Three Tech Giants with Stock Splits Worth Holding for a Decade

Overview: Why Stock Splits Signal Long-Term Opportunity

When a company executes a stock split, it often reflects management’s confidence in future performance and sustained growth prospects. While the actual market capitalization remains unchanged, splits can attract broader investor participation and are frequently interpreted as a positive signal. Among the numerous companies that have undergone splits in recent years, three stand out for investors seeking stocks to buy with conviction: Amazon, Netflix, and Nvidia. These firms have demonstrated resilience and strategic positioning across their respective markets.

Amazon: Diversified Revenue Engines Beyond Core E-Commerce

Amazon (NASDAQ: AMZN) has executed four stock splits throughout its history—in June 1998, January 1999, September 1999, and most recently a 20-for-1 split in June 2022. The 2022 event marked the company’s first split after more than two decades, signaling renewed bullish sentiment. Following that announcement, the stock price appreciated approximately 170%.

The company’s profitability is increasingly driven by Amazon Web Services (AWS), which operates as the planet’s foremost cloud infrastructure platform. With artificial intelligence adoption accelerating across industries, AWS encounters robust demand from organizations seeking computational resources and infrastructure to deploy AI systems at scale. Amazon’s investment in proprietary silicon—including Trainium and Inferentia chips—enables the company to deliver competitive pricing while retaining cloud market supremacy.

Advertising represents another critical profit contributor, expanding at a faster pace than the company’s retail segment and maintaining premium margins. By controlling the customer touchpoint and harnessing proprietary transaction data, Amazon creates precision-targeted advertising channels that appeal to merchants and marketing departments seeking high-intent consumers.

E-commerce operations, though maturing in growth rate, maintain unmatched scale supported by sophisticated logistics capabilities, breadth of inventory, and value-oriented pricing. Ongoing investments in warehouse automation and robotic systems should lift operational efficiency and expand profitability metrics.

The Prime membership ecosystem, encompassing more than 240 million subscribers globally, fosters customer retention while generating cross-category spending. Bundled offerings—including expedited delivery, digital entertainment through Prime Video, and wellness services via Amazon Pharmacy and One Medical—deepen customer engagement within the ecosystem.

Recent quarterly performance reflects this momentum: Q3 recorded $180.2 billion in net sales (13% year-over-year growth), $17.4 billion in operating income, AWS expansion of 20% to $33 billion driven by AI infrastructure demand, and advertising revenue increasing 22% to $17.7 billion. For investors seeking quality stocks to buy with staying power, Amazon warrants consideration.

Netflix: Transitioning to Profitability and Diversification

Netflix (NASDAQ: NFLX) has undergone multiple stock splits—a 2-for-1 adjustment in 2004, a 7-for-1 action in 2015, and most recently a 10-for-1 split that took effect November 17, 2025. This history reflects the company’s expansion trajectory and market confidence.

While subscription revenue remains foundational to its financial model, Netflix has successfully pivoted toward profitability and margin expansion. The advertising-supported subscription tier is accelerating and approaches doubling its revenue contribution during 2025. The company is simultaneously exploring gaming experiences, live sports programming, and branded merchandise—all potential avenues for revenue diversification.

This strategic reorientation from subscriber accumulation toward profitable operations has yielded meaningful margin improvement and substantial free cash generation. In Q3 2025, Netflix reported $11.5 billion in revenue (up 17% annually) alongside a 28% operating margin, while free cash flow surged to $2.7 billion. Management projects approximately $9 billion in annual free cash flow for the complete 2025 fiscal year.

Netflix maintains its position as the preeminent streaming entertainment provider globally. While North American subscriber markets approach capacity, international regions—including Asia-Pacific, Europe, and Latin America—present substantial expansion opportunities. The company’s commitment to culturally relevant original content (exemplified by worldwide phenomena like Squid Game and Stranger Things) supports subscriber retention and new customer acquisition.

The brand possesses considerable pricing leverage, demonstrated through multiple subscription rate increases without material subscriber attrition. Its brand recognition, extensive content vault, and viewer behavior analytics create defensive competitive advantages that challengers find difficult to replicate. These attributes make Netflix among the most compelling stocks to buy for patient investors.

Nvidia: Dominating the AI Computational Infrastructure Market

Nvidia (NASDAQ: NVDA) has implemented six stock splits, including a 4-for-1 adjustment in 2021 and a 10-for-1 split executed June 10, 2024. Since the 2024 split, shares have appreciated approximately 55%, reflecting continued investor enthusiasm.

Nvidia’s foundational role in enabling artificial intelligence applications, supported by industry-leading financial metrics and durable competitive positioning, has propelled the company to unprecedented value creation. The company’s most recent fiscal 2026 third quarter (October 2025 ending) delivered record $57 billion in revenue (62% growth year-over-year) with $1.30 earnings per share, fueled by demand for data center processors and Blackwell GPU architectures. Data center revenue alone reached $51.2 billion, representing 66% year-over-year expansion.

Nvidia commands approximately 80-90% market share within the data center AI chip segment, with its GPU processors recognized as the computational standard for artificial intelligence model training and deployment. The company’s defensible moat stems from CUDA (Compute Unified Device Architecture), a proprietary software ecosystem that has become the industry standard for GPU-accelerated applications.

This software platform creates a powerful network effect: major AI frameworks optimize for CUDA compatibility, millions of developers globally build applications on the platform, and comprehensive community resources support developers. Competitors encounter formidable obstacles in matching this ecosystem depth. The integration of CUDA into operational procedures and organizational knowledge structures generates substantial switching costs, insulating Nvidia from competitive displacement.

The company maintains continuous optimization of its CUDA stack for emerging GPU generations, ensuring performance superiority that hardware-focused competitors struggle to replicate. Forward-looking demand remains exceptional, with order visibility of $500 billion extending through 2026 for forthcoming architectures (Blackwell and Rubin generations).

Nvidia is simultaneously expanding beyond data centers into robotics, autonomous transportation systems, and industrial simulation applications—markets representing potential trillions in addressable opportunity. These expansion vectors position Nvidia among the essential stocks to buy for investors targeting long-term technological disruption exposure.

Conclusion: Long-Term Value Through Strategic Holdings

For investors with capital available for deployment, these three companies represent compelling opportunities for extended holding periods. Each combines a history of value-conscious stock splits with demonstrated business momentum, financial strength, and positioning in high-growth markets. While past performance offers no guarantee of future outcomes, the combination of AI tailwinds, operational excellence, and management execution suggests these remain attractive stocks to buy and retain through inevitable market cycles.