Tom Lee suggests the iShares Expanded Tech Sector ETF (IGV) may be nearing a bottom, noting that software ownership is at multi-decade lows, indicating potential for a rebound.
Source Post
Tom Lee: "We Can Grind Our Way to 7,300 On The S&P 500” (3 Stocks to Buy and Hold Forever)
Mar 15, 2026
Tom Lee of Fundstrat Capital predicts the S&P 500 could reach 7,300, driven by strong earnings and shifting market positioning. The video highlights three "buy and hold forever" stocks: Automatic Data Processing (ADP) for its essential payroll services and high switching costs, NextEra Energy (NEE) for its blend of stable regulated utility business and renewable energy growth, and Digital Realty Trust (DLR) for its critical role in data center infrastructure. The analysis emphasizes the durable business models, essential services, and long-term secular trends supporting these companies.
Linked Mentions
Tickers discussed in this post
Digital Realty Trust (DLR) is recommended as a buy for its position as a leading global data center owner and operator, benefiting from secular demand growth, long-term contracts, and high switching costs.
NextEra Energy (NEE) is a strong buy, offering a unique combination of a stable regulated utility (Florida Power and Light) and a leading renewable energy business (NextEra Energy Resources), poised for long-term growth.
Automatic Data Processing (ADP) is recommended as a buy due to its essential payroll and human capital management services, high switching costs, scale advantages, and consistent dividend growth, making it a stable core holding.