You can invest your hard-earned cash in many ways. Bonds, gold, real estate and rare currencies are just some of the assets chosen by some investors. But if you want to put your money to work to generate huge long-term returns, nothing beats the track record and liquidity of stocks.
However, not all stocks will offer fantastic returns. Those who do are usually innovators in fast-growing markets – the types of businesses that are practically guaranteed to grow. Here are three stocks that are so unstoppable that they should make you a fortune in the long run.
1. Intuitive surgery
You will be hard pressed to find a more innovative company than Intuitive surgery (NASDAQ: ISRG). The company pioneered the development of robotic surgical systems. Today, more than 5,600 Intuitive da Vinci systems are installed worldwide, with over 1.2 million procedures performed each year using these systems.
Is Intuitive Surgical really unstoppable? After all, the company’s business has been hit hard by the COVID-19 pandemic. Rivals are moving into the surgical robot market, attracted by the huge success of Intuitive.
I’m not worried about either factor. The pandemic is just a temporary headwind for the company. The growth potential of the market is so great that more companies will be able to win. This is especially true of Intuitive due to its great advantage.
Demographic trends are likely to help Intuitive grow. Population aging in the United States and around the world will result in increased demand for many of the procedures for which robotic surgical assistance is suitable. Currently, the vast majority of surgeries do not involve robots. Intuitive continues to develop technology that expands applications for robotic surgical systems.
The company also has the opportunity to expand into adjacent markets. Intuitive did just that earlier this year with the acquisition of hospital information technology provider Orpheus Medical.
2. Teladoc Health
Teladoc Health (NYSE: TDOC) ranks as one of the biggest winners among healthcare titles so far this year. The COVID-19 pandemic has fueled a surge in the use of telemedicine services, with Teladoc a key beneficiary of this trend.
About 70 million Americans currently have access to Teladoc’s services. There is roughly the same number of potential users with existing Teladoc customers, which gives the company a great opportunity for growth right under its nose. The remaining untapped US market is even larger, and Telehealth’s international market share for highly developed countries is still less than 1%.
Of course, Teladoc faces a lot of competition. One of its rivals, American good, recently gone public and has the financial backing of Alphabet Google subsidiary. My view, however, is that Teladoc’s size and international operations give it a clear advantage over AmWell and other competitors.
I think this competitive advantage will become even greater with the acquisition of Teladoc Livongo Health (NASDAQ: LVGO) closes. The addition of Livongo, which runs a digital healthcare platform to help people manage chronic conditions like diabetes and hypertension, will make Teladoc more attractive to customers looking to control healthcare costs with technology.
3. The Trade Desk
The Trade Desk (NASDAQ: TTD) dominates the market for programmatic advertising on the purchase side. Programmatic advertising uses technology to buy and sell ads instead of the personal negotiations of the past. It enjoyed rapid growth, driven by the boom in digital advertising.
Advertising spending, in general, has decreased due to the COVID-19 pandemic. However, this should only be an inconvenience to The Trade Desk’s growth. In fact, the flexibility the firm’s platform offers to advertisers puts The Trade Desk in great shape as ad spend bounces.
Connected TV (CTV) represents a huge growth opportunity for the company. Trade Desk CEO Jeff Green believes this opportunity is even greater due to the pandemic. He recently stated that “the COVID-19 pandemic has permanently accelerated the growth of connected television, forever changing the television landscape.” He added: “And no company is in a better position to acquire CTV shares than The Trade Desk.”
I suspect Green’s point of view is perfect. The trend of consumers to switch to streaming TV services is likely to gain momentum in the future. This should make The Trade Desk a truly unstoppable stock.