3 AI Stocks to Buy in 2026 and Hold Forever
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By Keithen Drury – Feb 1, 2026 at 12:00AM ESTKey PointsAlphabet is emerging as a top AI option.Microsoft facilitates many AI models.Taiwan Semiconductor's chips are powering a large chunk of AI workloads.NASDAQ: GOOGLAlphabetMarket Cap$4.1TToday's Changeangle-down(-0.07%) $0.25Current Price$338.00Price as of January 30, 2026 at 4:00 PM ETAI will have a lasting effect on the market.Finding artificial intelligence (AI) stocks with the intention of buying now and holding forever is a wise idea. There may be some companies that rise and fall, but I think these three have serious staying power and will be forces to reckon with over the next decade. The three stocks I have in mind are Alphabet (GOOG 0.02%) (GOOGL 0.07%), Microsoft (MSFT 0.74%), and Taiwan Semiconductor Manufacturing (TSM 2.65%). All three of these stocks are in a great position, and I think each looks like a strong buy now. Image source: Getty Images. 1. Alphabet Alphabet has reemerged as a top option in the artificial intelligence realm. At first, its technology was being outpaced by several upstarts. Now, its Gemini generative AI model is among the best available. Alphabet also has an advantage that nobody else can duplicate: personal information. With your permission, Gemini can link up to photos, YouTube search history, email, and other apps to create a tailored experience just for you. No other generative AI platform can duplicate this potential, and it gives Alphabet a major advantage over anyone else. ExpandNASDAQ: GOOGLAlphabetToday's Change(-0.07%) $-0.25Current Price$338.00Key Data PointsMarket Cap$4.1TDay's Range$332.29 - $340.0052wk Range$140.53 - $342.29Volume31MAvg Vol35MGross Margin59.18%Dividend Yield0.25% Furthermore, Alphabet has resources that its competition can only dream of. While unlimited resources aren't everything in the AI arms race, it could allow Alphabet to operate at a loss for longer to choke out some of the smaller players. Then, once it has firmly established itself as the winner, it can introduce pricing packages to offset the costs of running AI. Alphabet is in a great position to capitalize on AI, and I won't be surprised to see it be the ultimate winner a decade from now. 2. Microsoft Microsoft is taking a different approach to the AI world than Alphabet. Instead of directly developing a large language model itself, it has chosen to partner with others. Microsoft has a large stake in OpenAI, the makers of ChatGPT, but that's not the only model users have access to. On its cloud computing platform, Azure, users have access to ChatGPT, Grok, Llama, and many others. There's a reason why Azure has been growing faster than its peers, and it mainly comes down to Microsoft staying neutral in what AI model you pick. ExpandNASDAQ: MSFTMicrosoftToday's Change(-0.74%) $-3.21Current Price$430.29Key Data PointsMarket Cap$3.2TDay's Range$426.45 - $439.6052wk Range$344.79 - $555.45Volume59MAvg Vol27MGross Margin68.59%Dividend Yield0.79% Microsoft is a great neutral investment in the AI realm, and its stance will help it gradually rise as AI becomes more and more utilized. 3.
Taiwan Semiconductor Manufacturing Taiwan Semiconductor is the backbone of most AI technology we know today. The major computing players you hear about, like Nvidia, do not manufacture any chips; they just design them. However, there's no guarantee that Nvidia's graphics processing units (GPUs) will be the best option years down the road, as other products, such as custom-designed AI chips from Broadcom, may steal the show. Regardless, chips from Taiwan Semiconductor will be used, making it a great stock to consider buying now and holding forever. ExpandNYSE: TSMTaiwan Semiconductor ManufacturingToday's Change(-2.65%) $-8.99Current Price$330.56Key Data PointsMarket Cap$1.7TDay's Range$329.10 - $339.9052wk Range$134.25 - $351.33Volume12MAvg Vol13MGross Margin59.02%Dividend Yield0.93% However, there is a concern that once AI computing capacity is built out, Taiwan Semiconductor's best days will be over. I don't think that's the case, as these computing units have relatively short lifespans. A one- to three-year lifespan is a common estimate for a GPU deployed in an AI setting, which means there will be about a semi-annual replacement cycle. That will still lead to huge chip demand even after AI hyperscalers are done putting up new data centers. Additionally, companies like Alphabet and Microsoft are still in the early stages of building all of the data centers they have announced. It takes years for a data center to become operational once it is announced, so many of the data centers you heard about being built in 2025 may not come online until 2027. This means we're still in the early stages of Taiwan Semiconductor's AI growth, making it an excellent stock to buy now and hold for the long term.Read NextJan 31, 2026 •By Adam SpataccoOpenAI and Anthropic Now Rival Public Software Giants for Revenue.
That Makes These 3 Stocks Strong Buys for 2026.Jan 31, 2026 •By Geoffrey SeilerWhy This Artificial Intelligence (AI) Stock Is Gaining Attention From Institutional InvestorsJan 29, 2026 •By Will HealyForget SoundHound AI: This "Magnificent Seven" Beast Is the Real Winner From Voice CommerceJan 28, 2026 •By Robert IzquierdoThis Artificial Intelligence Stock Is a Must-Own for 2026Jan 27, 2026 •By Dave KovaleskiForget Quantum Computing Inc. Stock: Buy This AI‑First Tech Titan Hiding in Plain SightJan 27, 2026 •By Adam SpataccoWhy Billionaires Are Quietly Buying This AI Stock for 2026About the AuthorKeithen Drury is a contributing Motley Fool technology analyst covering AI, semiconductors, cybersecurity, and SaaS stocks. In addition to The Motley Fool, Keithen is a mechanical engineer and has held roles at Honeywell and smaller industrial companies like Brand Hydraulics and Lincoln Industries. He holds a bachelor’s degree in mechanical engineering from Dordt University.TMFTripleOptionStocks MentionedAlphabetNASDAQ: GOOGL$338.00 (0.00%) $0.25MicrosoftNASDAQ: MSFT$430.29 (0.01%) $3.21Taiwan Semiconductor ManufacturingNYSE: TSM$330.56 (0.03%) $8.99AlphabetNASDAQ: GOOG$338.58 (0.00%) $0.08*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.