Best Companies to Invest In 2023

Mastercard has increased earnings per share (EPS) by 20.3% per year over the last five years, and analysts expect EPS to grow by 19.5% per year over the next five years.

The stock has a dividend yield of 0.6%, and the company increased the dividend payout by an average of 17.9% per year over the last half-decade. Mastercard stock has outpaced S&P 500 returns by an average of 10.1% per year over the last decade..

INTU is forecast to grow earnings by 14.9% per year over the next five years. That is even better than the last five years, when it grew EPS by 13.5% per year.

The stock has been a great performer, beating S&P 500 returns by an average of 11.1% per year over the last 10 years. And the S&P 500 hasn’t been a slouch; it has produced 12.5% returns per year – meaning INTU is averaging 23.6 %/year. The stock has a current dividend yield of 0.7%, and the dividend amount has increased nearly 15% per year over the last five years.

BRO stock rarely has large drops in price. While 82% of US stocks have had a decline of 50% or more in the last decade, BRO’s largest drop is just under 35% (based on closing pricing and including dividends).

It has grown earnings 9.9% per year for the last five years, and that is expected to increase to 13.2% growth per year over the next five. BRO has beat S&P 500 returns by 4.5% per year over the last decade and pays a dividend of 0.7%.

The company has been growing, and is expected to continue growing, earnings at near 13% per year. That earnings growth has led to the stock outperforming the S&P 500 by 13.2% per year over the last decade.

The 1.3% dividend yield provides a source of regular income, with the dividend amount tending to grow each year by about 17% over the last several years.

Zoetis has a stellar track record for growing its business. Earnings have increased 17.7% per year over the last five years, and analysts expect 10.9% growth per year over the next five.

The stock tends to outpace the S&P 500 by 7% per year. It also tends to increase its dividend each year by the largest amount on the list. Currently yielding 0.9%, the company has increased the dividend by nearly 25% per year over the last five years.

Thermo Fisher Scientific is an all-around great-performing company to invest in.It has had 25.6% yearly EPS growth over the last five years, with 12.6% expected yearly EPS growth over the next five years.

It yields a 0.3% dividend, with the dividend amount increasing by almost 16% per year over the last five years. Additionally, TMO has outpaced the S&P 500 by 9.4% per year over the last decade.

Costco doesn’t stand out in any particular category; rather, it is just a solid performer in all of them. It tends to steadily grow earnings year in and year out (15.2% per year over the last five years, with 9.3% per year growth expected over the next five).

It has outperformed the S&P 500 by an average of 6.6% per year over the last decade. COST steadily raises its dividend by more than 12% per year, and the stock currently yields 0.8%.

VRTX boasts the highest historical EPS growth on the list, jacking up earnings by an average of 71.6% per year over the last five years. Growth is expected to slow going forward at a still respectable clip of 9.2% per year.

VRTX has the weakest stock performance on the list, but still has outperformed the S&P 500 by an average of 3.5% per year over the last decade. It does not pay a dividend.

DG is an overall solid performer. It has had 13.6% yearly EPS growth over the last five years., and is expected to have 8.7% yearly EPS growth over the next five years.

Currently, Dollar General has 1.1% dividend yields, with the dividend amount increasing by about 15% per year. DG has outpaced the S&P 500 by an average of 4.2% per year over the last decade.

Apple steadily increases earnings each year, averaging 17.8% yearly EPS growth over the last half-decade. Analysts do expect that to slow to 8.1% EPS growth per year over the next five years – the lowest projected growth rate on the list.

The company has a small dividend of 0.5%, which has been growing marginally each year. In terms of stock performance, however, APPL is the best on the list. It has beat S&P 500 returns by 17.2% per year over the last five years.

What are the best stocks for beginners?

Any of the stocks on this list are good for beginners. These stocks tend to be more stable than the average stock, and they also tend to outperform their peers over the long run.

Can I invest in stocks with $100?

Yes, you can invest any amount to start your investing journey. If you pay commissions, it may be better to save up more capital before investing.

For example, if you have $100 and need to pay a $10 commission to buy the stock, that stock needs to increase 10% just to get you back to break even. If you invest $1000 and pay a $10 commission, the stock only needs to increase more than 1% and you are in the profit.

What is the best-performing stock over the last 10 years?

As of April 2023, the 10-year best-performing stock is NVIDIA (NVDA). The stock has increased more than 9,240%, although that amount will change slightly each day since the stock is constantly moving. Tesla is the runner-up, with a 6,610% return.

Should everyone invest in stocks?

Everyone should have exposure to stocks. It is a great way to build wealth over the long term. But you don’t need to buy individual stocks, especially if you don’t have a lot of time to research them. Instead, you can buy index ETFs (which tend to be cheaper than mutual funds) which track a large basket of stocks.

What’s the difference between swing trading and investing?

Swing trading involves taking trades that last days to months. This capitalizes on short-term share price moves. Long-term investors take trades that last years, capturing long-term price trends, and not being concerned with short-term price fluctuations.

Final Thoughts on Best Companies to Invest In for 2023

There are no guarantees with any investing strategy. That’s why it pays to invest in companies that have a proven track record of being able to grow earnings and that investors already like. That means the stock price also tends to move higher over time.

You could invest in the latest high-flying stock, but many of them will sink as fast as they rise. Even these high-quality companies on the list, with a great track record for performance, will continue to rise in price in the coming years only if the companies keep increasing yearly earnings.

Be on the lookout for that. If they stop performing as well, it may be time to get out. Want to capitalize on short-term price moves as well? Learn about day trading.