I believe that one of the best ways to grow your wealth is to put what you can into the share market on a consistent basis and with a long term view.
For example, if you were to invest $500 every three months (a total of $2,000 a year) and earned a 9% per annum return, in 30 years your investments would be worth $300,000.
Think you can afford a little bit more every three months? Well, if you can invest $1,250 every three months (a total of $5,000 a year) and earn the same level of return, your investments will be worth almost $750,000 in 30 years.
With that in mind, I have picked out three top shares which I think would be great long term options for investors. They are as follows:
Nearmap Ltd (ASX: NEA)
The first option to consider buying is Nearmap. It is an aerial imagery technology and location data company with operations in the ANZ and North American markets. I believe it has the potential to grow materially in the future thanks to its high quality software and its leading position in a highly fragmented market currently worth $2.9 billion per year. This is materially more than the annualised contract value (ACV) of $103 million to $107 million it expects to achieve in FY 2020. In addition to this, Nearmap has the option to increase its addressable market by expanding into other territories in the future.
Ramsay Health Care Limited (ASX: RHC)
Another option to consider buying for the long term is Ramsay Health Care. Times may be hard for the leading private healthcare company right now, but I’m optimistic that many of the headwinds it is facing will ease in the near term. After which, I believe it is well placed for solid long term growth thanks to the ageing populations tailwind. Ramsay is better positioned than most thanks to its massive footprint. It is currently operating 480 facilities across 11 countries.
Zip Co Ltd (ASX: Z1P)
A final share to consider buying with a long term view is Zip Co. I think the buy now pay later provider has been a very impressive performer over the last few years and believe there is a lot more to come in the future. Especially given its recent expansion into the U.S. market through the acquisition of QuadPay. Management estimates that this key market is worth $5 trillion per year, which is materially larger than the combined value of the other markets it is operating in. And given the growing popularity of the payment method with consumers and merchants, Zip Co’s future looks very bright.
We hear it over and over from investors, “I wish I had bought Altium or Afterpay when they were first recommended by The Motley Fool. I’d be sitting on a gold mine!” And it’s true.
And while Altium and Afterpay have had a good run, we think these 5 other stocks are screaming buys. And you can buy them now for less than $5 a share!
*Extreme Opportunities returns as of June 5th 2020
More reading
- Purchasing Openpay shares in March in would have pocketed you this return
- 3 stellar ASX tech shares to buy in July
- 3 ASX payments shares that could double your money
- Australian businesses are running out of cash
- 3 ASX shares I’d buy if the market crashes again
James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Nearmap Ltd. and ZIPCOLTD FPO. The Motley Fool Australia has recommended Nearmap Ltd. and Ramsay Health Care Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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