Technology can be a challenging sector for long-term investment due to the constant innovation that threatens market leaders. These stocks are the best at what they do now and still offer potentially solid investment returns in the coming decades as technology continues to evolve and these leaders may be the ones to profit from it.
1. Nvidia $NVDA
Artificial intelligence stocks are all the rage these days, and none have gained more recognition than Nvidia. The semiconductor company has built a business on gaming graphics processing units (GPUs), but has taken market share across industries that require dedicated GPUs for high-performance computing needs. That includes AI applications, where analysts estimate Nvidia has an 80% to 95% market share.
That's a big opportunity, considering the global AI industry could be worth trillions over time. While the stock has gained a staggering 200% since January, it still trades at a forward price-to-earnings ratio of 55, comparable to last summer,…