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Brian's Big Idea: Buy and Hold

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We all know that investors should look to the long term when buying stocks. Buy and hold is a recipe for success but very often investors find it very difficult to actually do. I can easily admit that I bought Tesla for around $29.00 before all of the splits, and boy do I wish that I never sold it. I could say the same about a lot of stocks that I have owned over the last several years.

Buying and holding stocks takes a lot of patience. The question is, do you have the patience and can you withstand the drawdowns that frequently occur? Those that can handle both of those obstacles have a high probability of beating the market.

We take a look at Tesla (TSLA - Free Report) first, and note that the most recent earnings report was driver for the stock to reach recent highs. Elon Musk has been an outspoken advocate for Donald Trump and the potential for the new administration to engage with Tesla seems to be growing. This could be a good stock to buy and hold.

Next we look at NVDIA (NVDA - Free Report) and clearly the potential for this stock is still very good. The stock dipped slightly after the last report as there was a delay in delivery of new chips. That dip has been bought and this stock looks to be headed to a new record high if the company delivers a positive outlook at the next earnings event which is slated for November 20.

Finally we look at Shopify (SHOP - Free Report) which reported strong earnings last night. Brian takes a look at the earnings estimates which will be updated in the near future as analyst reports are still rolling in. Given the solid performance, this stock is certainly worth a deep dive for those that are looking to buy and hold.

One portfolio at Zacks is the epitome of buy and hold. At the start of every year, our Director of Research Sheraz Mian selects 10 stocks across several different sectors with the goal of holding them all year. As this year comes to a close he has one stock that is roughly 200% ahead of the purchase price and another that is up 136%.

Only one stock is down in the Zacks Top 10 Stocks portfolio. Sheraz updates the portfolio throughout the year, but keeps the focus on the long term and the broader macro environment. Zacks Top 10 Stocks will refresh the portfolio early in 2025.


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NVIDIA Corporation (NVDA) - free report >>

Tesla, Inc. (TSLA) - free report >>

Shopify Inc. (SHOP) - free report >>

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