The best way to grow your wealth and better prepare yourself for retirement is to invest your money in promising stocks. Growth stocks are a great bet for the future and can help you increase the value of your portfolio over time. Some stocks also pay increasing dividends to boot, allowing you to enjoy a growing stream of passive income.
With President Donald Trump announcing a wide set of tariffs, there could be increased costs for a range of companies. However, if you choose businesses with strong business moats, and a long track record of growing their revenue and profits, then you won’t go wrong. Such businesses should also have great brand recognition and possess catalysts that can help them to continue growing despite the newly announced tariffs.
Here are three solid picks you can confidently own for the next 10 years or more.
Visa (NYSE: V) is a giant in the payments processing space, helping to ensure secure and convenient transactions between vendors and their customers. The company boasts a solid track record of growing its revenue, net income, and free cash flow, as shown in the table below.
Metric |
2022 |
2023 |
2024 |
---|---|---|---|
Revenue (in billions) |
$29.3 |
$32.7 |
$35.9 |
Operating income (in billions) |
$18.8 |
$21.0 |
$23.6 |
Net income (in billions) |
$14.9 |
$17.3 |
$19.7 |
Free cash flow (in billions) |
$17.9 |
$19.7 |
$18.9 |
Data source: Visa. Fiscal years end Sept. 30.
Visa has also increased its dividend without fail every single year since its initial public offering in 2008. The latest quarterly dividend stood at $0.59, a 13.5% year-over-year increase from the $0.52 paid out in the previous corresponding period. At Visa’s latest share price of $324.61, shares provide a forward dividend yield of 0.7%.
Visa’s strong financial performance continued in the first quarter of fiscal 2025. Revenue rose 10.1% year over year to $9.5 billion while operating income inched up 4.7% to $6.2 billion. Net income continued to climb, increasing by 4.7% to $5.1 billion. Free cash flow jumped 50.9% to $5.1 billion, showcasing Visa’s strong free-cash-flow generation capability.
The payments giant saw total transactions increase by 9% year over year to 81.7 billion for the quarter while cross-border volume increased by 15% year over year. Visa had a total of 4.7 billion credit and debit cards in issue at the end of last year, a clear indication of the company’s widespread global reach.
Visa also continually rolls out new products that deliver benefits to customers, vendors, and merchants. Earlier in April, the company released three new products, reimagined Authorize.net, Unified Checkout, and ARIC Risk Hub, that make accepting payments easier and more secure.