For any investor aspiring to be brilliant, thinking long-term instead of short-term is a great first move. Studies have shown that a stock's valuation is one of the biggest factors for price movements over the short term. But valuation is often unpredictably driven by the whims and fancies of the market. It's impossible to predict and it makes it hard for short-term investors to consistently make money in stocks.
By contrast, investors who know how to analyze businesses can make reasonable assumptions about the future. And business results drive long-term stock prices. In other words, by focusing on long-term business fundamentals, investors can better anticipate upward stock moves.
Trading a short-term coin flip for a long-term probability is a brilliant move any investor can make. It's an important part of a winning approach to investing.
Image source: Getty Images.
For those ready to think brilliantly about making long-term investments, here are three stocks that are worth considering.
1. Amazon
In North America, Amazon (AMZN +0.92%) just generated $93 billion in revenue in a single quarter (2025's Q1). The scale of its e-commerce business is absolutely massive. And thinking long-term, I can't imagine it being replicated, let alone replaced.
NASDAQ: AMZN
Key Data Points
In spite of the mature scale of this business, I'm still impressed with Amazon's ability to become more efficient and consequently more profitable. It's been a leader in warehouse automation for years, which has helped. But now it's even testing humanoid robots to aid delivery drivers, according to tech industry-focused business media site The Information.
I don't know whether the delivery robots will come to fruition or not. But I am sure that Amazon will keep tinkering with its e-commerce business, making it more lucrative than ever.
That said, e-commerce is just a part of Amazon's business, and it's not even the most exciting part for long-term investors. That distinction goes to Amazon Web Services (AWS), which is a cloud computing business.
As of Q1, AWS was a $117 billion run-rate business, growing at a 17% pace, and boasted a 39% operating profit margin. As artificial intelligence (AI) grows in popularity, cloud computing is more important than ever, giving AWS years of runway and Amazon stock plenty of long-term upside.
2. Celsius
In recent years, Celsius (CELH +0.21%) has jumped from obscurity to one of the hottest beverage makers in the country. The stock price followed a similar trajectory, growing by multiples in the past few years. The stock is currently trading down more than 50% from its early 2024 highs because sales have hit a wall -- revenue in the first quarter of 2025 was down 7% year over year and down 10% in North America. But brilliant investors are still looking beyond Q1 results to the long-term potential.
NASDAQ: CELH
Key Data Points
Celsius is a cash-rich, debt-free, profitable business, and it's using its resources to really build out its own little empire. This buildout has multiple facets. First, it recently acquired fast-growing competitor Alani Nu. Acquiring a potential threat is a strategy that all of the big beverage companies use. Second, it's taking greater control of its business by becoming vertically integrated with the acquisition of drink manufacturer Big Beverage. And third, it's developing a portfolio of new products, including hydration products.
In other words, Celsius has climbed the ladder in its space, and now it has the resources to ensure it stays there. It can protect its position by buying rising brands. It can become more profitable with vertical integration. And it can grow revenue with new products. In short, Celsius isn't done yet, in spite of its lackluster Q1.
Moreover, all of this doesn't even acknowledge Celsius' international opportunity. Only 7% of Q1 revenue came from outside of North America. Management has steadily launched in new markets over the past year, and the trend should continue. Even if international revenue eventually merely matches North American revenue, Celsius stock could still be a big long-term winner.
3. Roku
I believe that Amazon stock and Celsius stock are pretty close to no-brainer opportunities for long-term investors today. I don't necessarily believe that about Roku (ROKU +2.11%) stock right now. In short, it's been a disappointment in recent years. But its long-term opportunity is compelling enough that I thought it was still worth highlighting here.
NASDAQ: ROKU
Key Data Points
A big TV screen is the most attractive way for advertisers to reach consumers and Roku is closing in on being used in 100 million households. Moreover, advertisers increasingly prefer to target specific consumers at specific times with an auction ad process known as programmatic advertising. Roku facilitates this as well.
Roku stock is trading down about 25% over the last five years, but it's not due to a lack of growth -- revenue has tripled over this time. But the company has diluted shareholders with its generous use of stock-based compensation for its employees. Moreover, the chart below shows that its spending on sales and marketing (as a percentage of revenue) has increased while its growth rate has plunged -- that's a bad combo.
Data by YCharts.
In other words, Roku is spending more money to grow, but the growth rate has dropped anyway. How much would it be growing if it weren't spending so much? That's an uncomfortable question to ponder.
Even with its own struggles, Roku's business appears to be aptly positioned for huge ongoing shifts in advertising strategies and spending. I fully expect it to continue to grow at a fast pace, which makes it hard to dismiss. Moreover, the stock is at least attractively priced today at less than 3 times sales. If it continues to grow and management can exercise some discipline, Roku stock could finally soar.
Whether Roku stock is a brilliant buy today is up for debate. I believe that Amazon stock and Celsius stock are much safer. But whichever stock is the best today, the better thing for investors to remember here is that thinking long-term, as opposed to short-term, is always the more brilliant investing approach.
