30 for 2025: Quality Stocks for a Long-Term Holding Period
Also Interesting
In the article, "Quality Stocks for Long-Term Holding," Morgan Stanley outlines its analysis of the current bear market and presents its best long-term picks based on the sustainability and quality of the business model, as well as the opportunity to widen their competitive advantage. Despite their view that the bear market is not over, the authors identify potential cyclical and secular drivers of the next bull market in equities. The report highlights 30 companies that look especially well-positioned, based on their sustainability of competitive advantage, business model, pricing power, cost efficiency, and growth. Morgan Stanley's guiding principle was to create a list of companies whose business models and market positions would be increasingly differentiated into 2025.
What Makes These Companies Stand Out?
Aside from the criteria mentioned in the first paragraph, Morgan Stanley also examined each company's scores in their Quant Strategy team's stock selection models. Furthermore, the authors integrated Environmental, Social, and Governance (ESG) factors into their decision process and assessed key risks and opportunities for each company. They sought to identify the best franchises, not the most undervalued stocks, and there was no prerequisite that they be rated Overweight. Investors who are interested in quality stocks with long-term potential should click "Click report" to read the full research paper by Morgan Stanley.
