What’s up guys, it’s wiz.
Welcome back to the channel. If you are new, I am a Canadian investor. I cover a whole lot of information about investing in Canada and do research into our Canadian market. I dive into growth investing, dividend investing and Canadian small caps / penny stocks. Today I will be going over 3 Canadian stocks that have seen great growth over the past year and should see great long term returns. For new investors, you need to join Wealthsimple Trade if you are looking to start investing and live in Canada. If you use my link in the description to join Wealthsimple, you get 2 free stocks worth up to 4500$ so do not miss out.
Canadian stocks have broadly been down since the middle of April. In this environment, investors should be on the hunt for buy-low opportunities, and targeting long term growth stocks. This can be especially lucrative if you have space to make purchases in your Tax-Free Savings Account (TFSA). Those bounce-back capital gains will look even better when you don’t have to pay tax on them. Today, I want to look at three TSX stocks that could reward you if you choose to buy in this current market.
The first Canadian stock is goeasy (ticker symbol GSY) is a Mississauga-based company that provides non-prime leasing and lending services to Canadian consumers. Shares of this TSX stock have dropped 35% in 2022 as of close on June 9. That has pushed the stock into negative territory in the year-over-year period. goeasy richly rewarded investors who snatched the stock up on the dip during the March 2020 market pullback. TFSA investors should be paying close attention right now. This company released its first-quarter 2022 results on May 11. It reported total loan originations of $477 million — up 75% from the previous year. Adjusted net income increased 25% year over year to $45.8 million, while adjusted diluted earnings per share jumped 16% to $2.72. Shares of this TSX stock have a favourable price-to-earnings (P/E) ratio of 12. It last announced a quarterly dividend of $0.91 per share — a 3.2% yield. That represented its eighth consecutive increase. TFSA investors are getting a promising growth stock and a Dividend Aristocrat all in one.
The second Canadian stock is Aritzia (ticker symbol ATZ) is a Vancouver-based company that designs and sells apparels and accessories for women in North America. This TSX stock has plunged 29% so far this year. Its shares are still up 14% compared to the same period in 2021. Investors got to see its fourth-quarter and full-year fiscal 2022 earnings on May 5. It delivered revenue growth of 66% in the fourth quarter of fiscal 2022. Meanwhile, adjusted EBITDA surged 88% to $66.3 million. Retail revenue jumped 123% to $262 million. This TSX stock still possesses a solid P/E ratio of 27. Aritzia is still one of the top clothing stocks to target in a TFSA right now.
The third Canadian stock is Kinaxis (ticker symbol KXS) is the third TSX stock I’d look to pick up in a TFSA in the first half of June. This Ottawa-based company provides cloud-based subscription software for supply chain operations in Canada and around the world. Its shares have dropped 19% in 2022. That has pushed Kinaxis stock into negative territory in the year-over-year period. In Q1 2022, the company delivered total revenue growth of 70% to $98.1 million. Meanwhile, it recorded its highest customer wins since the fourth quarter of 2021. Moreover, adjusted EBITDA shot up 267% to $33.1 million. Really interesting and high potential Canadian cloud based stock to add to the watchlist.
Hope you guys enjoyed this quick video. Let me know if you prefer shorter videos similar to this one, or longer videos in the 8 to 10 minute range. Please watch my previous videos on Canadian stock recommendations and let me know of any Canadian stocks you want me to look into and give my opinion on. Let me know in the comments, since I really want to expand my knowledge in the Canadian market, and you also expand your own knowledge by asking questions. If you did enjoy this video, leaving a like really helps grow the channel! Thanks for watching, I’ll see you guys in the next video!