5 Best Stocks for Long-Term Growth

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In this article, we will look at the 5 best stocks for long-term growth. If you want to explore similar stocks, you can go to 12 Best Stocks for Long-Term Growth.

5. Micron Technology, Inc. (NASDAQ:MU)

Number of Hedge Fund Holders: 69

On October 4, Micron Technology, Inc. (NASDAQ:MU) announced that it plans to invest $100 billion over the next 20 years to construct a mega semiconductor fabrication plant, which will be the largest semiconductor fab in the United States. The first $20 billion is expected to be invested by the end of this decade. Micron Technology, Inc. (NASDAQ:MU) is one of the best long-term stocks to buy now with significant growth potential.

This September, Needham analyst Rajvindra Gill revised his price target on Micron Technology, Inc. (NASDAQ:MU) to $60 from $64 and reiterated a Buy rating on the shares. On September 30, BMO Capital analyst Ambrish Srivastava revised her price target on Micron Technology, Inc. (NASDAQ:MU) to $70 from $80 and maintained a buy-side Outperform rating on the shares.

At the close of Q2 2022, 69 hedge funds were bullish on Micron Technology, Inc. (NASDAQ:MU) and held stakes worth $2.16 billion in the company. As of June 30, Matrix Capital Management is the leading shareholder in Micron Technology, Inc. (NASDAQ:MU) and has stakes worth $221 million in the company.

Here is what Meridian Funds had to say about Micron Technology, Inc. (NASDAQ:MU) in its second-quarter 2022 investor letter:

Micron Technology, Inc. (NASDAQ:MU) is a leader in the production of DRAM and NAND memory. We invested in the stock in the third quarter of 2019 during a cyclical downturn in the memory industry. Our rationale was that, while the memory industry is cyclical, we believed there are strong secular drivers in place that will lead to higher peaks and long-term growth. Our secular thesis is based on our conviction that the quest for ever-increasing compute speeds will increasingly rely on memory to solve bottlenecks and that increased memory content in nearly everything from mobile phones to automobiles will drive demand. Micron’s stock traded lower during the quarter due to macroeconomic concerns that led to lower earnings expectations. We increased our stake in the company, as we believe our secular thesis remains intact. We wanted to take advantage of what we view as temporary cyclical concerns that caused the stock to trade at less than 10x reasonable trough earnings per share (EPS) estimates and less than 7x recent peak EPS.”

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