On July 2, Abby Yoder, JPMorgan Private Bank’s chief equity strategist, joined CNBC’s ‘Closing Bell’ to discuss the market’s momentum in the second half of 2025. Yoder observed that the IPO market had picked up and that M&A were expected to increase. She clarified that their previous bullish scenario had focused on negative policies and overlooked positive growth policies that were still in the pipeline. With markets nearing all-time highs, the IPO market’s resurgence was further evidence of improving market conditions. She stressed that the return of IPOs was significant, and these IPOs were showing strong follow-through in terms of performance, which in turn supported better sentiment.
Yoder also revisited the widespread adoption of AI. She noted an increase in AI usage among enterprises, with adoption almost doubling from ~5% of companies last year to ~9% currently, showing a clear inflection point in H1 2025. She believes that as companies realize the potential for both revenue increases and cost-cutting through AI, this will greatly benefit the market.
That being said, we’re here with a list of the 12 best young stocks to buy and hold for 5 years.
An investor with a portfolio of stocks, highlighting the importance of diversified indexing investment approach.
Methodology
We used the Finviz stock screener to compile a list of the top stocks that went public in the last 3 years and had a 3-year revenue CAGR of over 15%. We then selected the 12 stocks that were the most popular among elite hedge funds and that analysts were bullish on. The stocks are ranked in ascending order of the number of hedge funds that have stakes in them, as of Q1 2025.
Note: All data was collected on July 11.
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 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
12 Best Young Stocks To Buy and Hold For 5 Years
12. Ascentage Pharma Group International (NASDAQ:AAPG)
3-Year Revenue CAGR: 227.53%
Number of Hedge Fund Holders: 1
Ascentage Pharma Group International (NASDAQ:AAPG) is one of the best young stocks to buy and hold for 5 years. On July 10, Ascentage Pharma announced that China’s National Medical Products Administration/NMPA approved its novel Bcl-2 selective inhibitor, called lisaftoclax (APG-2575).
It treats adult patients with chronic lymphocytic leukemia/CLL and small lymphocytic lymphoma/SLL, particularly those who have previously received at least one systemic therapy, which includes Bruton’s tyrosine kinase (BTK) inhibitors. Lisaftoclax is the first Bcl-2 inhibitor to receive conditional approval and marketing authorization for CLL/SLL in China, and the second Bcl-2 inhibitor approved globally.
Lisaftoclax is an orally administered small-molecule drug designed to treat malignancies by selectively blocking the antiapoptotic protein Bcl-2, thereby restoring the normal apoptosis process in cancer cells. Clinical trials have demonstrated its therapeutic potential in various hematologic malignancies and solid tumors, particularly CLL/SLL, both as a monotherapy and in combinations.
Ascentage Pharma Group International (NASDAQ:AAPG) is a clinical-stage biotechnology company that develops therapies for cancers, chronic hepatitis B virus, and age-related diseases in Mainland China.
11. XCHG Limited (NASDAQ:XCH)
3-Year Revenue CAGR: 47.48%
Number of Hedge Fund Holders: 1
XCHG Limited (NASDAQ:XCH) is one of the best young stocks to buy and hold for 5 years. On June 24, XCharge North America announced the deployment of two dual-dispenser GridLink chargers at a new EV charging depot in Riverside, California. This depot was developed and is operated by Gateway Fleets, which is an electrification platform designed specifically for last-mile delivery.
The new site aims to provide reliable and cost-effective charging for Gateway’s customers, which include medium-duty fleets and independent FedEx operators. The development follows a recent acquisition by Partners Group, which is a global private markets firm, of a controlling stake in Gateway Fleets to fund an accelerated rollout of EV-ready depot infrastructure.
Despite uncertainties surrounding California’s clean energy policies, the state remains dedicated to its Zero-Emission Vehicle/ZEV mandates and targets 100% ZEVs by 2040 for medium and heavy-duty vehicles. To address the strain on the electrical grid as utilities struggle to meet increasing power demands, many EV charging sites are adopting battery microgrids. XCharge North America’s GridLink technology charges its 430 kWh battery during off-peak hours to avoid higher peak demand charges, then uses this stored energy for charging during the day.
