3 Stocks to Buy and Hold for the Next 40 Years

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Stock investing has risks, but it’s truly rewarding with an intelligent approach. Many people amassed a fortune or built retirement wealth by going long or holding stocks for years or decades. For beginners, the advice is to stay clear of the market if the mindset is to make quick money.

The path to success and profits begins with a small capital and basic understanding of the stock market. Also, don’t invest money you need soon, because stock prices rise and fall at any given time. You might panic and sell at a loss.

However, if you’re a first-timer and will be in the market for the long haul, purchase stocks you can own for the next 20, 30, or 40 years.

Telco giant

BCE (TSX:BCE)(NYSE:BCE) is a standout given the critical need for communications services. The $73.93 billion telecommunications and media company dominate Canada’s telco industry. Apart from BCE’s reliability as an income provider, the dividend yield (5.21%) is hefty and industry leading.

A massive market pullback could impact the share price, although the payouts to shareholders would still be rock steady. At $70.25 per share, the telco stock outperforms the broader market year to date (+8.16% versus -2.26%). BCE’s total return in 46.35 years is an incredible 82,252.15% (15.59% CAGR).

Enduring and essential business

TC Energy (TSX:TRP)(NYSE:TRP) is a dividend giant with a dividend-growth streak of 21 years. Current investors enjoy a 21.53% year-to-date gain in addition to the 5.1% dividend yield. More importantly, the business is enduring and essential to North America’s oil & gas midstream industry.

The competitive advantages of this $69.28 billion energy infrastructure company are its diversified, high-quality assets. Each of TC Energy’s business lines are platforms for growth. Thus, would be investors can expect growing dividends for years to come. This energy stock is worth it at $70.61 per share.

Profitable, lasting growth

Transcontinental (TSX:TCL.A) has underperformed so far in 2022, although the 5.54% dividend yield isn’t under threat. The industrial stock is a Dividend Aristocrat owing to 20 consecutive years of dividend increases. At $16.03 per share (-19.16% year to date), you get the best bang for your loonie.

The $1.39 billion company has evolved from a printing business to a highly diversified operation. Transcontinental is now the leading flexible packaging firm in North and Latin America. While the business is currently on a slump, expect profitable and lasting growth when the economy rebounds.  

Viable options

With inflation rising at a rapid pace, it would help to let your free money make more money. BCE, TC Energy, and Transcontinental are viable options for newbies investing for the long term.

The post 3 Stocks to Buy and Hold for the Next 40 Years appeared first on The Motley Fool Canada.

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See the 10 Stocks
* Returns as of 4/14/22

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More reading

+5% Dividend Yields: 5 TSX Stocks to Buy in May 2022
3 Top TSX Dividend Stocks to Buy for Passive Income
Market Correction: 3 Defensive Dividend Stocks to Buy Now
2 Dividend Stocks to Buy if You Fear Stagflation
3 High-Yielding Dividend Stocks to Boost Your Passive Income

Fool contributor Christopher Liew has no position in any of the stocks mentioned. The Motley Fool recommends TRANSCONTINENTAL INC A.

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