Got $5,000? 3 Tech Stocks to Buy and Hold for the Long Term
Three major tech companies—Oracle, Reddit, and Netflix—are showing strong growth in cloud, social media, and streaming sectors. Analysts predict rapid revenue and profit increases for each, driven by AI expansion and shifting market demands.
Among them, Oracle stands out for its cloud transformation, while Reddit’s user base and data-sharing deals boost its valuation. Netflix continues to dominate global streaming with AI-powered content creation.
Oracle has shifted its focus from traditional on-premise software to cloud-based services. The company expanded its ecosystem with more ERP tools and upgraded its Oracle Cloud Infrastructure (OCI) platform. This move has attracted businesses seeking alternatives to Amazon, Microsoft, and Google.
The company’s growth is tied to the booming AI market, which has accelerated its revenue. Analysts forecast Oracle’s revenue and earnings per share (EPS) to grow at a compound annual rate of 30% and 26%, respectively, from fiscal 2025 to 2028. Despite trading at 31 times next year’s earnings, its strong position in cloud and AI justifies the valuation. Reddit, meanwhile, has seen its user base expand, reaching 116 million daily active unique visits by the third quarter of 2025. The platform’s ability to aggregate discussions and share data with AI models like OpenAI’s ChatGPT and Google’s Gemini has strengthened its appeal. Wall Street expects Reddit’s revenue and adjusted EBITDA to grow at a compound annual rate of 44% and 80%, respectively, from 2024 to 2027. Its valuation, at 14 times next year’s adjusted EBITDA, appears relatively modest compared to its growth potential. Netflix remains the world’s leading premium streaming service, serving over 300 million paid subscribers across 190 countries. The company uses AI to analyse viewing habits and develop hit shows like *Stranger Things*, *Squid Game*, and *K-Pop Demon Hunters*. While its growth rates differ from Oracle and Reddit, its dominance in streaming keeps it ahead of competitors. Analysts note that no other companies in cloud, social media, or streaming currently match the combined growth forecasts of 30% annual revenue growth, 44% profit growth, and 13% overall expansion from 2024 to 2028.
Oracle, Reddit, and Netflix are each capitalising on AI and digital transformation to drive rapid growth. Oracle’s cloud shift and AI investments position it as a key player against larger tech rivals. Reddit’s expanding user base and data partnerships support its strong financial outlook.
Netflix’s AI-driven content strategy maintains its lead in global streaming. These trends suggest continued expansion in their respective markets over the coming years.
