2 Tech Stocks You Can Buy and Hold for the Next Decade

Brett Schafer, The Motley Fool

Tue, Mar 25, 2025, 6:45 AM 4 min read

We person seen a crisp displacement successful sentiment this year. Animal spirits and bull marketplace enthusiasm person evaporated quickly, particularly with exertion stocks. The Nasdaq Composite scale has fallen sharply from all-time highs, with plentifulness of stocks down 20%, 30%, oregon much successful conscionable a fewer abbreviated weeks.

This provides contrarian investors with a buying accidental successful exertion stocks. It whitethorn dependable risky to bargain erstwhile everyone is panicking, but these are the nonstop moments erstwhile your champion investments tin beryllium made.

Here's wherefore 2 apical exertion stocks -- Amazon (NASDAQ: AMZN) and Alphabet (NASDAQ: GOOG) (NASDAQ: GOOGL) -- are good worthy buying and holding for the adjacent decade.

Alphabet, the genitor institution of Google, YouTube, and Google Cloud, is presently successful a 20% drawdown to commencement 2025. This is providing investors an accidental to scoop up shares connected the cheap.

Some investors fearfulness that Google Search volition beryllium disrupted successful the property of artificial quality (AI), with applications specified arsenic ChatGPT increasing rapidly successful usage. However, Alphabet is warring backmost and innovating astatine a blistering pace. It has launched AI overviews successful Google Search, Circle to Search, and Google Lens to assistance broaden the magnitude of ways radical tin hunt for things done Google. Gemini -- the company's idiosyncratic AI adjunct -- is present disposable connected smartphones and is increasing successful usage quickly.

We can't spot immoderate disruption successful Alphabet's financials, either. Google Search gross grew to $54 cardinal successful Q4 2024 compared to $48 cardinal successful the aforesaid play successful 2023. YouTube gross keeps climbing, and the institution is making large inroads with its Waymo self-driving taxi network. However, the astir promising mightiness beryllium Google Cloud, which is taking vantage of each the request for AI tools from third-party bundle providers. Google Cloud gross grew 30% twelvemonth implicit twelvemonth past 4th to $12 cardinal and is present generating $2 cardinal successful quarterly operating income.

Growth shows nary signs of slowing down astatine Alphabet. Today, you tin bargain shares of Alphabet astatine a price-to-earnings ratio (P/E) of 20.5, which is good beneath the S&P 500 mean of 28.3. This makes Alphabet banal an casual bargain for your portfolio close now.