All investors should make an effort to diversify their portfolios. This means diversification in terms of what sectors you invest in but also with respect to what countries those companies are from. The American stock market is notable, because some of the most exciting companies in the world are listed there. In this article, I’ll discuss my three favourite stocks that trade in the United States. I believe investors should buy these stocks right now and hold them for the next 10 years.
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My favourite stock in the world
If I could only buy one stock, it would be Sea Limited (NYSE: SE). This is such an interesting company, because it operates three distinct business lines in important and emerging industries. Its first business segment is Garena, which is involved in the development and publication of online games. Garena is also one of the most recognizable names when it comes to esports, which is expected to grow at a fast rate in this decade.
The second business line that Sea Limited operates is Shopee. This is the largest e-commerce platform in southeast Asia, with an estimated 343 million monthly visitors. Today, Shopee operates in 13 countries from Asia, Europe, and North and South America.
Finally, Sea Limited’s business features SeaMoney, which is responsible for digital payments and financial services.
One of the greatest growth stocks, in my opinion, Sea Limited reported a 64% year-over-year (YoY) increase in its first-quarter (Q1) revenue during its latest earnings presentation.
A stock that could change the world
If you were to survey 1,000 young people, I’d be willing to bet that the vast majority of those individuals would rather stay at an Airbnb (NASDAQ: ABNB) as opposed to a hotel. This shift in consumer behaviour could power Airbnb stock to new heights over the course of the decade.
In Q2 2022, Airbnb reported a 25% YoY increase in total bookings. That resulted in US$2.1 billion of revenue over the quarter, representing a 58% YoY increase. Airbnb also reported its most profitable second quarter in history, with US$379 million in profits. These numbers all bode very well for Airbnb moving forward.
In fact, the company is so confident in its future that it approved a $2 billion share-repurchase program. I believe this company could be one of the biggest in the world by the end of the decade.
The largest position in my portfolio
If you’ve read my articles and ever wondered which stock represents my largest position, now you know. Tesla (NASDAQ: TSLA) is by far the largest position in my stock portfolio. The reason I was attracted to this company was because of its mission to provide quality electric vehicles as a replacement for gas-powered vehicles. Although its CEO is often subject to a lot of scrutiny, there’s no denying that Tesla’s product is a leader in a very important space.
In 2021, it was reported that Tesla held a 70% share of the American electric vehicle industry. The next largest market share belonged to Nissan at 8.5%. That kind of market dominance is why many growth investors believe Tesla could be a must-have stock in this decade. However, it’s important that the company continues to grow and doesn’t become complacent.
In its most recent earnings report, Tesla reported a 43% YoY increase in its automotive revenue, which suggests that it’s still on the right track.
