2 growth stocks that could be big winners in the next decade and beyond!

I think these two growth stocks could be solid additions to my portfolio over the next decade and even further beyond. Here’s why!

| More on:

The content of this article was relevant at the time of publishing. Circumstances change continuously and caution should therefore be exercised when relying upon any content contained within this article.

Happy young female stock-picker in a cafe

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More.

Growth stocks can be more volatile than value stocks. And that’s why they don’t form the core of my portfolio. But investing in growth stocks can be a great way to enhance the value of my portfolio over the long run. And I spend a long time choosing the right growth stocks for my portfolio.

So here are two stocks that I think could be huge winners over the next decade and beyond.


NIO (NYSE:NIO) is a Chinese electric vehicle (EV) manufacturer based in Shanghai and there are several things I like about this stock that have made me buy.

Firstly, despite not yet being profitable, the firm has been on an impressive growth curve. The firm doubled revenue in each of the years between 2018 and 2021. However, 2022 might be different as the company has been impacted by Covid-19 lockdowns and supply constraints. But it will be opening its second factory this autumn.

NIO also has an impressive range of models, and that’s positive for future growth. The vehicles have impressive ranges utilising larger batteries than industry-leader Tesla. The Shanghai-based firm also has unique battery-swapping technology, allowing drivers to pull up at a NIO service station and exchange their empty batteries for a full one in a matter of minutes. That’s far quicker than conventional charging.

The vehicles are also packed full of gadgets, including a voice-controlled gismo for window opening and selfie taking.

In a fairly novel move, NIO also offers customers the chance to buy everything from groceries to clothing from its online store. The brand clearly recognises that people buy groceries more frequently than cars.

I’m aware that further lockdowns and worsening geopolitical tensions wouldn’t be good for NIO. But that’s a risk I’m willing to take in the long run. I’d buy more today.

Sociedad Química y Minera de Chile

Sociedad Química y Minera de Chile (NYSE:SQM) is a mining company focusing on lithium — the metal used in batteries that power everything from phones to EVs.

The stock has being on a bull run this year as lithium prices surged from $10,000 per tonne to around $70,000 this summer. In fact, the stock is up around 90% over the past 12 months as profits soar.

However, many analysts have forecast that lithium prices will fall towards the end of this year amid a global economic slowdown and less demand for iPhones and new EVs.

And this is why I’m not buying SQM stock just yet as I think there will be better entry points later in the year.

But I think the long-term outlook is very positive. I also see that we’re entering a period of scarcity defined by intense competition for resources — particularly lithium — and higher commodity prices.

SQM is a low-cost producer of the metal that is central to the electrification revolution and has a 25% share of the global lithium market. It also has 20+ years of reserves. 

I am concerned about the impact of currency fluctuations and the weak pounds on my USD investments, but I do see plenty of growth with SQM.

Should you invest, the value of your investment may rise or fall and your capital is at risk. Before investing, your individual circumstances should be assessed. Consider taking independent financial advice.

James Fox has positions in Nio Inc. The Motley Fool UK has recommended Tesla. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors.

More on Investing Articles

Smart young brown businesswoman working from home on a laptop
Investing Articles

These 2 UK shares could help me reach £1,000,000 in my Stocks and Shares ISA

A FTSE 100 compounding machine and a FTSE 250 value stock are the UK shares Stephen Wright thinks could help…

Read more »

Middle-aged Caucasian woman deep in thought while looking out of the window
Investing Articles

If I’d invested £1,000 in Lloyds shares at the start of the year, here’s what I’d have now

The stock market is unmoved, but Stephen Wright thinks last year’s record profits might give Lloyds shares a long-term boost.

Read more »

Middle-aged white man wearing glasses, staring into space over the top of his laptop in a coffee shop
Investing Articles

I’ll snap up shares in this growth stock in March if others don’t get there first

This Fool says shares in this growth stock are stable, full of profit, and might be undervalued. But there are…

Read more »

Rainbow foil balloon of the number two on pink background
Investing Articles

My 2 top energy investment trust picks for a passive income

I'm aiming to buy more of these investment trusts for a passive income and the reasonably stable energy sector returns…

Read more »

Storytelling image of a multiethnic senior couple in love - Elderly married couple dating outdoors, love emotions and feelings
Investing Articles

5.5% dividend yield! Shares like these could be great for my retirement

Oliver Rodzianko thinks this company with a stellar dividend yield could be very useful when looking for income from his…

Read more »

Investing Articles

Should I buy this FTSE 250 stock as it soars back to the FTSE 100?

This FTSE 250 stock has rallied following its pandemic woes. This Fool thinks now could be a good time to…

Read more »

Businessman use electronic pen writing rising colorful graph from 2023 to 2024 year of business planning and stock investment growth concept.
Investing Articles

How I’d aim to transform an empty Stocks & Shares ISA into £1m of wealth!

There's never a better time to start investing in a Stocks and Shares ISA than today. Here's how I'd aim…

Read more »

Close up of manual worker's equipment at construction site without people.
Investing Articles

Investing £14,708 in this FTSE 100 stock could earn me £1,000 per year in passive income

Is a CMA investigation into anticompetitive practices the cloud cover Stephen Wright needs to start buying shares in a FTSE…

Read more »