Apple (AAPL 1.93%) and Meta Platforms (META 2.52%) are among the largest corporations on equity markets. Both have produced outstanding returns over the past decade or so.
And the good news for investors is that these tech leaders still have plenty of growth fuel and could, once again, beat the market through the next five years (and beyond).
Read on to learn more about these monster stocks.
Image source: Getty Images.
1. Apple
Some investors have been skeptical of Apple in recent years. The company's sales growth isn't what it once was, as its most important growth driver, the iPhone, no longer generates the excitement it once did.
There have also been issues related to tariffs, as well as concerns that Apple isn't capitalizing on artificial intelligence to the same degree as some of its similarly sized tech peers.
NASDAQ: AAPL
Key Data Points
Despite all that, there are solid reasons to hold on to Apple stock through 2031. The company's latest financial results have shown that the iPhone can still drive decent sales growth. Apple has returned to double-digit top-line growth rates thanks to its latest iPhone 17 and all the features it offers, including AI-powered ones.
AAPL Revenue (Quarterly YoY Growth) data by YCharts
Over the next five years, the company should make significant progress in adding AI features to its devices, from the iPhone to wearables, which could boost demand and sales for these products. Meanwhile, the company continues to expand its installed base and now boasts well over 2.5 billion active devices. That number should increase over the next half-decade, along with the company's service revenue.
This higher-margin segment will help boost the company's profits and margins as it accounts for a higher percentage of its top line. These opportunities and more could allow Apple to deliver superior returns, at least for investors who stick with the stock despite the headwinds it has faced.
2. Meta Platforms
Meta Platforms has been investing heavily in AI. So far, the company's efforts are paying off.
Thanks to various AI-powered initiatives, including recommendation algorithms across its websites and apps, as well as tools that help companies launch ads seamlessly, Meta Platforms has boosted engagement on its apps and increased ROI for advertising campaigns. The company is still at it and should make significant progress through 2031.
Meanwhile, Meta's expanding user base will help strengthen its ecosystem and make it an even more attractive hub for advertisers.
NASDAQ: META
Key Data Points
Meta Platforms is slowly ramping up other growth opportunities, including paid messaging on WhatsApp, while CEO Mark Zuckerberg thinks AI glasses are the next big thing. While these opportunities could contribute a little more to the company's revenue and earnings, its core advertising business should remain its best growth driver for the foreseeable future. And considering how well it is performing, Meta Platforms' shareholders can look toward the future with confidence.
