3 Growth Stocks to Buy and Hold Forever

Key Points

• Amazon is solidly growing revenue while becoming more efficient.

• E.l.f. Beauty's acquisition of Rhode looks like a game-changer.

• Cava has one of the best growth stories in the restaurant space.

• 10 stocks we like better than Amazon ›

Outside of the technology sector, some of the best places to find growth are in the consumer space. While the market remains volatile, there are still stocks that have great long-term runways.

Let's look at three consumer growth stocks you can buy and hold for the long term.

Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue »

Image source: Getty Images.

1. Amazon

Amazon (NASDAQ: AMZN) continues to make its massive e-commerce engine more efficient. The company just keeps getting better with its warehouses and logistics. It's now using artificial intelligence (AI) to optimize warehouse placement, route planning, and inventory management, which is improving delivery speeds and lowering costs. At the same time, it now has more than a million robots in operation, helping move products faster and more efficiently.

That showed up clearly last quarter when its North America operating income jumped 47% to $7.5 billion on only an 11% increase in revenue. International results were strong too, with segment profit hitting $1.5 billion. That was a huge improvement from just $300 million a year earlier. It's also seeing strong growth from higher-margin areas like advertising, where revenue surged 23%.

While its stock dipped following its Q2 results, the core Amazon story hasn't changed. In addition to its e-commerce business becoming more efficient, the company is still the market leader in cloud computing through AWS, which pulled in more than $10 billion in operating income on 17.5% revenue growth. AWS remains a critical platform for developers and enterprises looking to build and run AI models and apps. Amazon continues to invest heavily in infrastructure, and while that will weigh a bit on near-term margins, it's setting the company up for strong returns over time.

Long term, Amazon remains one of the best growth stories in the market.

2. E.l.f. Beauty

E.l.f. Beauty (NYSE: ELF) is looking to quickly return to growth mode. The company has dominated the mass cosmetics category for the past few years, but after a surprise slowdown in sales, it made a bold move to enter the prestige skincare and cosmetics market through its $1 billion acquisition of Rhode.

The acquisition brings with it a premium skincare line, higher average selling prices, and a strong brand built around Hailey Bieber. She's staying on as chief creative officer, helping guide future product development. Bieber herself also carries a lot of marketing might, and e.l.f. will plug Rhode into its strong influencer network as well.

The even bigger opportunity for e.l.f. is increasing Rhode's distribution. The brand already had impressive traction with more than $200 million in annual sales offering just 10 or so products through its website. However, that's about to change, with the brand debuting at Sephora this fall, and e.l.f. likely to use its strong retail connections to expand the brand's presence.

That said, this isn't just about one brand -- it's about building a beauty platform with a longer runway. Rhode complements e.l.f.'s core mass-market business and opens up more premium price points. The company also has whitespace internationally, and could expand into adjacent categories like fragrance over time.

After a brief slowdown in the fourth quarter, this deal gives e.l.f. another engine for growth. Its track record speaks for itself, as the company has already completely upended the mass cosmetics market. That makes it a stock worth holding for the long term.

3. Cava

Cava Group (NYSE: CAVA) is hitting its stride and has one of the largest potential expansion opportunities in the restaurant space. The fast-casual chain has now delivered four straight quarters of double-digit same-store sales gains, including a 10.8% increase last quarter. Just as important, traffic is growing quickly, up 7.5% in fiscal Q1.

Cava's menu continues to evolve, which is helping attract new customers and keep its loyal customers coming back. Its introduction of grilled steak was a game-changer, helping drive higher check sizes, while premium add-ons like juices and pita chips are also increasing sales. Cava is also experimenting with new dishes and a loyalty program to improve frequency and retention.

The Cava story is still early, but it's very reminiscent of a young Chipotle Mexican Grill, with a similar fresh, fast, customizable, and healthy food vibe. Offering minimal ingredients, just like Chipotle, also creates restaurant efficiencies, such as speeding up customer wait times and eliminating food waste. This leads to a high restaurant-level margin.

That said, the real story is still unit growth. Cava ended last quarter with 382 locations and plans to open 64 to 68 new restaurants this year. That's high-teens unit growth. Its long-term goal is 1,000 locations by 2032. The company has been smart with where it expands, starting along the coasts, and now moving into bigger Midwest cities like Detroit, Chicago, and Indianapolis. Its strategy is working, and the brand is now resonating across regions.

Taken altogether, Cava looks like a stock to own for the long haul.

Should you invest $1,000 in Amazon right now?

Before you buy stock in Amazon, consider this:

The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Amazon wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.

Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $635,544!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,099,758!*

Now, it’s worth noting Stock Advisor’s total average return is 1,046% — a market-crushing outperformance compared to 181% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.

See the 10 stocks »

*Stock Advisor returns as of August 4, 2025

Geoffrey Seiler has positions in e.l.f. Beauty. The Motley Fool has positions in and recommends Amazon, Chipotle Mexican Grill, and e.l.f. Beauty. The Motley Fool recommends Cava Group and recommends the following options: short September 2025 $60 calls on Chipotle Mexican Grill. The Motley Fool has a disclosure policy.