Best US stocks to consider buying in 2025

We asked our freelance writers to reveal the top US stocks they think investors should think about buying in 2025.

| 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.

The flag of the United States of America flying in front of the Capitol building

Image source: Getty Images

When investing, your capital is at risk. The value of your investments can go down as well as up and you may get back less than you put in.

Read More

The content of this article is provided for information purposes only and is not intended to be, nor does it constitute, any form of personal advice. Investments in a currency other than sterling are exposed to currency exchange risk. Currency exchange rates are constantly changing, which may affect the value of the investment in sterling terms. You could lose money in sterling even if the stock price rises in the currency of origin. Stocks listed on overseas exchanges may be subject to additional dealing and exchange rate charges, and may have other tax implications, and may not provide the same, or any, regulatory protection as in the UK.

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.

Every year, we ask our freelance writers to share their top US stocks with investors to consider buying in the year ahead — here’s what they rate highly for the long term!

[Just beginning your investing journey? Check out our guide on how to start investing in the UK.]

CSX

What it does: CSX is one of the two major US freight railroads operating in the Eastern half of the USA.

Should you invest £1,000 in Aviva right now?

When investing expert Mark Rogers has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for nearly a decade has provided thousands of paying members with top stock recommendations from the UK and US markets. And right now, Mark thinks there are 6 standout stocks that investors should consider buying. Want to see if Aviva made the list?

See the 6 stocks

Created with Highcharts 11.4.3CSX PriceZoom1M3M6MYTD1Y5Y10YALLwww.fool.co.uk

By Stephen Wright. I’m almost certain that CSX (NASDAQ:CSX) won’t be the best-performing stock in the S&P 500 in 2025. But I think the chances of the company doing badly are extremely low. 

I’m expecting US industrial output to grow next year and that’s going to mean materials need to get moved around. Doing this by rail is cheaper and more environmentally friendly than trucks.

That’s not to say the business is invulnerable. Industrial action is one and storms damaging infrastructure that can be expensive to replace is another. 

CSX has dealt with both issues in 2024, though, and still performed well. I expect it to keep doing this, with regulation and costs limiting the threat of competition from other businesses. 

At 1.3%, the dividend yield isn’t huge. But add on a share buyback programme that has cut the shares outstanding by 4% per year over the last decade and I think things get very interesting.

Stephen Wright owns shares in CSX.

Snowflake 

What it does: Snowflake is a technology company that offers cloud computing and data analytics services via a software-as-a-service (SaaS) model. 

Created with Highcharts 11.4.3Snowflake PriceZoom1M3M6MYTD1Y5Y10YALLwww.fool.co.uk

By Edward Sheldon, CFA. It wasn’t easy to pick my top US stock for 2025. That’s because there are so many world-class companies in the US today. But I’m going to go with Snowflake (NYSE: SNOW). It’s a software company that’s growing rapidly. 

I expect artificial intelligence (AI) to be a big theme again in 2025. And I reckon Snowflake will be a beneficiary. You see, it offers solutions that help organisations store and structure their data effectively. If firms are keen to use AI, getting their data right is the first step. 

Snowflake’s recent Q3 results were good. For the quarter, revenue was up 28% year on year. Meanwhile, net revenue retention rate was 127% (meaning that customers are spending more with the company). After these results, over 20 brokers raised their price targets for the stock. 

One factor behind the company’s recent performance is new CEO Sridhar Ramaswamy. He’s been working seven days a week to drive growth. Looking ahead, increased economic clarity should help the company achieve further growth. This backdrop should give firms more confidence to invest in tech solutions. 

I’ll point out that Snowflake has a lofty valuation. If growth slows for some reason (e.g. firms reduce spending on AI), the share price could be volatile. Taking a long-term view, however, I’m excited about the potential here. I’ve been adding to my position recently. 

Edward Sheldon owns shares in Snowflake.

Uber Technologies 

What it does: Uber is the world’s leading ride-hailing company.

Created with Highcharts 11.4.3Uber Technologies PriceZoom1M3M6MYTD1Y5Y10YALLwww.fool.co.uk

By Ben McPoland. I reckon Uber Technologies (NYSE: UBER) stock is set up for a strong 2025.

