With the sheer number of publicly traded companies out there, including thousands of exchange-traded funds (ETFs) and mutual funds you can invest in, it’s super challenging for investors to decide where to start. More so, with the recent market downturn, especially when it comes to growth stocks, there has been an explosion of stocks trading for less than six months or a year ago.
Now, the million-dollar question is, what are the best stocks to buy in 2024? Read on, as today’s guide has all the answers to your questions and more. Although we don’t have a magic wand that tells us the stocks that will deliver the best result, we have conducted an in depth research to come up with a list of stocks we think will perform remarkably in 2024.
This guide will give you a walkthrough of 10 stocks we think are a great buy in 2024, especially for long-term investors looking for where to invest their money.
But before we give you an overview of each of these stocks, here are some caveats you should know:
- Choosing the best stocks to invest in today greatly depends on your personal financial situation. So before taking the plunge, it’s important to have an idea of how to invest in stocks. Also, know your risk appetite and how long you’re willing to tie down your money.
- When investing in stocks, it’s always best to consider them as long-term investments. And that’s because the stock market can be highly unpredictable. Plus, it might not be immediately clear what the market will do in the next couple of weeks or months. Let us also quickly add that if inflation continues to increase and the fed maintains its stand on interest rates or the US falls into a recession, it’s possible for all the stocks you have in your portfolio to decline in the near term.
- While we ensured that to maintain some variety when putting together our list of best stocks to buy in 2024, our list isn’t a fully diversified portfolio. What we have put together is our list of highest conviction long-term stocks we think will deliver remarkable results in 2024 and beyond.
Top ten stocks to buy in 2024
Looking for the best stocks to invest in 2024? Read our guide to find a list of profitable stocks with the insane potential to generate massive returns:
Top Recommended Platforms
Cryptocurrency assets are volatile in nature. Buy and trade at your own risk.
73% of retail investor accounts lose money trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Trading with financial instruments carries high level of risks that is not suitable for all investors. Before making any investment decisions, you should seek advice from independent financial advisor to ensure you understand the risks involved.
Trading with financial instruments carries high level of risks that is not suitable for all investors. Before making any investment decisions, you should seek advice from independent financial advisor to ensure you understand the risks involved.
- Etsy
- Amazon
- Block
- Berkshire Hathaway
- Realty Income
- Shopify
- Walt Disney
- Intuitive Surgical
- Mercado Libre
A comprehensive overview of each stock
Now that you have seen our list of best stocks to buy in 2024, we now want to use this opportunity to look at each share and highlight why we think they are a great buy:
Etsy
Etsy, one of the leading e-commerce platforms that connect customers with craft markers, experienced significant growth before the covid-19 pandemic. However, during the pandemic, the company experienced an explosion, which saw its growth rate more than double the overall e-commerce market.
The company’s growth during the pandemic was attributed to its business model which made it a natural fit for people looking for face masks.
While most industries experienced a decline during the pandemic, Etsy saw its stock accelerate, with investors looking to cash in on the company’s fortune. As a matter of fact, by the fourth quarter of 2022, Esty saw its sales volume skyrocket by over 144% compared to pre-pandemic levels.
While e-commerce platforms like Amazon and eBay saw a significant uptick in activities, Esty performed remarkably during the pandemic, giving the likes of Amazon a run for their money. Because of how well Esty performed during this period, Amazon was forced to launch its own marketplace for handmade items to even the playing field.
Although we are long past the pandemic, Esty has remained a force to reckon with in the e-commerce industry. Given the company’s remarkable business model, it’s no surprise to learn that the company is now worth billions of dollars. As of 2022, Esty made approximately $13 billion in sales.
While the recent growth stock downturn has seen the value of Etsy’s stock fall sharply, this has presented an excellent opportunity to buy some Esty stock at a bargain. We are sure the stock will regain some of its losses in the long term.
Amazon
Amazon is a leading name in the e-commerce industry that needs no introduction. The company is a leader in the U.S. e-commerce market. Over the past year, Amazon has generated approximately $500 billion in gross merchandise sales. More so, Amazon Web Services, the company’s cloud platform, has continued to dominate the market.
While Amazon has earned its place at the top, and has become attractive to investors, the company still has significant growth potential. With e-commerce only accounting for less than 15% of all U.S. retail sales, it shows that there is still room for expansion.
