Prediction: These 2 No-Brainer Growth Stocks Will Beat the Market in the Next 10 Years

With hundreds of options to choose from in equity, it can sometimes be challenging to separate the wheat from the chaff

However, some corporations appear attractive enough that in them almost seems a no-brainer

These companies have historically crushed the market over the long run, and they should continue doing so through the next decade

Image source: Getty Images

Amazon Amazon's e-commerce might be the first thing that comes to most people's minds

It is one of the pioneers in the field and one of the most visited websites globally

But while this part of the company's operations generates significant revenue, its biggest sources of operating fits lie elsewhere

Its cloud, Amazon Web Services (AWS), as well as the company's advertising platform, are doing much of the heavy lifting on that front

As AWS and advertising capture a larger percentage of the company's sales, it will have a positive impact on its fits

These two segments have been growing faster than the rest of the company's for years

Earlier this year, the leader reported that its advertising ' annual run rate had more than doubled in the past four years and 2024 at $69 billion

Meanwhile, AWS remains the leader in cloud computing

And thanks to a rapidly growing suite of artificial intelligence (AI) offerings, it is only getting better

CEO Andy Jassy has said that the AI and cloud computing es are both in their early stages, yet they are already contributing billions to the company's sales

That's before we explore other growth opportunities the company could capitalize on, especially its mising ventures in the healthcare sector

All of these make its spects incredibly bright

There will be headwinds, such as competition in cloud computing, with some of the company's challengers, Microsoft, slowly catching up to it

Amazon's AWS and advertising es could also suffer if there is an economic downturn

Still, the company has performed well over the long run, despite these competitive threats

Thanks to a wide moat stemming from switching costs and network effects, it should remain a leader in its most important

The stock looks ly to beat Wall Street in the next decade despite its challenges

Shopify Shopify helps merchants create sophisticated online storefronts

In today's world, that's almost a necessity, whether a company is primarily an online or not

And Shopify renders the task easier while offering a suite of valuable services

One of its greatest strengths is its app store, which vides thousands of options that enable merchants to customize their storefronts in any way they see fit

Another perk the company offers is the ability to market and sell ducts across major social media websites

Shopify is a leading player in its niche of the e-commerce industry

Market by gross merchandise volume

How might things evolve in the next decade for the company

My view is that there is tremendous whitespace for it to exploit as retail transactions continue to switch to online channels

We haven't yet reached peak capacity in that department

That's why analysts continue to predict that the market will grow rapidly for the foreseeable future

This expansion should create a greater demand for the types of services Shopify offers

Furthermore, the company benefits from switching costs as well, since merchants are less ly to switch to a competing vider after time, money, and energy into building a website for their es with Shopify

One potential risk investors should consider is that Shopify still isn't consistently fitable

That could be especially blematic in times of significant market volatility and uncertainty

Even so, Shopify has modestly imved its margins and free cash flow over the past few years after making key changes to its

SHOP Gross fit Margin (Quarterly) data by YCharts

The company should become fitable within the next few years

John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors

Sper Junior Bakiny has positions in Amazon and Shopify

The Motley Fool has positions in and recommends Amazon, Microsoft, and Shopify

The Motley Fool has a disclosure policy.