In this article, we will look at the 12 Strong Buy Stocks to Buy and Hold for the Next 5 Years.
Strong Buy stocks are getting more attention as investors look past the index-level rally and focus on companies where analyst optimism is backed by earnings growth, cash flow, and business quality. That matters because a five-year holding period is not just about near-term upside to price targets. It also depends on whether a company can keep growing through changing rates, slower macro periods, and shifts in market leadership.
BlackRock says “earnings are broadening beyond a highly concentrated group of mega-cap technology names tied to AI,” giving investors “greater choice for sourcing growth.” Capital Group makes a similar point, saying markets are moving toward “a more balanced one with a broadening opportunity set,” where “active stock selection, supported by deep research,” matters more. Fidelity adds that “best-in-class companies with strong brands, deep competitive moats, and recurring revenues” may be better positioned to “adapt and thrive as conditions change.” In summary, the case for Strong Buy stocks is when bullish ratings line up with durable earnings, pricing power, and a business model that can compound over time.
With that in mind, let’s take a look at the 12 Strong Buy Stocks to Buy and Hold for the Next 5 Years.
Our Methodology
We used the Finviz screener to identify stocks that carry a “Strong Buy” rating from analysts. We then 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.
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).
12. Microsoft Corporation (NASDAQ:MSFT)
On May 22, 2026, Microsoft Corporation (NASDAQ:MSFT) agreed to pay $250M to settle investor litigation over its takeover of Activision Blizzard, Bloomberg’s Mike Leonard reported, citing court filings. The pact, filed in Delaware’s Chancery Court, would settle allegations that Activision ex-CEO Bobby Kotick and other board members offered a heavily discounted transaction to escape the sexual misconduct scandal that had engulfed the “Call of Duty” maker. Leonard noted that a judge allowed the case to move forward against Activision Blizzard last October, though claims that Microsoft exploited the scandal to push down the purchase price were dismissed.
On the same day, Business Insider’s Ashley Stewart reported that Microsoft’s chief marketing officer, Yusuf Mehdi, is set to depart after the next fiscal year, according to an internal memo. Mehdi, a 35-year company veteran, wrote that the “time is right” to begin planning for his next move and said he will work through the next fiscal year to help reimagine Windows for the agentic era, grow Microsoft 365 services, and advance the company’s One Copilot vision.
Earlier in May, Bill Ackman’s Pershing Square disclosed in an SEC filing its holdings as of March 31. Pershing Square took a new 5.65M-share stake in Microsoft (MSFT) during Q1.
Microsoft Corporation (NASDAQ:MSFT) develops and supports software, services, devices, and solutions worldwide.
11. Walmart Inc. (NASDAQ:WMT)
On May 22, 2026, Walmart Inc. (NASDAQ:WMT) was reportedly facing a leadership shake-up months after announcing that John Furner would replace Doug McMillon as CEO, according to The Wall Street Journal’s Sarah Nassauer. The report said Sam’s Club Chief Operating Officer Tom Ward, a company veteran of almost two decades, and Cedric Clark, head of U.S. stores, are leaving the company.
On the same day, RBC Capital lowered the firm’s price target on Walmart Inc. (NASDAQ:WMT) to $137 from $140 and maintained an Outperform rating on the shares after inline Q1 results and below-consensus guidance. RBC said the stock had a high bar heading into the print at 40-times expected earnings and noted that higher fuel costs led to slightly worse unanticipated flow-through.
Meanwhile, JPMorgan added Walmart to the firm’s Analyst Focus List as a growth idea while maintaining an Overweight rating and $137 price target. JPMorgan said the post-earnings share selloff creates a buying opportunity and cited Walmart’s accelerating share gains and alternate profit pool “flywheel.”
Walmart Inc. (NASDAQ:WMT) operates retail and wholesale stores and clubs, ecommerce websites, and mobile applications worldwide.
10. Palo Alto Networks, Inc. (NASDAQ:PANW)
On May 20, 2026, Morgan Stanley analyst Meta Marshall raised the firm’s price target on Palo Alto Networks, Inc. (NASDAQ:PANW) to $253 from $223 and maintained an Overweight rating on the shares. Marshall said Morgan Stanley’s latest channel discussions and reseller survey data suggest Palo Alto Networks continues to gain share across multiple security categories, while expecting “solid” fiscal Q3 results.
Cantor Fitzgerald also raised the firm’s price target on Palo Alto Networks, Inc. (NASDAQ:PANW) to $285 from $220 and maintained an Overweight rating on the shares ahead of the company’s earnings report due after the market close on June 2. Cantor Fitzgerald expects continued platformization, large deal momentum, and broad-based strength to support “solid” fiscal Q3 results.
Meanwhile, Stifel raised the firm’s price target on Palo Alto Networks (PANW) to $275 from $185 and maintained a Buy rating on the shares ahead of the company’s fiscal Q3 report on Tuesday, June 2. Stifel cited recent partner checks and a solid print from Fortinet (FTNT), saying it expects at least in-line results both organically and inorganically.
Palo Alto Networks, Inc. (NASDAQ:PANW) provides cybersecurity solutions across the Americas, Europe, the Middle East, Africa, the Asia Pacific, and Japan.
9. Analog Devices, Inc. (NASDAQ:ADI)
On May 21, 2026, Raymond James raised the firm’s price target on Analog Devices, Inc. (NASDAQ:ADI) to $430 from $385 and maintained an Outperform rating on the shares. Raymond James said Analog Devices delivered another strong quarter, with accelerating AI-driven data center demand accounting for most of the communications revenue. The firm also cited the acquisition of Empower Semiconductor, which expands the company’s AI and data center power exposure.
