In this article, we will take a look at the 5 Best Growth Stocks to Buy and Hold for the Long Term. For a deeper discussion and an extended list, please see the 15 Best Growth Stocks to Buy and Hold for the Long Term.
5. Snowflake Inc. (NYSE:SNOW)
Snowflake Inc. (NYSE:SNOW) ranks among the best growth stocks to buy and hold for the long term. Following the company’s Q4 earnings results, Macquarie reduced its price target for Snowflake Inc. (NYSE:SNOW) to $177 from $250 and maintained a Neutral rating on the company’s shares. The company reported $1.23 billion in product revenue for the quarter, a 30% year-over-year increase that exceeded the upper end of forecasts by $27 million.
During the quarter, Snowflake Inc. (NYSE:SNOW) added 740 net new customers, setting a company record. The company also booked a historic $1.9 billion in remaining performance commitments, which includes its largest deal ever, worth $400 million.
Snowflake Inc. (NYSE:SNOW) issued initial fiscal 2027 product revenue projections of $5.66 billion, representing a 27% year-over-year increase and $116 million above average expectations. The guidance includes the Observe acquisition, which is projected to bring one percentage point of growth.
Snowflake Inc. (NYSE:SNOW) offers a cloud-based data platform that enables organizations to store, manage, analyze, and securely share data across multiple cloud providers.
4. Nu Holdings Ltd. (NYSE:NU)
Nu Holdings Ltd. (NYSE:NU) ranks among the best growth stocks to buy and hold for the long term. On March 9, BofA Securities reduced its price objective for Nu Holdings Ltd. (NYSE:NU) to $17 from $18, maintaining a Neutral rating. The firm decreased its target price-to-earnings multiple to 21x from 22x to take account of the de-rating associated with global high-growth banking companies.
Due to increased risk and operating costs, the company’s fourth-quarter 2025 earnings before taxes fell short of BofA projections by about 15%. That said, Nu Holdings Ltd. (NYSE:NU) announced revenue of $4.9 billion, surpassing average expectations of $3.79 billion by 29% and representing a 45% year-over-year jump.
BofA’s net income forecasts remain intact, with higher operating expenses and reserve charges for loan losses offset by stronger revenues and a lower effective tax rate. In that regard, the firm expects earnings growth of 45% in 2026 and 28% in 2027, with a return on equity of around 30%.
Nu Holdings Ltd. (NYSE:NU) provides a digital banking platform in Brazil, Mexico, Colombia, the Cayman Islands, and the US. It offers spending and mobile payment solutions, as well as Nu Shopping.
3. DoorDash, Inc. (NASDAQ:DASH)
DoorDash, Inc. (NASDAQ:DASH) ranks among the best growth stocks to buy and hold for the long term. Following a conference meeting with DoorDash, Inc. (NASDAQ:DASH)’s management, Bernstein SocGen Group reiterated its Outperform rating and $270 price objective for the company on February 27. Analyst Nikhil Devnani joined DoorDash, Inc. (NASDAQ:DASH), VP of Finance and Investor Relations Weston Twigg, at the firm’s TMT conference.
DoorDash, Inc. (NASDAQ:DASH) noted that it continues to operate with a long-term perspective, reinvesting in several opportunities rather than focusing on short-term margins. According to the company, the U.S. Restaurants unit economics growth should decelerate due to efforts made and anticipated reinvestment, in line with its fourth-quarter outlook.
The company also stated that International operations, barring ROO, are likely to become profitable in contributing earnings in the latter part of 2026.
DoorDash, Inc. (NASDAQ:DASH) is a local commerce platform. It operates the DoorDash Marketplace and Wolt Marketplace, which connect merchants, consumers, and independent contractors across more than 30 countries.
2. MercadoLibre, Inc. (NASDAQ:MELI)
MercadoLibre, Inc. (NASDAQ:MELI) ranks among the best growth stocks to buy and hold for the long term. On February 25, Raymond James reduced its price target for MercadoLibre, Inc. (NASDAQ:MELI) to $2,500 from $2,775 while retaining a Strong Buy rating on the company’s shares. According to the firm, MercadoLibre’s gross merchandise volume (GMV) of $19.8 billion came in above the street’s expectation of $19.0 billion, with Brazil recording 36% year-over-year growth.
With a $2 billion run-rate business at 2.6% of GMV, advertising income grew at an accelerated pace of 67%. Raymond James believes this is comparable to Amazon at roughly $70 billion and 7% of GMV.
Looking ahead to 2026, MercadoLibre, Inc. (NASDAQ:MELI) has multiple tailwinds across both its e-commerce and fintech sectors, which should continue to drive robust top-line growth. That said, according to analysts, strategic growth initiatives may keep margins uncertain in the near term.
MercadoLibre, Inc. (NASDAQ:MELI) is a Latin American e-commerce company with roots in Argentina. Its platform enables retail and wholesale transactions through online marketplaces and provides tools and services designed to help users complete and manage commercial transactions.
1. Tesla Inc. (NASDAQ:TSLA)
Tesla Inc. (NASDAQ:TSLA) ranks among the best growth stocks to buy and hold for the long term. On March 4, BofA Securities began coverage of Tesla Inc. (NASDAQ:TSLA) with a Buy rating and a $460 price target. According to the firm, Tesla Inc. (NASDAQ:TSLA) is “at the forefront of autonomous driving,” thanks to a camera-only method that is “technically harder but much cheaper” compared to the multi-sensor systems commonly utilized in the sector.
BofA stated that robotaxis are currently operational in San Francisco and Austin, with seven other markets planned in the first half of 2026. The firm claims that robotaxis account for approximately 52% of Tesla’s worth.
Moreover, the firm valued Tesla’s Optimus humanoid division at more than $30 billion, accounting for 2% of the company’s $1.47 trillion market capitalization. BofA states that the humanoid robot has the capacity to replace some of the approximately 13 million manufacturing positions in the United States, with eventual adoption in households.
Tesla Inc. (NASDAQ:TSLA) designs, develops, manufactures, leases, and sells EVs, and energy generation and storage systems in the US, China, and internationally through two segments: Automotive and Energy Generation & Storage.
While we acknowledge the potential of TSLA 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 TSLA and that has 100x upside potential, check out our report about this cheapest AI stock.
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