Again, the cloud industry is still in its nascent stage, and experts project the industry to more than quadruple its size. This will give birth to a $1.6 trillion market industry by 2030.
Also, with Amazon sojourning into areas like healthcare, neighborhood markets and grocery stores, there is no better time than now to buy some Amazon stock.
Block
Block, formerly known as Square, has metamorphosed from a specialized payment platform into a full-fledged financial ecosystem for both individuals and merchants. On the merchant side, the company has reportedly processed around $186 billion in payment volume in the last four quarters. Not just that, the company offers a range of other complementary services.
Just to add, Block has the Cash App, which has over 51 million monthly active users, as well as features for person-to-person money transfers. Not just that, Cash App also supports direct deposits and debits as well as the ability to buy and sell stocks and bitcoins.
While the company continues to improve its services, it is making inroads into other industries, especially with the recent acquisition of the music app, Tidal. Besides Tidal, Block also recently purchased the Afterpay buy-now, pay-later later platform.
As Block continues to evolve, we expect its position in the financial market and other industries it operates to grow even stronger.
While we still have a long way to go to actualize full cashless payment adoption, Block is working assiduously to make this a reality. With its performance in the last couple of years, it’s easy to see why investors a pouring their money into the company’s stock.
Although 2022 saw the company’s stock edge lower, now is an amazing time to add this stock to your portfolio, as the potential for growth is massive.
Berkshire Hathaway
Berkshire Hathaway, the relatively boring value pick of the bunch, is a collection of about 60 subsidiary businesses, including household names such as GEICO, Duracell, and Dairy Queen, just to name a few.
It also owns a portfolio of common stocks worth more than $325 billion that includes massive stakes in Apple, Bank of America, Chevron, American Express, and Coca-Cola, as well as positions in dozens of other companies, many of which were personally handpicked by legendary investor Warren Buffett.
Despite its massive size, Berkshire continues to produce market-beating returns in most years. If Berkshire were a mutual fund, it would be the largest actively managed mutual fund in the world. Buffett won’t be at the helm forever, but he has been stress-proofing Berkshire for years to make sure it’s in solid shape long after he’s no longer running things. Berkshire is his legacy, and he and partner Charlie Munger have been buying back shares regularly, signaling good news for patient long-term investors.
Realty Income
Realty Income is a real state investment trust (REIT). The company has a lot of investments, including freestanding, single-tenant retail properties. Since our last check, Realty Income counts Dollar General, Wallgreens and the FedEx as some of its biggest tenants. More so, the company owns over 11,700 properties in the U.S. and Europe.
While Realty Income continues to improve on its business model, its triple-net lease structure has seen the company create a steady, predictable income stream. And yes, we are impressed by the fact that the company’s properties are recession-resistant and less susceptible to e-commerce disruption compared to other retail businesses.
Since the company went public in 1994 and was listed on the NYSE, it has produced 14.6 annualized total returns, putting tr ahead of the S&P 500 in terms of performance. On top of that, the company has paid over 600 consecutive monthly dividends. And yes, its payout has skyrocketed for 101 quarters in a row.
As of today, Realty Income has a yield of about 4.6%. If you’re looking to invest in a well-rounded stock that offers a solid case for growth, value and income, you won’t go wrong in investing in Realty Income stock.
Shopify
Shopify is a remarkable e-commerce platform that provides businesses of all sizes with the resources and tools to sell online. While the company’s objective is to empower smaller businesses, it also want to build long-term relationship.
As of right now, Shopify offers subscription plans starting at $29 per month. Not just that, the company also provides robust payment processing solutions and logistic services.
Since stepping foot in the e-commerce industry, Shopify has become a force to reckon with. Besides Amazon, Shopify has seen more e-commerce sales compared to other e-commerce platforms. In the last four quarters, Shopify has seen its revenue increase by over $5.6 billion.
Despite e-commerce still being in the early stages and making up less than 15% of retail sales in the U.S., Shopify has the second-highest market share, giving it network effect advantages over competitors. Though its shares have recently fallen due to recession fears and a slowdown in consumer spending, Shopify remains a top pick for long-term investors looking for the best stocks to buy in 2024.