XCHG Limited (NASDAQ:XCH) designs, manufactures, and sells EV chargers under the X-Charge brand name in Europe, China, the US, and internationally.
10. Surf Air Mobility Inc. (NYSE:SRFM)
3-Year Revenue CAGR: 95.78%
Number of Hedge Fund Holders: 2
Surf Air Mobility Inc. (NYSE:SRFM) is one of the best young stocks to buy and hold for 5 years. On June 10, Surf Air Mobility unveiled its new flagship SurfOS AI-enabled operating system, which is set for broad commercial release in 2026. The suite includes three core products: BrokerOS, OperatorOS, and OwnerOS. SurfOS will create a unified and federated platform by integrating industry data, powered by Palantir Technologies (NASDAQ:PLTR).
The three flagship products offer distinct functionalities: BrokerOS streamlines sourcing, quoting, booking, and payments for charter brokers. OperatorOS optimizes aircraft and crew scheduling for both Part 135 charter operators and scheduled commuter airlines. OwnerOS provides private aircraft owners with transparency and optimization capabilities.
SurfOS currently has beta agreements with eight users who are helping to refine key BrokerOS and OperatorOS features. While the broader Regional Air Mobility industry is projected to reach $75 to $115 billion globally by 2035, these initial commercial software products are expected to immediately impact the private aviation landscape.
Surf Air Mobility Inc. (NYSE:SRFM) engages in the air mobility business in the US and internationally. Palantir Technologies Inc. (NASDAQ:PLTR) builds and deploys software platforms for the intelligence community to assist in counterterrorism investigations and operations.
9. ZEEKR Intelligent Technology Holding Limited (NYSE:ZK)
3-Year Revenue CAGR: 126.56%
Number of Hedge Fund Holders: 10
ZEEKR Intelligent Technology Holding Limited (NYSE:ZK) is one of the best young stocks to buy and hold for 5 years. Towards the end of May, ZEEKR Intelligent Technology announced the publication of its 2024 Sustainability Report. The report is available on the Sustainability section of the company’s investor relations website and highlights ZEEKR’s dedication to dual carbon management and proactive governance.
ZEEKR particularly emphasizes value-driven technological innovation through extensive R&D of cutting-edge technologies for intelligent electric mobility. The company aims to build industry-leading competence in self-developed intelligent technology and foster an all-inclusive ecosystem for intelligent pure EVs. By the end of 2024, ZEEKR’s cumulative R&D investment exceeded RMB 23.5 billion, which was an increase of over 16.14% year-over-year.
ZEEKR also established a full-field and whole-process product R&D mechanism with global R&D layouts. This includes a 3-tier management and decision-making structure. An R&D management process is in place to meet stringent compliance and certification requirements, such as the EU Whole Vehicle Type-Approval System.
ZEEKR Intelligent Technology Holding Limited (NYSE:ZK) is an investment holding company that researches, develops, produces, commercializes, and sells EVs and batteries.
8. Amprius Technologies Inc. (NYSE:AMPX)
3-Year Revenue CAGR: 91.18%
Number of Hedge Fund Holders: 10
Amprius Technologies Inc. (NYSE:AMPX) is one of the best young stocks to buy and hold for 5 years. As May was ending, Amprius Technologies announced a new strategic contract manufacturing agreement with a prominent battery manufacturer in South Korea.
The partnership expands Amprius’ global production footprint and enhances its capacity to deliver high-performance SiCore cells at scale. Initial production will focus on a balanced SiCore cell.
The Korean facility will manufacture SiCore silicon anode cells according to Amprius’ precise specifications. The new manufacturing partnership adds to Amprius’ existing contracted production capacity of over 1.8 GWh.
Amprius Technologies Inc. (NYSE:AMPX) develops, manufactures, and markets lithium-ion batteries for mobility applications.
7. Metagenomi Inc. (NASDAQ:MGX)
3-Year Revenue CAGR: 499.26%
Number of Hedge Fund Holders: 10
Metagenomi Inc. (NASDAQ:MGX) is one of the best young stocks to buy and hold for 5 years. In mid-May, Metagenomi announced the presentation of 3 abstracts at the American Society of Gene & Cell Therapy/ASGCT 28th Annual Meeting, which was held from May 13 to 17 in New Orleans, Louisiana.
