2 Growth Stocks to Buy and Hold for the Next Decade

Growth stocks have gained immense popularity among investors over the last ten years. Factors such as low interest rates, positive investor sentiment, and significant advancements in the technology sector have made these stocks some of the best performers in the market.

If you are a long-term investor seeking growth stocks to hold for the next decade, here are two excellent options.

CrowdStrike

CrowdStrike Holdings (CRWD) has been a standout growth stock. However, in July 2024, the company experienced a significant outage that affected investor confidence. As of March 6, shares of CrowdStrike dropped by 4% over three months, with a 26% decline since reaching a peak on February 14.

Some investors are losing faith due to a disappointing outlook for fiscal year 2026 presented in early March. However, abandoning CrowdStrike may be a mistake. This company fulfills many important criteria for a long-term investment.

One of the strongest aspects of CrowdStrike is the effectiveness of its cybersecurity solutions. It is regularly acknowledged as one of the top platforms in cybersecurity. Besides accolades, its financial performance, client growth, and retention rates reinforce this reputation.

In the last fiscal quarter ending January 31, CrowdStrike secured over 20 deals worth more than $10 million each and more than 350 deals over $1 million each. Given the increasing importance of cybersecurity, this reflects strong customer loyalty.

Moreover, the dollar-based net retention rate of CrowdStrike was reported at 112% for the fourth quarter, indicating that existing customers are spending 12% more than the previous year. This trend contributes to impressive revenue growth, with the company surpassing $1 billion in subscription revenue for the first time.

In considering factors that suggest a company's viability as a long-term investment, significant contracts, customer retention, and a large total addressable market (TAM) are critical. CrowdStrike's management forecasts that its total addressable market will expand from an estimated $116 billion this year to $250 billion by 2029 for its AI-native platform. As the demand for cybersecurity solutions rises, CrowdStrike is well-positioned for sustained success.

Amazon

With a market capitalization exceeding $2 trillion, Amazon (AMZN) may not fit the conventional mold of a growth stock, but it certainly shows all the characteristics of one.

Amazon's success is largely attributed to its thriving e-commerce business. However, the future growth prospects lean heavily on its cloud computing division, Amazon Web Services (AWS).

AWS is the leading provider in cloud services and has become a significant source of revenue. In 2024, AWS revenue grew 19% year over year, reaching $107 billion—more than the total revenue of Target over the last four quarters combined. Its operating income jumped to $40 billion from $24.6 billion.

While AWS revenue accounted for only about 17% of Amazon's total revenue in 2024, it contributed a staggering 58% of the overall operating income. The e-commerce branch generates revenue, and AWS substantially boosts profitability.

As artificial intelligence (AI) continues to rise, all major cloud platforms are expected to benefit, but AWS is taking a unique approach to maintain its leadership. The focus is on developing foundational AI infrastructure that clients can utilize to create their own AI applications. For instance, AWS offers Bedrock and SageMaker platforms for building generative AI applications and deploying machine learning models.

In 2024, Amazon invested nearly $83 billion in capital expenditures, emphasizing growth in AWS through data centers and AI capabilities. The management recognizes that while e-commerce revenue is essential for funding various ventures, AWS is critical for long-term growth, with plans to invest around $100 billion in 2025.

With a solid foundation and promising future, Amazon is another stock I would be willing to buy and hold for the long term, despite potential market fluctuations.

stocks, investing, growth