Walt Disney
Disney is a versatile investment that can weather any storm. Although the pandemic impacted its theme park and movie businesses, it also accelerated the growth of Disney+, its streaming service. Disney+ has become a juggernaut with over 160 million subscribers in less than four years, exceeding the company’s original five-year goal.
In 2024, despite concerns about inflation and recession, demand for Disney’s theme parks and movies is stronger than ever. Revenue from the parks has increased due to initiatives that have boosted per-guest spending.
Meanwhile, Disney is focused on increasing the profitability of Disney+, Hulu, and ESPN+. With its extensive intellectual property (including the Marvel Cinematic Universe, Star Wars, ESPN, Pixar, and Disney), as well as its profitable theme park business, Disney is one of the safest stocks to invest in. It also has significant growth potential as it continues to expand into new areas of business.
Pinterest is a unique social media platform that focuses on ideas and visual inspiration rather than on people. Users turn to Pinterest for ideas related to various activities like home decoration, cooking, and fashion. Although Pinterest experienced a slight contraction in its user base after the pandemic restrictions were lifted, recent results show that the growth has resumed.
Pinterest has a vast opportunity for monetizing its user base, which is a significant attraction for long-term investors. The company is pivoting away from its traditional ad-focused model and exploring e-commerce as a potential source of revenue. The platform’s users are already looking for inspiration to buy things, so integrating e-commerce into its platform could be a game-changer.
Pinterest has hired Bill Ready, an e-commerce veteran, as its new CEO, which further emphasizes its move towards monetization. Although it may take some time for the company to achieve its full e-commerce potential, long-term investors could be handsomely rewarded.
The potential for monetization is especially massive internationally, as 80% of Pinterest’s user base is outside the US but generates only a small portion of its revenue. The company has an exciting future ahead, and its unique approach to social media and pivot towards e-commerce makes it a promising stock for long-term investors.
Intuitive Surgical
Intuitive Surgical is a leading company in the field of robot-assisted surgery. Its da Vinci surgical system is the market leader and uses a “razors and blades” model, generating a recurring stream of revenue from the procedures performed with its systems.
Intuitive Surgical currently holds a global market share of about 80% and has ample room for growth as its systems continue to be adopted and used for more procedures. This is particularly true in international markets, where the implementation of robot-assisted surgery could be a significant long-term growth driver for the company. Overall, Intuitive Surgical is an excellent business with the potential for decades of growth ahead.
Mercado Libre
MercadoLibre is a promising long-term stock investment in the market, often referred to as the Amazon of Latin America. The company operates an e-commerce marketplace that dominates some of the most populous nations in the region, including Brazil and Argentina. But, there’s more to MercadoLibre than just e-commerce. It also operates a fast-growing payments platform, Mercado Pago, a logistics service called Mercado Envios, a business lending platform, and more.
In the fourth quarter of 2022, the marketplace saw $9.6 billion in merchandise volume, while Mercado Pago processes more than $140 billion in annualized volume, with about two-thirds coming from outside the company’s e-commerce platform. Additionally, Mercado Credito, the company’s young but fast-growing lending business, has $2.8 billion of outstanding loan balances and has grown rapidly so far.
All of these businesses are in the relatively early stages, and MercadoLibre has a lot of runway ahead. Its merchandise volume is roughly 6% of Amazon’s, and its Mercado Pago payment volume is less than 10% of what PayPal processes. So, MercadoLibre isn’t just the Amazon of Latin America — it’s also the PayPal, Square, Shopify, and more, all rolled into one, and it’s at a much earlier stage of growth.
As the e-commerce and fintech landscape in Latin America continues to evolve, MercadoLibre could be a major long-term beneficiary, making it a compelling investment opportunity for investors looking to capitalize on the region’s growth potential.
Final thoughts
If you’re just starting your investment journey, especially with stocks, we strongly recommend understanding the basics of investing in stocks. From knowing the basics to getting started to defining your investment strategy and also knowing how much to invest, there is so much you need to have under your sleeves to get started.
While we are bullish on most of these stocks and think they are a good fit right now for anyone looking for a viable long-term investment, keep in mind that they might not be the best choices for investors who don’t already have a diversified portfolio.
That said, if you have always wanted to invest in long-term stocks with the potential for great returns, you won’t go wrong adding a couple of these stocks to your portfolio.
