Best Stocks to Buy and Hold Forever

Best Stocks to Buy and Hold Forever

Sometimes, people buy stocks with the intent of selling them at a later point in time. Other times, people buy stocks with the intent of holding them forever. There are some stocks that make better choices for the latter investment strategy than others.

Thinking About Buy and Hold?

Best Stocks to Buy and Hold Forever   Thinking About Buy and Hold
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When people think about investing, a lot of them think about buying stocks at a low price before selling those same stocks at a high price. However, it is important to note that there are other stock investment strategies, with an excellent example being buy and hold. This is pretty much exactly what it sounds like, which is to say, buying a stock and holding onto it for the long run. This is something that can work out quite well because some stocks are very reliable while still providing respectable returns.

American States Water

Best Stocks to Buy and Hold Forever   American States Water
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American States Water is an excellent example of a dividend aristocrat. For those who are unfamiliar, a dividend aristocrat is a stock that has managed to increase its dividend again and again for at least 25 years. However, American States Water stands out by being a dividend king, meaning that it has managed the same feat for at least 50 years. Based on its name, interested individuals should have no problem guessing that the company is a regulated utility, meaning that the demand for its product is quite consistent over time. For that matter, it should be mentioned that American States Water has 50-year, fixed-price government contracts, which provide it with a considerable measure of stability.

Johnson & Johnson

Best Stocks to Buy and Hold Forever   Johnson   Johnson
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Johnson & Johnson is the one healthcare stock that has managed to be recognized as a dividend king – something that speaks volumes about its reliability in the long run. Having said that, interested individuals should remember that Johnson & Johnson has a diverse range of products that cover everything from consumer health to medical devices and pharmaceuticals. Diversification is good because it means that even if one product fails, chances are good that the same conditions won't hit every other product in the same portfolio. Moreover, almost 25 percent of Johnson & Johnson's sales come from products released within the last five years, which should make it clear that the company is by no means stagnant.

PPG Industries

Best Stocks to Buy and Hold Forever   PPG Industries
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PPG Industries is one of the biggest companies in the entire world when it comes to paints and coatings. In particular, it dominates aerospace and automotive coatings. However, it is by no means limited to those markets. Regardless, PPG Industries has considerable potential for future growth. This can be seen in how it has been eyeing the electric vehicle market. Similarly, this can be seen in its plans for expansion in both the Chinese market and the Indian market. Having said that, interested individuals should know that PPG Industries is another dividend king, meaning that it has a proven record of increasing dividends over time.

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