In this article, we will discuss the 10 Best Young Stocks to Buy and Hold for the Next Decade.
On April 29, Steven Wieting, CIO Group chief investment strategist, joined ‘Closing Bell Overtime’ on CNBC to talk about the current market landscape where investors appear to be using AI as an escape hatch to look past significant headwinds, including closed straits, oil priced at $100 per barrel, and rising Treasury yields. Wieting explained that the AI trade in software and hardware remains largely independent of the cyclical performance of the economy. This is because CapEx plans are already funded and established, moving forward regardless of fluctuations in consumer spending, travel, or industrial activity, particularly among cyclical companies in Europe and Asia.
However, Wieting noted that the global economy is increasingly feeling the wear and tear of geopolitical disruptions. He warned that as long as transportation routes remain shut, the economy will eventually hit binding constraints because moving goods requires oil and energy. He pointed out that the price of oil for delivery at the end of the year has moved $15 higher, reflecting a larger problem for cyclical industries worldwide. While his own investments are not currently focused on Europe or Asia, Wieting acknowledged that these regions feel the pinch more directly than the US and will be the primary beneficiaries once transportation and infrastructure issues are resolved.
Wieting highlighted a unique market environment characterized by both a boom and a shock occurring simultaneously. The boom is driven by an expected 88% gain in semiconductor EPS in the US and massive infrastructure spending. He noted that the four largest public company spenders recently increased their full-year CapEx by $94 billion. This heavy spending, combined with the energy supply shock, is pushing toward higher nominal growth, though Wieting contends that much of this growth is being driven by inflation rather than real economic expansion.
Our Methodology
We sifted through financial media reports to compile a list of young stocks that have gone public in the past 5 years and are widely discussed for their long-term potential. We limited our final selection to companies that have recently reported noteworthy developments likely to impact investor sentiment. These stocks are also popular among analysts and elite hedge funds.
Note: All data was sourced on May 4.
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 498.7% since May 2014, beating its benchmark by 303 percentage points (see more details here).
10 Best Young Stocks to Buy and Hold for the Next Decade
10. Amrize (NYSE: AMRZ)
Number of Hedge Fund Holders: 55
Amrize (NYSE:AMRZ) is one of the best young stocks to buy and hold for the next decade. On May 5, Amrize announced the commencement of a $1 billion share buyback program, scheduled to begin on May 6. This initiative, which received prior authorization, is set to run until May 5, 2027. The repurchased shares are intended for cancellation and will be processed through a second trading line on the SIX Swiss Stock Exchange using the ticker AMRZE.
Regarding its financial outlook, the company has reaffirmed its guidance for the 2026 fiscal year. Amrize anticipates revenue growth between 4% and 6%, alongside an adjusted EBITDA growth of 8% to 11%. These projections are supported by the ongoing ramp-up of PB Materials.
The company’s Q1 2026 financial results showed a revenue of $2.17 billion, which exceeded market estimates by $30 million. However, the reported non-GAAP loss per share was $0.16, falling $0.02 short of expectations.
Amrize (NYSE:AMRZ) is a building materials company that offers building solutions for infrastructure, commercial, and residential construction markets through two segments: Building Materials and Building Envelope.
9. Veralto Corporation (NYSE:VLTO)
Number of Hedge Fund Holders: 55
Veralto Corporation (NYSE:VLTO) is one of the best young stocks to buy and hold for the next decade. On April 28, Veralto reported a 6.7% year-over-year increase in sales for Q1 2026, totaling $1,422 million. Net earnings for the period reached $254 million, or $1.02 per diluted share, while adjusted net earnings were $266 million, or $1.07 per share. The company achieved an operating profit margin of 23.8% and generated $182 million in operating cash flow.
The company has allocated ~$1 billion toward growth and shareholder value year-to-date. This includes the acquisitions of In-Situ and GlobalVision for ~$620 million and the repurchase of $300 million in common stock. Additionally, Veralto initiated a cost optimization program expected to yield annual savings of $65 million to $75 million by 2028, despite an initial charge of $85 million to $105 million.
Looking forward, Veralto Corporation (NYSE:VLTO) raised its full-year 2026 adjusted earnings guidance to a range of $4.20 to $4.28 per share, up from the previous $4.10 to $4.20 range. For Q2, the company anticipates core sales growth between 3% and 4% with adjusted diluted earnings of $0.96 to $1.00 per share. Full-year expectations include core sales growth of 3% to 4.5% and free cash flow conversion at ~100% of GAAP net earnings.
Veralto Corporation (NYSE:VLTO) is a pollution & treatment controls company that offers water analytics & treatment, marking & coding, and packaging & color solutions through two segments: Water Quality and Product Quality & Innovation.
