Growth Stocks to Buy-and-Hold for the Next 10 Years

In the past, growth stocks have been a big part of making a lot of money in the stock market. Growth stocks are different from value stocks because they focus on increasing revenues, market share, and innovation, not dividends. Value stocks have lower price-to-earnings ratios. This usually means that they put profits back into the business instead of giving them to shareholders. It’s important for new investors to know what growth stocks can do. These companies may seem expensive when you look at traditional valuation metrics, but they can make a lot of money over time by entering new markets, creating game-changing products, and disrupting existing industries. We’ll look at three of the best growth stocks: Amazon (AMZN), Adobe (ADBE), and Tesla (TSLA). These stocks have strong fundamentals, new business models, and the potential to grow over time. If investors stick to a disciplined buy-and-hold strategy, these companies are likely to be worth more over the next ten years based on their past performance, financial stability, and trends in their industry.

1. Amazon (AMZN)

Amazon started as an online bookstore in 1994 and has since grown into a global leader in technology and logistics. It works in a lot of different areas, like e-commerce, cloud computing, digital streaming, and AI.

Strengths:

Amazon showed how strong it is during the COVID-19 pandemic. In 2024, its annual revenue will be more than $575 billion, up from $280 billion in 2019. Its varied business activities make it less reliant on any one source of income, and AWS continues to be the main source of profit.

2. Adobe Inc. (ADBE)

Adobe is a major player in software for digital creativity and marketing. Adobe is best known for Photoshop, Illustrator, and Premiere Pro. It successfully moved from a traditional software licensing model to a subscription-based Creative Cloud offering, which guarantees regular income.

Strengths:

Adobe made $19.4 billion in revenue in FY2024, with Digital Media making up the biggest part of that. As automation and personalization become more popular in marketing, the company’s use of AI in its platforms will help it stay competitive.

3. Tesla Inc. (TSLA)

Tesla has changed the way people think about cars by making electric vehicles (EVs) popular and profitable. It is putting a lot of money into battery storage, solar energy, and self-driving car technologies, in addition to cars.

Strengths:

Tesla sold more than 2 million cars in 2024, and the average gross margin on cars was 18%. Tesla’s position at the crossroads of technology, transportation, and energy gives it a lot of long-term potential, even though the stock is still volatile.

Why the Buy-and-Hold Strategy Works for Growth Stocks

A buy-and-hold strategy means buying good companies and keeping them for a long time so that the returns can grow over time. The S&P 500’s past performance shows that holding onto companies that are growing quickly often does better than trading them often, especially when you take into account lower transaction costs and capital gains taxes. Being patient is important for people who are investing for the first time. Prices of growth companies may go up and down, but their long-term growth over 5 to 10 years can make up for short-term changes. Adding investments in different sectors, like e-commerce, software, and clean energy, also lowers the risk of your whole portfolio.

A Quick Look at the Three Stocks

Conclusion

Long-term investors who want to invest in fast-growing sectors should look for companies that combine market leadership, innovation, and long-term competitive advantages. Amazon is the best at e-commerce and cloud computing, Adobe is the best at creative and marketing software, and Tesla is the best at electric vehicles and clean energy. Each of these companies offers great chances for portfolio growth. Investors can take advantage of the compounding effects of revenue and earnings growth by using a disciplined buy-and-hold strategy. There are risks, such as changes in the market, new rules, and competition, but these companies still have a lot of room to grow in the long term. Putting some of your money into these industry leaders as part of a diversified portfolio could help your returns over the next ten years.

Frequently Asked Questions

What defines a growth stock?

A growth stock is a company whose sales and profits are expected to grow faster than the market as a whole. Instead of paying dividends, these companies often put their profits back into growing their businesses.

Are growth stocks riskier than value stocks?

Growth stocks tend to be more volatile because their prices are based on how much money they could make in the future instead of how stable their current earnings are. Long-term holding, on the other hand, can help lessen short-term changes.

How should beginners approach investing in growth stocks?

Beginners should learn about the basics of companies, focus on sectors they know, and start with small, diverse positions to lower their risk.

What role does innovation play in growth stock performance?

Innovation is part of keeping growth going because it helps companies keep their competitive edge, gain market share, and find new ways to make money.

Is it better to buy growth stocks during market downturns?

Quality growth stocks may be good buys during market downturns because their prices may temporarily drop even though their long-term fundamentals are strong.

Written by Aiko Gin Updated August 20, 2025 by Albert Fang