Stocks that provide significant price growth in a very short period of time are interesting, but do not provide reliable portfolio holdings. If youโre thinking long term, youโre relying on the workhorses in your depot that will still be around in the market 20 years from now. Two titles are particularly interesting.
Investors investing for the long term do not rely on short-term pricing fantasies, but rather on companies with sustainable business models. Meet this criterion Linda And Allianz. Both stocks are quality German stocks and are among the stocks that can provide stability to a portfolio. At the same time, price performance over the past few years shows that both stocks also have growth potential.
Stocked to last forever
Also in Forever Stocks Index Those interested will find plenty of buy and hold candidates.
Linde shares: speculative and safe?
Linde is the global market leader in industrial gases and also creates systems for their storage and processing. The company supplies a variety of gases to numerous customers in the chemical, medical, food and industrial sectors. With Linde Engineering, the company plans, designs and builds large industrial plants around the world.
Taking a look at the chart, you can see that the price has increased significantly since December last year. The share is currently trading at over โฌ450 again. Over the past twelve months, prices have risen by more than 15 percent. With Linde also benefiting from the artificial intelligence and semiconductor sectors, where it supplies e-gases, analysts see further growth potential. For example, UBS on June 16 raised its target price to US$600, equivalent to just under โฌ530, and reiterated its buy recommendation. Experts see rocket fuels such as liquid oxygen as the next price driver.
Allianz shares: for planning for security and growth
Allianz offers a different but equally robust business model. Thanks to its positioning in the insurance and asset management industries, Allianz has a broad exposure and derives the majority of its revenue from ongoing customer relationships. This means planning for safety, for which the stock market is rewarded with rising prices.
While Lindeโs shares only suddenly began to turn positive again in December, the Allianz share price has been rising continuously for years. Recently, the title even reached a new all-time high and is currently trading at 405 euros. This represents an annual increase of 19.8 percent. The analystsโ consensus recommendation is Hold, but their average price target is โฌ422.38, implying further upside.
The strength of these companies is not in the hype, but in the substance. Allianz, in particular, has seen consistent growth over the years and advocates for financial security. Linde, on the other hand, offers a stable core business and can also benefit from megatrends such as artificial intelligence, semiconductors or even the developing space fantasy. Thus, both values โโare ideal for a buy and hold forever strategy in a portfolio.
If you want to invest in more stocks like this, you should take a look at Forever Stocks Index throw.
Frequently Asked Questions
Why are Linde and Allianz considered defensive growth stocks?
Linde and Allianz combine stable business models with potential for further growth. It is this combination that makes them interesting for investors who are looking not only for rapid price growth, but also for sustainable results.
Is Linde more of an industrial company or a technology company?
Linde is undoubtedly an industrial company, but also benefits from technology trends such as semiconductors, e-gases and industrial applications. This makes the stock more defensive than classic tech stocks, but it still remains growth-oriented.
Why might Allianz be interesting despite its conservative business model?
Allianz makes money in a broad insurance business with recurring revenue and high planning reliability. This combination of stability and moderate growth can be particularly attractive, especially during volatile market phases.
Conflict of Interest Note:
The price of financial instruments is calculated based on the index as the underlying value. Bรถrsenmedien AG developed this index and owns the rights to it. Bรถrsenmedien AG has entered into a cooperation agreement with the issuer of the securities presented, according to which it grants the issuer a license to use the index. Bรถrsenmedien AG receives remuneration from the issuer.