2 Top Growth Stocks to Buy in the 2024 Bull Market and Hold for the Long Term

The stock market has kept investors on their toes over the past few years. By mid-2024, the market has definitely seen a robust period.

THE S&P500 is trading up about 16% from January as of this writing. Keep in mind that the average annual return of the stock market is around 10%, measured over almost 100 years.

If you’re looking for stocks to buy and hold for the long term, you should have a minimum investment horizon of three to five years and a strong thesis about the underlying companies. On that note, here are two solid competitors to consider that seem like obvious buys in 2024 and beyond.

1. Palantir

Palantir Technologies (NYSE:PLTR) is known for its various big data analytics software platforms used by private and public organizations around the world.

For corporate clients like Morgan Stanley And Merck and entities dealing with highly sensitive information, such as the United States Intelligence Community and the Department of Defense, Palantir has been a pillar of digital infrastructure since its founding 20 years ago.

It does not store data. The company creates software platforms that enable customers to better process and examine data to make decisions that lead to more efficient operations.

An example in a business context is that of the pharmaceutical company Merck, which used software developed by Palantir to facilitate medical research and drug development as well as to make forecasts about supply chains. Government customers use the software for top secret work and to track their budgets.

Last year, Palantir launched its Artificial Intelligence Platform (AIP) to support decision-making across a wide range of objectives. Rapid adoption of AIP is driving strong revenue and profitability growth, as is the company’s continued diversification of its revenue mix.

For many years it relied almost entirely on government customers, and while those still make up a large slice of the pie, growth in commercial customers has exploded.

In the first quarter of 2024, Palantir reported its sixth consecutive quarter of profitability under generally accepted accounting principles (GAAP), totaling $106 million. Revenue increased 21% year over year to $634 million. Of this total, commercial revenues were $299 million, an increase of 27% year-on-year, while government revenues increased 16% year-on-year to $335 million.

Palantir’s customer base increased 42% from the year-ago period. Management reports that companies, including a leading U.S. energy and infrastructure company and a multinational airline, rely on AIP for many uses. Lowe’s Companieswho had never used AI before, adopted the AIP platform to help over 1,000 customer service agents, reducing overdue tasks by 75%.

The story continues

Investors appear to have renewed interest in the stock, with shares trading up more than 60% from a year ago as of this writing. The company’s growing profitability and expansion of its customer base bode well,…