The Canadian stock market has shown admirable resilience in 2023. The S&P/TSX Composite Index continues to climb steadily despite facing various macroeconomic pressures and uncertainties related to tariffs. This stability presents an attractive opportunity for long-term investors looking to build wealth through quality Canadian stocks.
Top 5 Canadian Stocks to Invest In for Long-Term Gains
Here are five Canadian stocks that could be strong additions to a long-term investment portfolio:
1. MDA Space (TSX:MDA)
MDA Space has experienced a significant decline in its stock price due to contract-related concerns. The recent cancellation of a multibillion-dollar satellite contract by EchoStar has raised fears over potential business losses. However, MDA is well-positioned in the space sector, focusing on digital satellites, robotics, and Geointelligence. With a robust balance sheet and diverse business operations, MDA Space remains a strong candidate for long-term growth as investments in space continue to increase.
2. goeasy (TSX:GSY)
Shares of goeasy have fallen approximately 38% from their 52-week high of $216.50. This decline follows accusations of accounting manipulation from Jehoshaphat Research. Despite these challenges, goeasy has reported a solid third-quarter performance, showcasing growth in loans across all sectors. The company has achieved a compound annual growth rate (CAGR) of 20.74% in revenue and 21.6% in earnings over the past five years, making it a potentially undervalued stock with strong fundamentals.
3. SECURE Waste Infrastructure (TSX:SES)
SECURE Waste Infrastructure has faced pressure due to macroeconomic factors and fluctuating commodity prices. Despite these conditions, its fundamentals remain strong. Approximately 80% of SECURE’s adjusted EBITDA stems from production and industrial activities, providing stability amid market volatility. With several infrastructure projects nearing completion, SECURE is poised for growth, making it an appealing long-term investment option.
4. Lightspeed (TSX:LSPD)
Lightspeed stock has decreased about 13.4% this year; however, the long-term outlook for this cloud-based commerce platform remains optimistic. The company continues to post steady revenue growth and is moving closer to profitability. As the market shifts towards multi-channel retail, Lightspeed’s valuation now presents a favorable entry point for investors looking for potential gains.
5. Cargojet (TSX:CJT)
Cargojet’s stock has seen a 52% decline from its 52-week high of $139.54, primarily due to macroeconomic uncertainty and trade issues. Nevertheless, the company’s strong domestic operations and increasing e-commerce demand position it for a rebound. With long-term contracts ensuring stable cash flow and a leading role in Canada’s air freight market, Cargojet offers promising long-term investment potential as the market stabilizes.
Investing in these Canadian stocks may yield significant long-term gains, especially for those willing to hold for at least five years. Each stock has unique growth potential, making them worthy considerations for your investment strategy.
