In this article, we will discuss the 10 Best Stocks to Invest in for the Next 3 Years.
Dubravko Lakos-Bujas, Head of Global Markets Strategy at J.P. Morgan, recently appeared on CNBC Television and highlighted his bullish outlook for the coming year. According to him, if the US Fed eases further due to improving inflation dynamics, the S&P could surpass 8,000 next year. The economy is expected to be in good shape in the next year. That being said, Lakos-Bujas also believes that it’s a K-shaped economy. Overall, the interest rates are expected to ease various parts of the economy that are experiencing stress.
Current Trends in Broader Market
When asked about the AI, Lakos-Bujas believes that the AI trade is going through a bit of a digestion and a pause. This is because the AI theme remained hot across most of 2025. Separately, readers should know that iShares US Technology ETF saw an increase of over ~23% on a YTD basis.
Elsewhere, Vanguard believes that the ongoing wave of AI-driven physical investment can be a powerful force. The firm’s analysis demonstrates that the investment cycle remains underway, aiding its projection of up to a 60% chance of the US economy achieving 3% real GDP growth in the upcoming years.
However, in 2026, the US remains well-placed for a more modest acceleration in growth to ~2.25%, thanks to the AI investment and fiscal thrust stemming from the One Big Beautiful Bill Act.
Amidst such trends, we will now have a look at the 10 Best Stocks to Invest in for the Next 3 Years.
Our Methodology
To list the 10 Best Stocks to Invest in for the Next 3 Years, we sifted through online rankings and shortlisted companies having EPS Fwd Long Term Growth (3-5Y CAGR) of at least 30%. After getting an extensive list, we chose the ones popular among hedge funds. Finally, the stocks are arranged in ascending order of their hedge fund sentiments, as of Q3 2025.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 427.7% since May 2014, beating its benchmark by 264 percentage points (see more details here).
10 Best Stocks to Invest in for the Next 3 Years
10. Bristol-Myers Squibb Company (NYSE:BMY)
Number of Hedge Fund Holders: 76
EPS Fwd Long Term Growth (3-5Y CAGR): ~86.2%
Bristol-Myers Squibb Company (NYSE:BMY) is one of the Best Stocks to Invest in for the Next 3 Years. On December 15, BofA upgraded the company’s stock to “Buy” from “Neutral” with a price objective of $61, an increase from $52, given the company’s R&D pipeline, as reported by The Fly. As per the firm, 4-6 programs are expected to deliver key de-risking catalysts over the near term. It believes that the current weakness is a buying opportunity as conservative trough EPS offers a floor for the share price.
Furthermore, the firm sees favorable risk/reward as Bristol-Myers Squibb Company (NYSE:BMY) approaches 2026 filled with catalysts. Multiple scenarios can place the company on a return to growth in 2029 and beyond. The firm applied a 10x P/E multiple to Bristol-Myers Squibb Company (NYSE:BMY)’s FY 2027 estimated EPS. This reflects an increase from the prior 8x multiple, which was applied to 2026 estimates.
In a different update, on December 11, Bristol-Myers Squibb Company (NYSE:BMY) announced that the US FDA accepted and granted priority review to the supplemental Biologics License Application (sBLA). This is for Opdivo® (nivolumab) in combination with doxorubicin, vinblastine, and dacarbazine (AVD) for adult and pediatric (12 years and older) patients having previously untreated Stage III or IV classical Hodgkin Lymphoma (cHL).
Bristol-Myers Squibb Company (NYSE:BMY) discovers, develops, licenses, manufactures, markets, distributes, and sells biopharmaceutical products.
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