business you intend to invest in? 

See for a profitable return on the required net tangible capital in the process. Then, ensure the company’s managers are capable, competent, and sincere. And thirdly, the stock ought to be reasonably priced. 

Heeding to the former aspects, here are the best stocks to buy, which include: 

  1. Apple
  2. Johnson & Johnson
  3. Dover 
  4. Microsoft 
  5. McDonald 

We shall briefly discuss each of them: 

Apple (AAPL)

Apple, in 2018, became the earliest to have $1 trillion market capitalization. And later, in the year 2020, Apple had the top holding in the company of Berkshire Hathaway of $109 billion.

The owner of a 40% share in America’s smartphone marketplace, Apple, in 2020 was at the head of the game. In the tablet industry, too, they set a hallmark of 29.2% shares in the market. And by November of the same year, Apple compensated 20.5 cents, one-fourth of the dividend. In comparison to August 13, 2020, when they paid a dividend of 82 cents, that’s saving a lot. 

Hence we see how Apple is just the best stock to invest in for long-term growth.

Johnson & Johnson (JNJ)

The pharmaceutical and healthcare company is based in New Jersey. And is also known as the “dividend aristocrat” for a reason. Johnson & Johnson has been increasing its cash dividend value annually since 1973.

It increased its share in 2020 too after 2019 from $3.75 to $3.98 up a claim. 

If you’re looking to reinvest dividends in Johnson & Johnson stock, you expect long-term growth. You will achieve a more significant number of shares. Upon January 17, 2021, the stock return was 156.27%, which did not include reinvested cash dividends. 

Dover (DOV)

Dover is the company for fluid management, creating support systems, and industrial products, located in Chicago. Dover is, too, like Johnsons & Johnsons, a dividend powerhouse. Likewise, it has also been increasing its yearly cash dividend each year since 1973. 

Dover paid a total of $1.97 a share of quarterly dividends in 2020 whereas in 2019, it paid a sum of $1.94. Hence, the yearly ratio increased. 

Up until January 17, 2021, the stock’s return of 10 years split adjustment was 214.24% which did not incorporate cash dividends. 

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Microsoft (MSFT)

Microsoft was the third company in April 2019 to have more than $1 trillion market capitalization. Bill Gates, the renowned company’s co-founder, is one of the wealthiest men on Earth. 

Satya Nadella, the company’s Chief Executive Officer manager of MSFT’s services business and cloud infrastructure has ordered to rely less on its Windows operating system and Office software suite for its income. 

MSFT’s revenue increased by 31% from September 30, 2020, to the beginning of fiscal year 2021 just through commercial cloud services.

In the last quarter of fiscal 2004, MSFT paid a quarterly dividend. And in the fiscal year 2020, it spent 51 cents a share in a quarterly dividend. Further, by the start of the fiscal year 2021, the company paid 56 cents a share for a dividend. 

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McDonald’s (MCD)

By sales, McDonald’s is the largest fast-food chain in America. Moreover, its competitor, Starbucks, has twice as little annual revenue as Mcdonald’s. In 2020, its fast food was also the most valuable around the globe at $129.3 billion. 

MCD, since 1977, has amplified each year its annual sum dividend payment. In 2019, its annual dividend was $4.73, yet in 2020, and it improved to $5.04. 

In the previous decade, finished on April 2, 2020, the total return of stock was 181.08%, omiting the dividends reinvested. However, after reinvesting dividends, it amounted to 251.79%.

Conclusion

Other stocks that are beneficial to invest in for long-term growth are Amazon, the world’s second-largest retailer, and Alphabet, which is basically the authority in the search engine universe. Their shares also increase on an early basis, and with managers like Jeff Bezos and Sundar Pichai, their stocks are the best to purchase. 

To conclude, investing in stocks can either bankrupt you or make your luck. However, it is more than fortune and good luck that drives your success. You should know where to invest in creating your own destiny.