The Best 3 Consumer Staples Stocks to Buy and Hold for Decades

While I may be taking a few liberties in calling the three stocks in this article consumer "staples" companies, I think each business offers a lot of the defensive traits that make the sector intriguing to investors. Not only do these businesses offer products I'd consider staples in their respective niches, but each stock also offers promising outperformance potential at a reasonable valuation.

Although these may not be your grandparents' consumer staples -- and may display more volatility than Colgate-Palmolive, for example -- I think each of these stocks could turn into "steady-Eddie" types of stocks over time and are worth buying and holding for decades.

1. Chewy: 56% below 52-week high

I would argue that the leading pet goods e-commerce company, Chewy (NYSE: CHWY), has become a "new age" consumer staples stock, as the humanization of pets megatrend has made spending on our furry friends incredibly resilient, regardless of the economy.

This notion is especially true for Chewy, which generates 84% of its revenue from its booming Autoship sales. Autoship lets Chewy customers schedule and automate the ordering and delivery of repeat items, such as pet food, treats, or healthcare products. This Autoship revenue is incredibly resilient, giving Chewy a large, recurring sales base it can plan its operations around month to month.

Said another way, 84% of Chewy's revenue is automated, without customers needing to place an order (outside of the original Autoship setup). To me, that's as consumer "staple-y" as it gets. Best yet for investors, the company's operations have continued to streamline beautifully, as evidenced by its free-cash-flow (FCF) ratio.

Expanding into higher-margin areas such as Chewy Vet Care (CVC) clinics, private-label goods, advertising, veterinary software, pet insurance, and pharmacy products, the company could see its margins continue to rise.

However, despite growing revenue and free cash flow by 8% and 24%, respectively, in 2025 -- with Autoship sales rising 14% -- Chewy saw its stock drop 56% from its 52-week high. Now trading at just 13 times forward earnings, Chewy's reasonable valuation is more than supported by its steady sales growth, improving margins, and expansion in the veterinary industry.

2. Stride: 48% below 52-week high

Getting a good K-12 (or even adult) education is one of the most important factors influencing our lives. For that reason, I think Stride (NYSE: LRN) and its technology-based online education system are quickly becoming a staple for many parents (and lifelong learners) seeking an education outside traditional school options. Whether it's a public school looking to provide a virtual school for home-schooled students or a local school district picking a class from Stride's curriculum that it can't effectively cover with its own staff, the company helps bring the educational system into the digital era.