The stock market in 2025 hasn't disappointed, showing just how volatile the short term can be. But, amidst that volatility there is one wealth-building truth that has stood the test of time: a patient, buy-and-hold investment approach to category-leading companies is one of the safest ways to build long-term wealth.
If you're ready to put $1,000 to work today with the possibility of contextual market-beating performance down the road, experts have identified two solid plays. These companies not only have great businesses today but they also have enviable opportunities within their respective markets.
Here's why these two stocks look like great buys today:
1. MercadoLibre: A Digital Powerhouse Thriving Beyond U.S. Borders
Even as worries about U.S. tariffs cast a shadow over certain sectors, MercadoLibre (NASDAQ: MELI), an international e-commerce giant, looks increasingly attractive. Operating across 18 Latin American countries, this company is essentially the Amazon of Latin America, but with even more growth runway.
Why it's a smart buy:
- Immune to U.S. Tariffs: Operating in Latin America, MercadoLibre is largely shielded from the direct impacts of U.S. import taxes, making it a compelling option for investors seeking diversified exposure.
- Explosive Growth in a Ripe Market: Q1 2025 results delivered everything MercadoLibre wanted to see in terms of performance. Revenue was up 64% year-over-year (currency-adjusted), and gross merchandise volume grew 40%, while unique buyers were up 25%. MercadoLibre is excited by the rapid expansion, as approximately 85% of retail sales in Latin America are still captured in brick-and-mortar stores, with a lot of digital growth still possible.
- Beyond E-commerce: A Fintech Juggernaut: MercadoLibre is far more than a shopping website. It has a harnessed its financial marketplace, which creates a true disruptive force, Mercado Pago, as much more than an payment ecosystem. Everything from payment systems and credit card systems to investment services are offered as just one part of Mercado Pago. Mercado Pago grew monthly active users by 31% in Q1, and total payment volume was up 72%! The company showcases a powerful “flywheel effect” that increases engagement across the ecosystem.
- Emerging Opportunities in Ads and Content: Following Amazon's successful model, MercadoLibre is building a robust advertising business, which saw ad revenue climb 50% year over year. Its recent launch of the Mercado Play App on smart TVs, offering free content powered by ads, opens up new avenues for monetization in a region with growing digital marketing potential.
With digital adoption still relatively low in its operating markets, MercadoLibre appears poised for years of high growth, making it a strong consideration for long-term investors.
(MercadoLibre's current price as of May 21, 2025, 3:58 p.m. ET: $2,605.57. Market Cap: $132B.)
2. Take-Two Interactive: Gaming's Next Blockbuster Giant
Take-Two Interactive (NASDAQ: TTWO) stands as one of the world's premier video game publishers, best known for its powerhouse Grand Theft Auto franchise. While a recent development might seem like a setback, it actually sets the stage for a massive long-term opportunity.
Why it's a smart buy:
- The GTA VI Factor: Delayed but Perfected: The highly anticipated Grand Theft Auto VI (GTA VI) originally slated for 2025, has been pushed back to May 2026. While this delay will impact near-term sales, management's decision to ensure the game is “as close to perfection as possible” is likely the right move for long-term success. A polished, groundbreaking launch could amplify its impact even further.
- Unprecedented Pricing Power: Given the immense hype and the relative scarcity of exclusive blockbuster titles for the current generation of consoles, GTA VI is in a unique position. Reports suggest Take-Two could price the game significantly above the current $70 norm – potentially at or above the $100 mark. Even at an elevated price, demand is expected to be incredibly high, driving substantial revenue.
- Massive In-Game Revenue Potential: Beyond initial unit sales, the Grand Theft Auto franchise generates colossal revenue from in-game purchases within its online multiplayer mode. GTA VI‘s online component is almost certainly destined to be a massive hit, providing a continuous stream of income for years.
- Strategic Release Timing: Pushing GTA VI‘s debut to 2026 also allows Take-Two's 2025 releases better opportunities to thrive without being overshadowed by its biggest title, offering a more balanced release schedule.
Despite the short-term disappointment of the delay, GTA VI‘s eventual release is almost guaranteed to be a monumental hit, positioning Take-Two for a huge new growth phase. For long-term investors, the stock presents a compelling opportunity right now.
(Take-Two Interactive's current price as of May 21, 2025, 3:58 p.m. ET: $226.81. Market Cap: $40B.)