The presented data highlighted Metagenomi’s advancements in compact nucleases for extrahepatic gene editing and CRISPR-associated transposases/CAST for site-specific integration of large therapeutic genes. These advancements underscore the platform’s potential to develop next-gen, in vivo precision medicines, particularly for neurological disorders and diseases caused by loss-of-function mutations.
Metagenomi’s proprietary gene editing toolbox is enhanced by AI and ML and has analyzed over 7.4 billion proteins and holds the potential to target any type of genetic mutation across the entire human genome. The company’s platform offers a full spectrum of gene editing technologies, which include ultra-small nucleases, base editors, and large gene integrations using CAST and RNA-Mediated Integration Systems/RIGS.
Metagenomi Inc. (NASDAQ:MGX) is a genetic medicines company that develops therapeutics for patients using a metagenomics-derived genome editing toolbox in the US.
6. Life360 Inc. (NASDAQ:LIF)
3-Year Revenue CAGR: 41.32%
Number of Hedge Fund Holders: 13
Life360 Inc. (NASDAQ:LIF) is one of the best young stocks to buy and hold for 5 years. On June 12, Life360 announced two significant innovations within its advertising platform: Place Ads by Life360 and Uplift by Life360. These tools redefine real-world targeting and measurement for advertisers, deliver brand messages based on family behavior, and provide deterministic measurement of in-store impact.
Life360’s advertising platform uses its engaged global community of over 83 million monthly active users/MAU as of March 31 this year. On average, members open the app 5 times per day, making it one of the top 15 US iOS apps by daily engagement. The foundation of both Place Ads and Uplift lies in Life360’s unique location intelligence, built on continuous first-party signals. ~95% of Life360 members share their location.
By analyzing movement patterns and household-level insights, Place Ads predicts family needs based on places visited, companions, and likely next destinations. Uplift by Life360 provides deterministic footfall measurement, directly connecting ad exposure to store visit uplift without relying on modeled or third-party data.
Life360 Inc. (NASDAQ:LIF) operates a technology platform to locate people, pets, and things in North America, Europe, the Middle East, Africa, and internationally.
5. Sezzle Inc. (NASDAQ:SEZL)
3-Year Revenue CAGR: 41.39%
Number of Hedge Fund Holders: 16
Sezzle Inc. (NASDAQ:SEZL) is one of the best young stocks to buy and hold for 5 years. On June 30, Sezzle launched a new suite of features designed to help consumers manage increasing financial pressures. The launch came amid record-low consumer confidence, with the Conference Board’s index recently dropping to its lowest level since May 2020.
Sezzle aims to create an intuitive shopping experience by integrating product discovery with personalized deal surfacing and a faster checkout flow. The price comparison tool, in particular, has proven effective, with 49% of users who were presented with multiple store options reporting savings of $5 or more by choosing the lowest-priced option.
Additionally, Sezzle Balance, which is a pre-loadable digital wallet, simplifies the repayment process. Since its launch, shoppers have loaded over $65 million into Sezzle Balance. Two beta features were also introduced: Express Checkout, which is a streamlined flow for returning shoppers, while the Browser Extension will automatically prompt shoppers to earn Sezzle Spend and access available coupons.
Sezzle Inc. (NASDAQ:SEZL) operates as a technology-enabled payments company primarily in the US and Canada.
4. Tempus AI Inc. (NASDAQ:TEM)
3-Year Revenue CAGR: 39.06%
Number of Hedge Fund Holders: 21
Tempus AI Inc. (NASDAQ:TEM) is one of the best young stocks to buy and hold for 5 years. On July 8, Tempus AI announced the expansion of its care pathway intelligence platform, called Tempus Next, to include breast cancer. Launched in 2024, Tempus Next has already screened thousands of patients and helped close critical care gaps for lung cancer patients across its network of provider sites.
