ExxonMobil (XOM)
ExxonMobil (NYSE:XOM) is one of the growth stocks to buy and hold for the long term. While companies focused primarily on fossil fuels may not appear well-positioned, it is early to underestimate the demand for crude oil in the coming decades. Indeed, the U.S. Energy Information Administration (EIA) warned of potential near-term supply constraints and forecasts West Texas Intermediate (WTI) crude to average over $80 per barrel for the remainder of 2024. Natural gas likewise represents the second largest source of electricity generation internationally, a vital resource as the adoption of electric vehicles expands.
At half the price-to-earnings (P/E) ratio of the S&P 500, ExxonMobil provides shareholders with a meaningful forward dividend yield of 3.6%. Being well positioned as the world’s largest publicly traded international oil and gas company, analysts’ consensus indicates continued upside, with an average 12-month price target of $115.42 per share. €‹
APPLE (AAPL)
One of the Magnificent Seven among the most Warren Buffett-preferred brands, Apple (NASDAQ:AAPL) cannot be missed from a list of growth stocks to buy and hold. Although its stock price exploded last year by over 50%, this company’s P/E ratio is still very compatible with the S&P 500, at 28.4, meaning it doesn’t push the market too far and doesn’t face a sharp turnaround risk.
A slow recovery in China has dragged down iPhone sales. However, the company’s service expansion beyond headsets to services may assist it in living up to its growth stock to buy and hold reputation. One of the services includes developing data-intensive web services in the rapidly growing cloud computing segment.
Tyler Technologies (TYL)
Tyler Technologies (NYSE:TYL) is a specific field company offering operational software solutions to government bodies. Its market positioning may create an interesting investment opportunity inherently unique in itself. TYL is the last pick of our growth stocks to buy and hold.
Local governments in the U.S. are experiencing pressure to update their ERP infrastructure and connected technologies. This represents a huge market for Tyler Technologies that has remained almost untapped by them for two decades and lacks strong competition.
Management predicts strong sales growth, estimating year-over-year (YOY) growth to increase 7.9% in the next three years. Analysts view the stocks positively, estimating an average price target of $483.88, with growth estimates for this quarter alone at 17%.
On the date of publication, Stavros Tousios did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
Stavros Tousios, MBA, is the founder and chief analyst at Markets Untold. With expertise in FX, macros, equity analysis, and investment advisory, Stavros delivers investors strategic guidance and valuable insights.