1 Stock-Split AI Growth Stock to Buy Now With $175 and Hold Forever

There’s been a resurgence in stock splits in recent years, and the reason for the attraction is clear. The move is historically preceded by a long period of considerable stock price increases.

Furthermore, consistent and robust growth is evidence of the underlying strength of the business operations and effective management, which suggests that strong stock price appreciation will likely continue.

A few examples from the past couple of years help illustrate this point:

• Nvidia: 4-for-1 split in July 2021.

• Amazon (NASDAQ: AMZN): 20-for-1 split in June 2022.

• Shopify: 10-for-1 split in June 2022.

• Alphabet: 20-for-1 split in July 2022.

• Tesla: 3-for-1 split in August 2022.

Each of these split stocks has not only outpaced the broader market in 2023 but, more importantly, outperformed the major market indexes by manyfold over the past decade.

Investors are taking a fresh look at these stocks with an eye toward the future, and with good reason. The S&P 500 is less than 2% from a new all-time high. That, combined with its 20%-plus increase from its trough, will mark the beginning of a new bull market.

While that might seem trivial, consider this: Going back to 1957, bull markets have lasted five years on average, and generated gains of more than 169%. It’s said that a rising tide lifts all boats, so investors are eager for the bull to start its run.

While there’s a strong argument for buying each of these stocks (I own them all myself), Amazon might be the most compelling opportunity right now. At less than $175 per share, the price is within reach of most investors. Furthermore, the stock had gained more than 1,000% in the decade leading up to its stock split last year.

Lastly, Amazon has an increasing number of opportunities that could propel the stock much higher in the months and years to come.

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