After years of steep losses, the company finally turned profitable in 2023. This was after it exited underperforming overseas markets, cut costs, and disposed of non-core businesses.  

As a result, Uber is leaner and profits are set to motor higher in the years ahead. Indeed, between 2024 and 2026, earnings per share (EPS) are expected to almost double!

As I write, this puts the stock on a forward P/E ratio of 30, falling to around 22 by 2026. I see that as reasonable for a growing companywith 161m monthly active users – and counting – across its ride-hailing and meal delivery platforms.  

There are risks, of course. These mainly centre around increasing regulations and demands for higher wages among drivers.

However, I reckon investors could turn more bullish on driverless taxis. Uber has signed partnerships with 14 leading autonomous vehicle companies, while market leader Waymo is already doing tens of thousands of paid robotaxi trips per day (many through the Uber app) in a handful of US cities.

I think the stock’s worth considering for 2025 and beyond.

Ben McPoland owns shares in Uber.

5 Shares for the Future of Energy

Investors who don’t own energy shares need to see this now.

Because Mark Rogers — The Motley Fool UK’s Director of Investing — sees 2 key reasons why energy is set to soar.

While sanctions slam Russian supplies, nations are also racing to achieve net zero emissions, he says. Mark believes 5 companies in particular are poised for spectacular profits.

Open this new report5 Shares for the Future of Energy — and discover:

  • Britain’s Energy Fort Knox, now controlling 30% of UK energy storage
  • How to potentially get paid by the weather
  • Electric Vehicles’ secret backdoor opportunity
  • One dead simple stock for the new nuclear boom

Click the button below to find out how you can get your hands on the full report now, and as a thank you for your interest, we’ll send you one of the five picks — absolutely free!

Grab your FREE Energy recommendation now

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.

The Motley Fool UK has recommended Snowflake and Uber Technologies. 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.

Our best passive income stock ideas

Do you like the idea of dividend income?

The prospect of investing in a company just once, then sitting back and watching as it potentially pays a dividend out over and over?

If you’re excited by the thought of regular passive income payments, as well as the potential for significant growth on your initial investment…

Then we think you’ll want to see this report inside Motley Fool Share Advisor — ‘5 Essential Stocks For Passive Income Seekers’.

What’s more, today we’re giving away one of these stock picks, absolutely free!

Get your free passive income stock pick

More on Investing Articles

Investing Articles

2 FTSE 100 and FTSE 250 stocks to consider as stock markets plummet!

Looking for lifeboats as growth-crushing trade tariffs loom? Here are two (including a FTSE 100 gold stock) I think merit…

Read more »

Number three written on white chat bubble on blue background
Investing Articles

Just released: the 3 best growth-focused stocks to consider buying in April [PREMIUM PICKS]

Our goal here is to highlight some of our past recommendations that we think are of particular interest today, due…

Read more »

Happy young plus size woman sitting at kitchen table and watching tv series on tablet computer
Investing Articles

£10,000 invested in Watches of Switzerland shares 1 year ago is now worth…

Watches of Switzerland shares have been decimated by Trump’s tariffs on Switzerland. Dr James Fox explores whether this is an…

Read more »

Hand flipping wooden cubes for change wording" Panic " to " Calm".
Investing Articles

Growth stocks are crashing! Here’s what I’m doing now

Our writer shares his thoughts as growth stocks get crushed, as well as a favourite from the Nasdaq that he…

Read more »

Investing Articles

What’s going on with the Nvidia share price now?

The Nvidia share price is tanking. Once the most valuable listed company, Nvidia has seen more than $1trn wiped off…

Read more »

Investing Articles

This FTSE AIM stock has £2.3bn in net cash, and a market cap of £2.4bn!

I love this FTSE AIM stock, but it really hasn’t delivered for me yet. The stock trades with crazily low…

Read more »

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

Down 15% in a week! Are these 5 FTSE 100 fallers screaming buys as markets plunge?

Five of Harvey Jones's favourite FTSE 100 stocks all have the same thing in common – they've fallen around 15%…

Read more »

Hand of person putting wood cube block with word VALUE on wooden table
Investing Articles

2 stocks that have been crushed and now offer a ton of value

Edward Sheldon has been scanning the market for stocks that offer value after the sell-off. Here are two shares he…

Read more »