The platform will now address 5 different biomarker testing gaps specific to breast cancer. Tempus Next assists physicians in providing guideline-based care by identifying care gaps and patients who could benefit from guideline-recommended suggestions. The platform integrates multimodal data from patients’ electronic medical records/EMR with up-to-date clinical guidelines.
Recognizing that breast cancer guidelines, much like those for lung cancer, are constantly evolving, Tempus is working to help providers stay current. Mercy, which is a healthcare system, has already integrated Tempus Next for both breast and lung cancer into its EMR system.
Tempus AI Inc. (NASDAQ:TEM) is a healthcare technology company.
3. Marex Group (NASDAQ:MRX)
3-Year Revenue CAGR: 41.87%
Number of Hedge Fund Holders: 22
Marex Group (NASDAQ:MRX) is one of the best young stocks to buy and hold for 5 years. On June 30, Marex Group announced its inclusion in both the broad-market Russell 3000 Index and the small-cap Russell 2000 Index.
This membership became effective after the US market opened on that day, as part of the 2025 Russell indexes reconstitution. Russell indexes are widely recognized and utilized by investment managers and institutional investors for various purposes, including index funds and as benchmarks for active investment strategies.
As of the end of June 2024, ~$10.6 trillion in assets were benchmarked against the Russell US indexes, which are part of FTSE Russell, which is a global index provider.
Marex Group (NASDAQ:MRX) is a financial services platform provider that provides liquidity, market access, and infrastructure services to clients in the energy, commodities, and financial markets.
2. GRAIL Inc. (NASDAQ:GRAL)
3-Year Revenue CAGR: 104.84%
Number of Hedge Fund Holders: 25
GRAIL Inc. (NASDAQ:GRAL) is one of the best young stocks to buy and hold for 5 years. On June 18, GRAIL announced positive top-line performance and safety results from the pre-specified analysis of the first 25,578 participants in its registrational PATHFINDER 2 study. This study was initiated in 2021 and is evaluating the safety and performance of the Galleri multi-cancer early detection/MCED test when used in addition to standard-of-care single cancer screening.
The study involves 35,878 adults over 50 years of age with no clinical suspicion of cancer. The results from PATHFINDER 2 indicate substantially greater additional cancer detection compared to the previously published PATHFINDER study, where adding Galleri more than doubled the overall number of cancers detected by screening.
Importantly, no serious safety concerns were reported in PATHFINDER 2. Detailed PATHFINDER 2 data are expected to be presented at a medical congress later this year. GRAIL plans to submit the PATHFINDER 2 study results to the US FDA as part of the Galleri premarket approval application/PMA.
GRAIL Inc. (NASDAQ:GRAL) is a commercial-stage healthcare company that provides multi-cancer early detection testing and services in the US and internationally.
1. Viking Holdings Ltd. (NYSE:VIK)
3-Year Revenue CAGR: 104.35%
Number of Hedge Fund Holders: 58
Viking Holdings Ltd. (NYSE:VIK) is one of the best young stocks to buy and hold for 5 years. On July 10, Viking announced its inaugural river voyages in India aboard the new 80-guest Viking Brahmaputra. This custom-designed vessel for the Brahmaputra River is currently under construction and is slated to debut in late 2027.
The Viking Brahmaputra will sail between Guwahati and Nimati Ghat in the northeastern state of Assam and form the centerpiece of Viking’s new 15-day itinerary titled: Wonders of India. The Viking Brahmaputra will accommodate 80 guests in 40 outside staterooms, all featuring Viking’s signature Scandinavian design.
The 15-day Wonders of India itinerary will operate round-trip from Delhi, with hotel stays in Delhi, Agra, and Jaipur bracketing an eight-day Brahmaputra River voyage (sailing either east or west). The program includes 13 guided tours, immersing guests in India’s cultural treasures and offering the opportunity to visit as many as 10 UNESCO World Heritage Sites.
Viking Holdings Ltd. (NYSE:VIK) engages in the passenger shipping and other forms of passenger transport in North America, the UK, and internationally.
While we acknowledge the potential of VIK to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than VIK and that has 100x upside potential, check out our report about this cheapest AI stock.
READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.
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