The current market upswing is showing no signs of slowing down, with the S&P 500 recently reaching new heights after a brief correction. If past trends are any indication, this bull run could continue for at least another three years. Historically, bull markets have lasted around five years, but in recent decades, the market has tended to rise for nearly a decade before a bear market sets in. Savvy investors who invest in top-performing stocks could reap substantial rewards. Two stocks that stand out from the crowd are Shopify and Salesforce.
Shopify is revolutionizing the way businesses operate by creating a comprehensive operating system that caters to the growing global e-commerce market. The company’s quarterly revenue growth has consistently exceeded 20% year-over-year, making it an attractive investment opportunity. As more merchants turn to Shopify, its adjusted revenue grew 25% year-over-year in the second quarter, driven by a 27% increase in subscription solutions. Shopify’s expansion into point-of-sale, business-to-business, and cross-border services has positioned it as a do-it-all merchant services platform, allowing it to gain significant market share in the global e-commerce space. With gross payments volume reaching $41 billion in Q2, Shopify is poised to capitalize on the projected $8 trillion global e-commerce market by 2027.
Salesforce is another subscription-based business that helps companies streamline sales leads and customer service. As the leading customer relationship management provider, Salesforce still has significant growth potential, with only 22% market share. Its data cloud product has seen strong demand, with paid customers more than doubling over the year-ago quarter. The upcoming launch of the Agentforce AI platform could be a game-changer, allowing Salesforce to tap into the growing demand for artificial intelligence services. With free cash flow growing 20% year-over-year in Q2, Salesforce is on track to double its free cash flow within five years, making it an attractive investment opportunity.
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