The stock market has seen remarkable performance over the last three years, but there’s still time to make strategic decisions.
Will the stock market maintain its upward trend in 2026, just as it has for much of the past decade? It’s tough to say for sure.
That said, we can generally expect that the major indexes will rise considerably over the next 10 years. For individual investors, there’s potential to achieve even higher returns by focusing on promising companies. Two noteworthy options to consider are SoFi Technologies and Uber Technologies.
1. SoFi Technologies
SoFi, an online banking platform, demonstrated impressive growth last year, with soaring revenue and growth in users and assets.
While one year of strong performance doesn’t guarantee long-term success, several factors position SoFi well for the future. It has quickly established itself as a leading digital bank.
Users can access a comprehensive range of services through an intuitive app, including options that many traditional banks lack, such as high-yield savings accounts. The average yields (APY) are around 3% to 4%, significantly higher than the sub-1% typical at some major banks.
This competitive edge is partly due to SoFi’s absence of physical branches, allowing it to save on expenses and pass these savings on to customers in various ways. Recently, management also brought back crypto trading—a feature many legacy banks avoid despite its appeal, especially for younger investors.
This is crucial. SoFi leads in modern banking models, which is particularly appealing to younger customers. As younger generations accumulate more wealth and seek banking services in the coming decade, SoFi is poised to be a top choice. This should contribute to significant business growth and strong revenue numbers.
Of course, risks do exist. The stock may currently be overvalued, and there are valid concerns surrounding its riskier personal loan offerings. Nonetheless, reasons for optimism remain.
SoFi mitigates the risk of personal loans by targeting affluent clients with strong credit profiles. Furthermore, the stock trades at a forward P/E ratio of 47, which shouldn’t overly concern long-term investors, given the company’s rapid growth and promising outlook for the next five years.
2. Uber Technologies
Some might find it hard to believe Uber will thrive over the next decade. The company is a market leader, yet the ride-hailing industry enjoys fierce competition.
How much can Uber expand, particularly with the emergence of self-driving vehicles, which are slowly becoming more common in certain areas? Despite these challenges, Uber’s future seems bright.
Despite stiff competition, Uber continues to show solid financial results. Last year saw impressive growth in both revenue and profits, as well as an increase in the number of trips and active monthly users.
This indicates strong ongoing demand for its services, leaving plenty of room for growth. Interestingly, in even the most saturated markets, only about 10% of adults utilize Uber services monthly.
We can’t pinpoint when demand will peak, but Uber’s growth trajectory suggests that it’s not there yet. The company enjoys strong network effects, where an increase in drivers attracts more riders and vice versa, helping it maintain its competitive edge.
Moreover, self-driving technology isn’t likely to become mainstream in the next ten years. Uber has also positioned itself as the preferred platform for leading self-driving car firms, keeping potential threats at bay. It’s already adapting to these shifts, which will likely take time to fully develop in major cities worldwide.
Looking ahead to 2036, Uber’s prospects appear very solid, making it a strong contender to endure through that timeframe.