TD Cowen also raised the firm’s price target on Analog Devices, Inc. (NASDAQ:ADI) to $450 from $400 and maintained a Buy rating on the shares. TD Cowen said the upcycle continues, with strong results in industrial and communications supported by upside in automotive. The firm added that AI data center-related revenue grew considerably again, while the Empower tuck-in deal should bolster low-voltage power offerings.
On May 20, 2026, Analog Devices, Inc. (NASDAQ:ADI) reported fiscal Q2 adjusted EPS of $3.09, ahead of the consensus estimate of $2.90. Revenue totaled $3.62B, above the consensus estimate of $3.51B. CEO and Chair Vincent Roche said the quarter came in above the high end of the company’s outlook, reflecting “record demand” and operational discipline. Roche added that ADI continues to invest in technology leadership and long-term value for customers and shareholders.
Analog Devices, Inc. (NASDAQ:ADI) designs, manufactures, tests, and markets integrated circuits, software, and subsystem products globally.
8. Uber Technologies, Inc. (NYSE:UBER)
On May 22, 2026, Uber Technologies, Inc. (NYSE:UBER) was reportedly exploring options for a potential full takeover of Delivery Hero SE, Bloomberg’s Eyk Henning, Loni Prinsloo, Ruth David, and Dinesh Nair reported. The report said Uber had increased its stake to roughly 19.5%, with additional exposure through options, as the company evaluates ways to strengthen its international delivery position and compete more directly with DoorDash (DASH). Uber was also said to be engaging with other Delivery Hero investors and continuing to use advisers to assess further ownership increases.
A few days earlier, Delivery Hero SE said Uber had acquired additional shares and instruments in the company, giving Uber ownership of 19.5% of Delivery Hero’s issued capital and a further 5.6% in options. Delivery Hero said it welcomed Uber’s additional investment as a further endorsement of its platform and Everyday App strategy, while remaining focused on operational performance and its strategic review.
Earlier in May, Fox Advisors analyst Steven Fox upgraded Uber Technologies, Inc. (NYSE:UBER) to Outperform from Equal-Weight with a $95 price target. Fox said Uber’s heavier investment pace over the past year is “poised to more consistently contribute to profit growth.” Fox also said Uber may have “topped off” its rideshare platform through hotel bookings, the acquisition of parking marketplace Spot Hero, and other actions tied to a hybrid autonomous rideshare future.
Uber Technologies, Inc. (NYSE:UBER) develops and operates proprietary technology applications across the United States, Canada, Latin America, Europe, the Middle East, Africa, and the Asia Pacific.
7. CVS Health Corporation (NYSE:CVS)
On May 21, 2026, Glenview Capital said CVS Health Corporation (NYSE:CVS) remains one of its three largest positions after a partial rebalance. Glenview said CVS shares have generated a total return of 80% since its May 2024 purchases, reflecting progress in the company’s long-term cultural and operational turnaround. Following healthy Q1 results and increased annual guidance, Glenview reduced its overall holdings by 3.75 million shares for diversification and to create buying power for other opportunities. Glenview added that it has “no plans for additional adjustments” to its CVS holdings and said its confidence in the company’s outlook “remains strong.”
On May 20, 2026, Mizuho raised the firm’s price target on CVS Health Corporation (NYSE:CVS) to $110 from $102 and maintained an Outperform rating on the shares. Mizuho viewed Q1 reports in the managed-care group as solid and cited a reduced likelihood of negative medical loss ratio shifts through the end of 2026.
On May 13, Bernstein also raised the firm’s price target on CVS Health Corporation (NYSE:CVS) to $106 from $94 and maintained an Outperform rating on the shares. Bernstein said CVS continues to have attractive exposure to a Medicare Advantage turnaround, as well as potential for more stable earnings in its pharmacy and pharmacy benefit manager businesses after PBM reform. Bernstein also said the PBM bill and the first Federal Trade Commission settlement earlier this year made PBM reform largely complete and created a clearing event, reducing uncertainty around CVS’ turnaround.
CVS Health Corporation (NYSE:CVS) provides health solutions in the United States through its Health Care Benefits, Health Services, and Pharmacy & Consumer Wellness segments.
6. Amazon.com, Inc. (NASDAQ:AMZN)
On May 21, 2026, QAD Redzone announced an expanded strategic collaboration with Amazon Web Services, a unit of Amazon.com, Inc. (NASDAQ:AMZN), and Tata Consultancy Services. The companies said the collaboration is aimed at helping manufacturers modernize operations, scale execution, and use agentic AI without the cost, disruption, time, and staffing often tied to traditional ERP. QAD Redzone said the three companies are working on a secure, agile architecture and services offering for mid-market manufacturers, helping them move away from legacy enterprise systems and build a System of Action.
On May 20, 2026, Wells Fargo lowered the firm’s price target on Amazon.com, Inc. (NASDAQ:AMZN) to $312 from $313 and maintained an Overweight rating on the shares. Wells Fargo said market confidence is improving in companies that monetize compute investments directly through cloud businesses, supported by accelerating cloud revenue, stable-to-improving margins, and rapidly rising backlogs.
On May 13, 2026, Amazon introduced Alexa for Shopping, which it called “the world’s best, most personalized AI assistant for shopping.” The feature is available to U.S. customers on the Amazon Shopping app and website, as well as on Echo Show devices. Amazon said the product combines Rufus’s product expertise, Amazon shopping history, and Alexa+ personalization to deliver a “more personal, helpful shopping experience” across Amazon’s shopping app, website, Echo Show, and other stores across the web.
Amazon.com, Inc. (NASDAQ:AMZN) engages in the retail sale of consumer products, advertising, and subscription services through online and physical stores in North America and internationally.
While we acknowledge the potential of AMZN 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 AMZN and that has 100x upside potential, check out our report about the cheapest AI stock.
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