Can you triple your money in one decade or less? You certainly can. You only need to look at the likes of CSL Limited (ASX: CSL), REA Group Limited (ASX: REA), and countless other shares on the S&P/ASX 200 Index (ASX: XJO) to see this.
Other the last 10 years the CSL share price would have given you a return of almost 10 times your investment, whereas the REA Group would have returned you seven times your money. Both exclude dividends that have been paid during that time.
But how can you do this over the next 10 years? To achieve this I believe you need to find companies with long runways for growth, strong business models, and talented management teams.
Three ASX shares that tick a lot of boxes for me are listed below. Here's why I think you could potentially triple your investment over the next 10 years — and possibly even sooner:
Altium Limited (ASX: ALU)
The first share to consider is this $4.3 billion electronic design software company. Altium's software incorporates all the tools engineers and printed circuit board designers need into a single, stress-free user interface. This means its Altium Designer product dramatically increases design successes, while reducing overall design times. The company is aiming for market domination over the next five years and I believe it is well-placed to achieve this thanks to its award-winning software. It is also aiming to grow its revenues from an estimated US$200 million in FY 2020 to US$500 million by FY 2025. I don't think it will stop there, either. Especially given how the Internet of Things boom is driving increasing demand. In light of this, I think the tripling of its share price over the next decade is more than possible.
Kogan.com Ltd (ASX: KGN)
Another company which I believe has the potential to triple in value over the next decade is Kogan. The $730 million ecommerce company is well-positioned for growth thanks to the continued shift to online shopping in Australia. At present an estimated 10% of consumer spending is made online in Australia. I expect this number to continue to rise over the next decade and for Kogan to capture a growing slice of the market.
Nanosonics Ltd (ASX: NAN)
Nanosonics is a $2 billion infection prevention company and a bit of a one-trick pony at the moment. Not that this hasn't served it well. The company's trophon EPR disinfection system for ultrasound probes has been generating significant revenue for Nanosonics from unit sales and recurring consumable sales. With a global installed base of ~22,500 units and an 80,000-unit addressable market, the trophon EPR system can certainly support strong earnings growth over the next decade. However, the biggest drivers may be some secretive new products that are due to be released in the near term. Management has advised that these products have similar market opportunities to the trophon EPR system. If they are half as successful, then the tripling of an investment is a real possibility.