Key Points
Investing in stocks for the long term can yield significant benefits from compounding interest without incurring capital gains taxes. Identifying strong businesses poised for multi-decade growth is critical for wealth building.
1. Meta Platforms (NASDAQ: META)
Meta Platforms boasts over 3.4 billion daily users across its apps. In Q1, the company reported a 16% increase in revenue and a 37% rise in earnings, driven by a booming digital advertising market valued at $700 billion. CEO Mark Zuckerberg plans to invest $64 billion to $72 billion in infrastructure and is actively enhancing its AI initiatives, which have seen user engagement rise from 700 million to nearly 1 billion monthly users.
2. Netflix (NASDAQ: NFLX)
Netflix has over 300 million paid households and experienced a 12.5% year-over-year revenue increase in Q1, projected to improve to 15.4% in Q2. The company is tapping into advertising revenue through new ad-supported plans and has a total viewership estimated at over 700 million. Analysts forecast earnings growth of 22% annually, buoyed by strong subscription growth and expanding content budgets.