We asked Google Bard, Google’s version of ChatGPT, what would be the best 20 stocks to own for the next 20 years and here is what happened.
The Top 20 Stocks Of the Next 20 Years According to Google Bard
According to Google Bard here are the top 20 stocks to own for the next 20 years:
| 1 | Amazon (AMZN) |
| 2 | Apple (AAPL) |
| 3 | Microsoft (MSFT) |
| 4 | Alphabet (GOOGL) |
| 5 | Tesla (TSLA) |
| 6 | Alibaba (BABA) |
| 7 | Tencent (0700.HK) |
| 8 | Nvidia (NVDA) |
| 9 | Meta (META) |
| 10 | Johnson & Johnson (JNJ) |
| 11 | Berkshire Hathaway (BRK.A) |
| 12 | Bank of America (BAC) |
| 13 | JPMorgan Chase (JPM) |
| 14 | UnitedHealth Group (UNH) |
| 15 | Moderna (MRNA) |
| 16 | Pfizer (PFE) |
| 17 | Gilead Sciences (GILD) |
| 18 | 3M (MMM) |
| 19 | Costco (COST) |
| 20 | Starbucks (SBUX) |
Google Bard adds, “these companies are all leaders in their respective industries, and they are all well-positioned to benefit from long-term trends, such as the growth of the internet, the aging population, and the increasing demand for healthcare. Of course, there is no guarantee that these companies will be successful in the next 20 years. However, they all have the potential to grow significantly, and I believe that they are worth considering for investors who are looking for stocks with the potential for long-term growth.”
Methodology
The Top 20 Stocks of the Past 20 Years
We first ask Google Bard what are the top performing stocks of the past 20 years ranked by growth:
Here are the 20 top performing stocks for the past 20 years, ranked by their approximate growth:
| Rank | Company | Approximate Growth |
|---|---|---|
| 1 | Monster Beverage Corp. | 116,700% |
| 2 | Apple Inc. | 61,735% |
| 3 | Nvidia Corp. | 35,879% |
| 4 | Booking Holdings Inc. | 25,877% |
| 5 | Equinix Inc. | 22,821% |
| 6 | Amazon.com Inc. | 20,000% |
| 7 | Pool Corp. | 19,000% |
| 8 | Intuitive Surgical Inc. | 18,000% |
| 9 | Amphenol Corp. | 17,000% |
| 10 | Qualcomm Inc. | 16,000% |
| 11 | NVR Inc. | 15,000% |
| 12 | The Home Depot Inc. | 14,000% |
| 13 | Mastercard Inc. | 13,000% |
| 14 | Costco Wholesale Corp. | 12,000% |
| 15 | Visa Inc. | 11,000% |
| 16 | Cisco Systems Inc. | 10,000% |
| 17 | Oracle Corp. | 9,000% |
| 18 | Johnson & Johnson | 8,000% |
| 19 | Berkshire Hathaway Inc. | 7,000% |
| 20 | Walt Disney Co. | 6,000% |
Please note that these are approximate growth rates, and the actual growth rate of any stock may vary depending on the specific time period and other factors.
It’s important to remember that past performance is not a guarantee of future results. Any investment decision should be made on the basis of your own individual circumstances and risk tolerance.
Why did these companies did so well in the past 20 years?
We then asked Bard what are the reasons these stocks performed so well:
There are many reasons why these companies did so well in the past 20 years. Some of the most common factors include:
- Strong underlying businesses. These companies all have strong underlying businesses that have benefited from secular trends, such as the growth of the internet, the aging population, and the increasing demand for convenience.
- Excellent management. The management teams of these companies have done an excellent job of executing on their strategies and driving growth. They have also been able to make strategic acquisitions that have helped to accelerate their growth.
- Favorable market conditions. The overall market conditions have been favorable for these companies over the past 20 years. This has included low interest rates, which have made it easier for companies to borrow money and invest in growth.
- Luck. There is always an element of luck involved in any successful investment. These companies have certainly benefited from some lucky breaks, such as the timing of their entry into new markets or the development of new technologies.
It is important to note that past performance is not a guarantee of future results. Any investment decision should be made on the basis of your own individual circumstances and risk tolerance.
Here are some additional thoughts on why these companies did so well:
- Innovation. Many of these companies have been at the forefront of innovation in their respective industries. This has allowed them to create new products and services that have captured the attention of consumers.
- Global reach. These companies have all been able to expand their reach into new markets around the world. This has helped them to grow their sales and profits.
- Brand strength. These companies have all built strong brands that are recognized and trusted by consumers. This has given them a competitive advantage over their rivals.
Overall, these companies have all benefited from a combination of factors that have allowed them to achieve sustained growth over the past 20 years. It remains to be seen whether they will be able to maintain this level of growth in the years to come, but they are certainly well-positioned for success.
What Should Have Been The Best Performing Stocks?
We then ask what stocks would have been chosen 20 years ago based on these characteristics:
Sure, here are 20 stocks that would have been chosen 20 years ago based on the characteristics you mentioned:
| 1 | Amazon.com (AMZN) |
| 2 | Apple (AAPL) |
| 3 | Microsoft (MSFT) |
| 4 | Google (GOOGL) |
| 5 | Walmart (WMT) |
| 6 | Home Depot (HD) |
| 7 | Johnson & Johnson (JNJ) |
| 8 | Berkshire Hathaway (BRK.A) |
| 9 | Exxon Mobil (XOM) |
| 10 | Visa (V) |
| 11 | Mastercard (MA) |
| 12 | Cisco Systems (CSCO) |
| 13 | Oracle (ORCL) |
| 14 | McDonald’s (MCD) |
| 15 | The Coca-Cola Company (KO) |
| 16 | AT&T (T) |
| 17 | Wells Fargo (WFC) |
| 18 | Bank of America (BAC) |
| 19 | UnitedHealth Group (UNH) |
| 20 | Procter & Gamble (PG) |
These stocks were all well-established companies with strong underlying businesses. They were also leaders in their respective industries and had strong management teams. Additionally, they were all benefiting from secular trends, such as the growth of the internet and the aging population.
Of course, there is no guarantee that these stocks would have performed well over the past 20 years. However, they were all well-positioned for success and would have been good choices for investors who were looking for stocks with the potential for long-term growth.
The Top 20 Stocks of the Next 20 Years
Finally we ask what would be the top 20 stocks for the next 20 years and we end up with the list mentioned at the beginning of the article.
As with any investment, it is important to conduct thorough research and seek professional advice before making decisions. Large language models such as the ones used by Google Bard are still very recent and their performance for stock market investments is still largely unknown. That said it’s interesting to see how these tools can provide articulated answers on complex problems such as long term stock market investing. Will these stocks perform well in the next 20 years? Only time will tell.