12 Best Growth Stocks to Buy and Hold for the Long Term

5. CrowdStrike Holdings, Inc. (NASDAQ:CRWD)

5-Year Sales Growth: 52.37%

Number of Hedge Fund Holders: 77

CrowdStrike Holdings, Inc. (NASDAQ:CRWD) is an international cybersecurity company that provides a range of services through its cloud-native Falcon platform. The company specializes in protecting end-points, identities, cloud-workloads, and data. The company operates on a software-as-a-service subscription model with over 29 cloud modules, serving diverse markets.

On May 7, Analyst Shaul Eyal from TD Cowen maintained a Buy rating on the stock with a price target of $450. The analyst noted that management is strategically reducing staff by 5% while also investing in critical growth areas. This restructuring is expected to enhance operational effectiveness and better align resources with growth opportunities.

Financially speaking, CrowdStrike Holdings, Inc. (NASDAQ:CRWD) grew its annual recurring revenue by 23% year-over-year to reach $4.24 billion as of January 31, 2025. This is significant as the growth places the company on track toward its long-term goal of $10 billion ARR by fiscal 2031. Moreover, the revenue of the company also grew 29% year-over-year to reach $3.95 billion, driven by an increase in subscription revenue. Notably, the company achieved a 97% gross retention rate, advocating for the long-term prospects of the company. It is one of the best growth stocks to buy and hold for the long term.

Aristotle Atlantic Large Cap Growth Strategy stated the following regarding CrowdStrike Holdings, Inc. (NASDAQ:CRWD) in its Q1 2025 investor letter:

“CrowdStrike Holdings, Inc. (NASDAQ:CRWD) provides cybersecurity products and services that offer endpoint protection and threat intelligence solutions, enabling customers to prevent damage from targeted attacks, detect advanced malware and search all endpoints. The company’s open cloud architecture enables it and third-party partners to rapidly innovate, build and deploy new cloud modules that can provide customers with enhanced functionality across a myriad of use cases.

We see the cloud cybersecurity market as positioned to experience strong growth over the next few years, driven by continued migration from on-premises to cloud-based architecture. We believe CrowdStrike can benefit from this trend due to its early-mover advantage, multiple product offerings and native integrations with leading cloud platforms. The increasing threats from state-sanctioned cybercriminals using high-performance computing and AI necessitate higher spending on advanced cybersecurity products. The total addressable market (TAM) is projected to grow significantly over the next four calendar years. Additionally, CrowdStrike’s cloud-native architecture and unified platform approach provide competitive advantages, resulting in high customer retention and widespread adoption of multiple modules.”