2 Top Stocks to Keep for the Next 5 Years

Anyone can grow wealth in the stock market—patience and smart choices are key. Here, we’ll spotlight two competitive companies that show promising growth potential.

Shares of Alphabet (Google +0.96%) (GOOG +0.96%) and Navitas Semiconductor (NVTS 0.05%) are set to outpace the broader market by a significant margin in 2025, potentially driving major gains in the years ahead.

Alphabet (Google)

A $10,000 investment in Alphabet from five years ago is now valued at over $36,530. Millions globally utilize Google services like Search and Gmail, and with ongoing investments in artificial intelligence (AI), this stock likely offers strong future returns.

Alphabet has robust growth across its various sectors. Its third-quarter earnings revealed a 16% year-over-year revenue increase, largely fueled by expanding ad revenue on Google Search and YouTube. The company has seen increased user engagement following the addition of AI features, despite facing competition from other AI tools like ChatGPT.

While online advertising currently makes up most of Google’s revenue, this is subject to change. Its cloud computing segment is rapidly growing, with Google Cloud’s third-quarter revenue climbing 34% year-over-year, outpacing rivals in the $390 billion cloud market.

Key data points

Gemini is the flagship AI model for Google, integral to all its services and enterprise tools on Google Cloud. CEO Sundar Pichai mentioned in a Q3 analysts’ call that Gemini is processing 7 billion tokens per minute through third-party AI applications. Active users of the Gemini app have reached over 650 million, with queries tripling since Q2.

For the continued growth of Gemini, substantial investment in data center infrastructure is crucial. The company plans to use its $151 billion in trailing operating cash flow to enhance its technology infrastructure to meet rising demand.

Wall Street forecasts revenue for Alphabet will hit $400 billion and adjusted net income will be around $128 billion by 2025. By 2030, expected sales could reach $635 billion, with adjusted net income nearing $200 billion, likely boosting stock prices alongside this growth.

Navitas Semiconductor

The demand for power and electrical infrastructure surpasses economic growth, particularly prominent in the AI data center sector, where experts warn of potential power shortages ahead.

Top hyperscalers are focusing on optimizing power efficiency for AI training workloads, presenting a substantial opportunity for Navitas Semiconductor, which specializes in power control chip solutions. Its stock has surged 130% over the last year and could yield impressive returns for investors through the decade.

Navitas is shifting focus away from the consumer market due to AI prospects, resulting in a short-term revenue decline. In the third quarter, the company reported revenue of $10 million, down from $21.7 million a year earlier. However, demand for its gallium nitride (GaN) and high-voltage silicon carbide (SiC) products is expected to rebound in 2026 and accelerate further thereafter.

Key data points

As a major GaN supplier, Navitas has delivered over 300 million GaN products in the last seven years. The acquisition of GeneSiC in 2022 has enhanced its growth potential, positioning it to cater to various power needs.

Analysts anticipate a 45% decrease in Navitas’ sales to $45 million by 2025; yet, they expect a rebound to $130 million by 2028. Recently, Nvidia introduced an 800-volt DC power architecture for AI data centers and highlighted Navitas as a supply partner for its power control solutions.

Although currently not profitable, Navitas is expected to turn a profit by 2028, as management prioritizes long-life, high-margin product investments that could lead to attractive returns for investors.