The Nasdaq Composite index has risen 118% in five years despite the COVID-19 epidemic and a 2022 economic crisis. The graphic shows how profitable investing in some companies and holding through market downturns can be.
Thus, investing in Nasdaq Composite leaders with long-term holding ambitions is a good option. As the world's second and sixth most valuable firms, Apple is an interesting alternative.
Apple's stock is up 319% since 2019 and Amazon's 96%. Both firms dominate their industries and have generated numerous millionaires. Apple and Amazon have intriguing developments that could lead to big advantages in the future. Here are one amazing stocks that have made and will make billionaires.
Apple Apple has always given committed investors strong returns. However, frequent business hits and product sales issues have lowered its stock 1% since 2024. Product sales fell and key countries like China preferred domestic products over Apple's, raising questions about the company's long-term viability.
Apple is using AI to expand its product business. A fast-growing services business is reducing the company's dependence on product sales. Apple shares rose 16% in the last month nearly exclusively due to its AI expansion. The new iPad Air boosted investor confidence in early May. The tablet is the first to employ Apple's largest chip, the M4, which boosts AI capabilities.
Apple will also update its Macs and smartphones to meet burgeoning AI demand. Despite recent setbacks, Apple dominates consumer tech. The corporation has ample opportunity to promote its AI solutions because billions of consumers prefer its products over competitors.
Apple's digital services sector is flourishing alongside AI. Revenue growth was 14% year over year in the second quarter of 2024 (ending March 2024), exceeding all other segments. Services' growth helps Apple to rely less on its products, protecting it from macroeconomic headwinds.
There may be better-valued options than Apple with a 29 P/E. Apple may be one of the best-valued AI stocks because its figure is far lower than Amazon's 40 and Microsoft's 36. In addition to its tech might, Apple may make you a millionaire right now.