The technology sector is known for Volatile market action And the tendency to achieve strong long-term returns. There have also been many failed growth stories and burned-out trends along the way, but the big winners have been able to make up for those disappointments. Industry giants love Microsoft (NASDAQ:MSFT) and apple (Nasdaq: Apple) It’s made plenty of millionaires over the past four decades, and now investors are looking for the next game-changing hero in the same mold.
I’m here to show you some technology stocks that could deliver on that promise over the long term. A modest investment in Accurate strategy (NASDAQ:MSTR) or year (NASDAQ:ROKU) It could make you millions over the next two decades.
Of course, none of these companies will have an easy path to a wealth-building future. There are economic challenges and hungry competitors everywhere, and a lot can go wrong. But if they play their cards right, these stocks are poised for market-beating returns and decades of shareholder-friendly success.
So the two names mentioned above are some of my favorite technology stocks to buy today and hold for the long term. Here’s how.
MicroStrategy’s massive Bitcoin bet could fuel a future software empire
It’s no secret that investing in MicroStrategy is a pretty straightforward bet Bitcoin (Crypto: Bitcoin).
The company owns more cryptocurrency than almost any other company, according to BitcoinTreasuries.net. The only exception is iShares Bitcoin Trust ETF (NASDAQ:EBIT)which is the largest Bitcoin ETF on the market. MicroStrategy has bought 252,220 Bitcoin so far, and continues to add to that total every time Chairman Michael Saylor manages to get hold of more cash.
This may not seem like a lot of technology stocks at first glance. However, Saylor and MicroStrategy have been around for decades, having built a respectable suite of enterprise-level data analysis tools. Right now, a solid Bitcoin strategy can lay the foundation for epic long-term growth in the software space.
If Saylor’s pink analysis of Bitcoin’s future pricing prospects turns out to be correct – Or at least in the right ballpark — MicroStrategy will soon have cash reserves that rival those of Apple or Microsoft. Saylor’s price target of $13 million per coin by 2045 would bring the company’s current Bitcoin reserves to approximately $3.3 trillion, not counting any additional Bitcoin purchases. Not even Apple can compete with that financial platform today.
In the technology sector, big money can buy you top-notch engineers and expensive, innovative projects. So MicroStrategy is Bitcoin’s game today, and will likely evolve into a software giant in the long term.
Roku’s low rating represents an opportunity
Cord cutting is not a new trend, but it is here to stay. Streaming media services are taking over the entertainment industry in place of legacy cable, satellite and streaming platforms.
Roku was one of the early players on the hardware and software side of this compelling growth story, and it continues to be a leader today. A recent Pixalate report shows that Roku-powered devices hold a 48% share of the connected devices market in North America.
And if you thought Roku’s growth prospects were running out as media markets in the US and Canada became saturated with digital streaming platforms – think again. It’s a big world out there and Roku has barely begun to explore foreign business prospects.
When you examine Roku’s financial filings, you’ll find that international markets have never generated more than 10% of Roku’s total revenue in any given year. In other words, the opportunities for growth in new areas are enormous.
The lessons learned in North America should help Roku conquer the digital media world overall. This has turned out to be an effective game-changing plan in the past. If you invest $4,000 in Netflix (Nasdaq: NFLX) 20 years ago, you would have more than $1.1 million today. Roku is exploring a similar path to international growth, and it’s only just getting started.
Meanwhile, bears are focusing on weak digital ad sales in recent years, and Roku shares are trading at a bargain basket valuation of 2.9 times sales. The low price makes it easy to create a Roku site of game-changing proportions.
I’m not saying that investing $4,000 in Roku today will earn you $1 million by 2044, but any reasonable combination of a strong initial investment and many years of stoic patience should do the job. In short, Roku is my favorite stock to buy in the fall of 2024.
Don’t miss this second chance at a potentially lucrative opportunity
Have you ever felt like you’ve missed out on your most successful stock buying journey? Then you’ll want to hear this.
On rare occasions, our team of expert analysts issues a “Double bottom” stock. Recommendation of companies they think are about to emerge. If you’re worried about missing your opportunity to actually invest, now is the best time to buy before it’s too late. The numbers speak for themselves:
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Amazon: If you invested $1,000 when we doubled your money in 2010, You will have $21,139!*
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apple: If you invested $1,000 when we doubled your money in 2008, You will have $44,239!*
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Netflix: If you invested $1,000 when we doubled your money in 2004, You will have $380,729!*
We are currently issuing “double” alerts for three amazing companies, and there may not be another opportunity like this anytime soon.
*Stock Advisor returns as of October 14, 2024
Anders Billund He has positions in Bitcoin, Netflix, and Roku. The Motley Fool has positions in and recommends Apple, Bitcoin, Microsoft, Netflix, and Roku. The Motley Fool recommends the following options: long $395 January 2026 calls on Microsoft and short $405 January 2026 calls on Microsoft. The Motley Fool has Disclosure policy.
2 millionaire technology stocks maker Originally published by The Motley Fool
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