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The Best Stocks of the Century

The Best Stocks of the Century: Titans of the 21st Century Market

In the ever-evolving landscape of the stock market, certain companies have not just survived but thrived, delivering astronomical returns to investors who got in early. As we look back on the first two decades of the 21st century, a select group of stocks stands out for their extraordinary performance. These aren't just winners; they're the superstars that have redefined industries, disrupted traditional business models, and rewarded patient shareholders with life-changing wealth. Drawing from market data and historical analysis, this overview highlights the best-performing stocks since the turn of the millennium, focusing on those that have achieved staggering growth from January 1, 2000, through recent years. We'll explore what made these companies exceptional, their key milestones, and why they continue to captivate investors today.

At the top of the list is Monster Beverage Corporation (MNST), a name synonymous with the energy drink boom. What started as Hansen Natural Corporation, a small beverage company, transformed into a global powerhouse through savvy marketing and strategic partnerships. In 2000, shares traded at a split-adjusted price of around $0.06. Fast-forward to today, and the stock has delivered returns exceeding 200,000%, turning a modest $1,000 investment into over $2 million. The secret sauce? Monster's aggressive expansion into the energy drink market, which exploded in popularity among young consumers seeking a caffeine kick. Key to its success was a 2015 deal with Coca-Cola, which acquired a stake in Monster and handled distribution, propelling the brand worldwide. Despite facing regulatory scrutiny over caffeine content and competition from rivals like Red Bull, Monster has consistently innovated with new flavors and low-calorie options. Its focus on extreme sports sponsorships, from NASCAR to UFC, has built a loyal, edgy brand image. Looking ahead, as health-conscious trends rise, Monster's pivot to zero-sugar and plant-based drinks positions it for continued growth, though investors should watch for market saturation.

Not far behind is Apple Inc. (AAPL), the tech behemoth that revolutionized personal computing, music, and mobile devices. From a struggling company in the early 2000s, with shares hovering around $1 (split-adjusted), Apple has soared to become one of the world's most valuable firms, boasting returns of over 50,000% since 2000. The turnaround began under Steve Jobs' return in 1997, but it was the iPod in 2001, followed by the iPhone in 2007 and iPad in 2010, that ignited explosive growth. These products didn't just sell; they created ecosystems, with iTunes, the App Store, and services like Apple Music generating recurring revenue. Apple's mastery of supply chain management, premium branding, and innovation—think the shift to Apple Silicon chips—has kept it ahead of competitors like Samsung and Microsoft. The company's foray into wearables with the Apple Watch and services like Apple TV+ has diversified its portfolio beyond hardware. Challenges, such as antitrust scrutiny and dependence on China for manufacturing, loom large, but Apple's massive cash reserves and loyal customer base suggest resilience. For investors, Apple's consistent dividend payouts and stock buybacks add to its allure as a long-term hold.

Streaming giant Netflix Inc. (NFLX) exemplifies the digital disruption story. Starting as a DVD-by-mail service in the late 1990s, Netflix pivoted to online streaming in 2007, a move that decimated Blockbuster and reshaped entertainment. Shares, which traded at about $1.50 in 2002 (post-IPO), have delivered returns north of 40,000% by capitalizing on the cord-cutting trend. The company's data-driven approach to content creation—using algorithms to predict viewer preferences—led to hits like "House of Cards" and "Stranger Things," amassing over 200 million subscribers globally. International expansion, particularly in emerging markets, fueled much of this growth, as did original programming that reduced reliance on licensed content. However, the streaming wars have intensified with Disney+, Amazon Prime Video, and others vying for eyeballs, leading to higher content costs and subscriber churn. Netflix's recent crackdown on password sharing and ad-supported tiers aim to boost revenue, but profitability remains a concern amid heavy spending. Still, its first-mover advantage and cultural impact make it a cornerstone of modern media investment.

Tractor Supply Company (TSCO), a retailer catering to rural lifestyles, might seem like an unlikely superstar, but its performance tells a different tale. Since 2000, with shares starting at around $1.50, it has returned over 30,000%, thriving on the "rural chic" trend and e-commerce integration. Serving farmers, ranchers, and hobbyists with everything from feed to tools, Tractor Supply expanded its store footprint aggressively, now boasting over 2,000 locations. The company's "out here" branding resonates with a demographic often overlooked by urban-focused retailers. Key growth drivers include pet care products, which surged during the pandemic as pet ownership boomed, and online sales that complemented its brick-and-mortar strength. Acquisitions like Petsense have broadened its appeal. While economic downturns could pressure discretionary spending, Tractor Supply's dividend growth and share repurchases signal financial health. Its resilience through recessions underscores its defensive qualities in a volatile market.

Intuitive Surgical Inc. (ISRG) represents the cutting edge of healthcare innovation. As the pioneer of robotic-assisted surgery with its da Vinci system, the company has seen shares rocket from about $1 in 2000 to deliver returns exceeding 25,000%. The da Vinci platform allows for minimally invasive procedures, reducing recovery times and complications, which has driven adoption in fields like urology and gynecology. Regulatory approvals and a growing installed base—over 7,000 systems worldwide—create a razor-and-blade model, where recurring revenue from instruments and services outpaces initial hardware sales. Challenges include high costs that limit access in developing markets and competition from newcomers like Medtronic. Yet, as aging populations demand advanced care, Intuitive's pipeline of new systems and AI integrations promises sustained growth.

Other notable performers include Booking Holdings Inc. (BKNG), formerly Priceline, which capitalized on online travel booking with returns over 20,000%. Its acquisition of Booking.com expanded its global reach, though travel disruptions like the COVID-19 pandemic tested its mettle. The company rebounded strongly as wanderlust returned, emphasizing experiences over flights.

Altria Group Inc. (MO), the tobacco giant, surprisingly ranks high with returns around 15,000%, bolstered by steady dividends despite health concerns. Its pivot to e-cigarettes via Juul (later divested) and cannabis investments shows adaptation, but regulatory risks persist.

Old Dominion Freight Line Inc. (ODFL), a less-than-truckload shipping firm, has trucked along with 10,000%+ returns, benefiting from e-commerce logistics booms. Its efficient operations and network density give it an edge in a fragmented industry.

Rounding out the elite are companies like Equinix Inc. (EQIX), a data center REIT riding the cloud computing wave with massive returns, and Pool Corporation (POOL), which dominates swimming pool supplies amid suburban home improvements.

What unites these stocks? Visionary leadership, adaptability to technological shifts, and the ability to scale amid economic upheavals—from the dot-com bust to the Great Recession and the pandemic. They highlight themes like digital transformation, consumer shifts, and innovation. For investors, the lesson is clear: spotting disruptors early pays off, but diversification and due diligence are key. While past performance isn't indicative of future results, these century-spanning winners offer timeless insights into market dynamics. As we move deeper into the 21st century, emerging trends in AI, renewable energy, and biotech may birth the next crop of superstars. (Word count: 1,048)

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[ https://www.kiplinger.com/investing/stocks/best-stocks-of-the-century ]