3 Monster Stocks to Hold for the Next 10 Years

2025-02-14 03:14:00 ET

None of these three stocks are conventionally cheap, but they all have huge growth potential from megatrends already in place, making them attractive stocks for investors to buy for the long term. Here's why electronic design automation (EDA) company Synopsys (NASDAQ: SNPS) , design and product management software company PTC (NASDAQ: PTC) , and advanced composite materials company Hexcel (NYSE: HXL) are stocks worth taking long-term positions on.

Synopsys makes EDA software engineers use to design and test silicon chips, which naturally includes AI-driven semiconductors. In fact, management describes Synopsys as "an AI company" that's "in the early stages of the AI transition."

While there is no end to companies looking to jump on the AI bandwagon, there is a strong case for AI applications being the catalyst for long-term growth at Synopsys. While the company's traditional end-market customers are in semiconductors and electronics, the growth of AI applications is leading to a surge in AI chip design. Not only is that good news for demand coming from Synopsys's traditional customers, but it also broadens the growth opportunity to encompass areas like automotives, aerospace, healthcare, and software.

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