Got $2,500? 2 Top Stocks That You Can Buy and Hold for a Lifetime

These top stocks may be down now, but they’re some of the best performers of the last decade. Now is the time to lock them up!

| More on:

Image source: Getty Images

It can be hard to think about putting money into investing at a time like this. We now have the highest interest rate in place by the Bank of Canada since April 2008 at 3.75%. Yet we continue to watch the markets like hawks in hopes that soon there will be a market bottom that we can edge in on.

This is not the way a long-term investor should behave. Instead, investors need to rethink their strategies and instead focus on long-term investing; this is an opportunity for enormous long-term growth.

By doing this, you’re setting up yourself for success. It means simply choosing companies you know will come out the other side of this environment relatively unscathed. If you’ve been putting cash aside, hoping for a scenario that leads you to believe now is the time to buy, here’s your sign.

Constellation Software

It might not seem like the best time to get into tech stocks, but, honestly, in the case of Constellation Software (TSX:CSU), it couldn’t be better. This stock has outperformed over the last few decades on a strong strategy that will see it climb higher than ever before.

This is because Constellation has used its tried-and-true method of growing through acquisitions for years. It buys up necessary software, reinvigorates it, and then sends it back out to perform better than ever before. These programs include library software and subway software — things you never think about but are still necessary.

All this means that Constellation stock will continue to find cheap companies to buy up and expand for years to come. Its management has a proven track record of doing so. Now, with shares down 17.3% year to date, it couldn’t be a better time to jump in on the stock and hold it forever.

Want a sneak peak of what you’re getting? Constellation stock has risen 1,922% in the last decade for a compound annual growth rate (CAGR) of 35%!

WSP Global

Another stellar choice right now is WSP Global (TSX:WSP), and again for many of the same reasons as Constellation. No, it’s not a tech stock, but it offers the same stability as an infrastructure stock. It has a global portfolio, designing, advising, and managing infrastructure for private and public clients. It includes everything from railways and tunnels to highways and bridges.

Given its essential service, WSP stock continues to see revenue come in and rise, even during a downturn. Inflation will certainly come into play here, as will interest rates, but the stock has a proven track record.

Shares of WSP stock are down 10.3% year to date, giving you a great opportunity to jump in. And again, over the last decade, it’s done incredibly well — up 922% during that time. That’s a CAGR of 26.15%!

Bottom line

If you’re looking for long-term holds with proven track records of performance coupled with a growth strategy to be admired, then WSP stock and Constellation stocks are the choices for you. Each has a long-term plan that’s simple and effective. They’re essential services that will remain essential for decades. So, now is certainly the time to consider them while they’re down.

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.

Fool contributor Amy Legate-Wolfe has no position in any of the stocks mentioned. The Motley Fool recommends Constellation Software and WSP GLOBAL INC. The Motley Fool has a disclosure policy.

More on Stocks for Beginners

You Should Know This
Stocks for Beginners

5 Things to Know About Cargojet Stock in November 2022

Cargojet (TSX:CJT) stock should continue to see massive growth in the near and long term, thanks to long-term agreements and…

Read more »

Stocks for Beginners

4 Stocks I’d Buy Today and Hold Forever

Are you looking for stocks to buy today and hold forever? Here are four of my top picks!

Read more »

Simple life style relaxation with Asian working business woman healthy lifestyle take it easy resting in comfort hotel or home living room having free time with peace of mind and self health balance
Stocks for Beginners

3 Stocks That Lazy Investors Can Buy and Hold for a Decade or More

Are you looking for stocks that you can buy and let run for a decade or more? Here are three…

Read more »

Young adult woman walking up the stairs with sun sport background
Stocks for Beginners

New Investor? Buy These 2 Growth Stocks

These two growth stocks are perfect if you want superior growth in the near future but a long-term hold that…

Read more »

sale discount best price
Stocks for Beginners

Black Friday Sale! Grab These FIRE Stocks Before it’s Too Late

Black Friday isn't just about sales on products, but this year it offers sales on investments! So, pick up these…

Read more »

stocks rising
Stocks for Beginners

3 Renegade Stocks at All-Time Highs That Are Ignoring the Market Downturn

These stocks remain at 52-week highs, but don't let that fool you. They still have so much more growing to…

Read more »

grow money, wealth build
Stocks for Beginners

2 High-Potential Growth Stocks You Can Buy With $5,000

If you have an extra $5,000, a high-risk tolerance, and a long-term investment horizon, consider these growth stocks.

Read more »

Silhouette of businessman sit on chair and hold a cigar and looking at the city in night.
Stocks for Beginners

2 TSX Stocks That Could Make You Rich by Retirement

Invest with a long horizon and you can build a fortune for retirement. Here's two top TSX stocks that could…

Read more »