Does future technology excite you? Then this article is for you. I’ll try to provide a sneak peek at how the next 15 years will change the world. Back in 2005, over-the-top media platforms, virtual offices, e-commerce, and electric cars seemed like a joke. But 15 years later, they are multi-billion-dollar companies. Those who bet on this future are now rich.
The trillion-dollar stocks of 2035
The new-age investors are more open to the endless possibilities of technology. They are even investing in the future they believe. That is why you see billions of dollars invested in cryptocurrency and space travel. While space travel still has some time to commercialize, some tech trends have begun their journey to a trillion-dollar market cap.
I have identified two stocks that have proved the need for their products. Now the true test is scaling the tech and making it a household thing. If everything goes well, they hold the potential to become some of the largest stocks of 2035.
Lightspeed POS stock
In 2005, e-commerce was gradually building its base. Tech needs to address the pain points, be user friendly, and help users become addicted to it. In 2005, you rarely shopped from Amazon, but now you can’t imagine your life without it. Many other companies offer e-commerce platform, but no one could remove Amazon’s dominance. And today, its owner is the world’s richest man.
Amazon is at its prime age, and it might mature by 2035. So, what’s the next best thing? Amazon has created a global market. But now people are going niche. Many people are now looking for an omnichannel solution where they can even go to the store and manage their user experience online. They no longer like to wait in long queues outside their favourite restaurant or a barbershop. They prefer booking a time slot, ordering ahead while travelling, thereby saving time.
Lightspeed POS (TSX:LSPD)(NYSE:LSPD) is offering that omnichannel experience. It doesn’t target multinationals but local stores, which means it is a volume-driven business. It has many competitors, but it is acquiring them one by one to expand geographically, technically, and across verticals. It aims to become the Android of omnichannel solutions.
Since going public, the stock has surged 371% to an $11.7 billion market cap. But it has the potential to be a trillion-dollar valuation company by 2035.
Hive Blockchain Technologies (TSXV:HIVE) is another hidden gem. Crypto has come under fire for many reasons, like volatility, regulation, and scams. But that is something that happens with all revolutionary technologies. Crypto is a little rough around the edges. It needs a regulatory framework, a way to track scams, and polishing around the process and technology.
But the work is in progress. Canada launched the world’s first Bitcoin ETF to make investing in Bitcoin accessible to the TSX audience. El Salvador has become the world’s first country to make Bitcoin a legal tender. These many firsts hint that Bitcoin is now on its way to become a global currency alongside paper currency.
Hive is one of the early crypto mining companies that went public in October 2010, a year after Bitcoin was developed. It mines BTC, Ethereum, and other cryptocurrencies at its data centre farms in Canada, Sweden, and Ireland. Hive has a BTC inventory, which it sells to raise money for advanced equipment. Investing in Hive is equivalent to betting on its BTC and ETH inventory.
In 2021, Hive stock surged 172% during the BTC rally and fell 54% in the BTC dip. But in the last 10 years, it has surged 770%. BTC has a bright outlook. By 2035, it could become a coin that every household has.
The problem with the future is you can’t predict it with 100% accuracy. But you don’t need to. Even venture capitalists have a success ratio of one in 100 when they search for a unicorn. Even if one of your investments becomes a trillion-dollar success, it will negate losses from other investments and make you rich. Such is the math of growth stocks.
This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium service or advisor. We’re Motley! Questioning an investing thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and richer, so we sometimes publish articles that may not be in line with recommendations, rankings or other content.
John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool’s board of directors. Fool contributor Puja Tayal has no position in any of the stocks mentioned. David Gardner owns shares of Amazon. The Motley Fool owns shares of and recommends Amazon and Lightspeed POS Inc and recommends the following options: long January 2022 $1920 calls on Amazon, and short January 2022 $1940 calls on Amazon.