The economy continues to rebound, with Canadian investors having money to blow. The pandemic allowed Canadians to save cash rather than spend it, first paying down debt and now looking to invest.
So today I’m going to look at five top TSX stocks that Motley Fool investors can consider. But be warned. Some remain volatile, while others are already nearing all-time highs. But each is a strong company that’s a perfect long-term option for investors to latch on to.
Air Canada stock
Motley Fool investors have been watching Air Canada (TSX:AC) pretty much since the pandemic started. And after coming back from the initial shock, shares of Air Canada stock have barely moved from around $25 per share. The company has a lot of “ifs” in its near-term future. There’s the potential for fewer travel restrictions, the potential for travel vouchers used over refunds, and the potential for business travel to return.
But one thing is for certain. Air Canada stock will eventually rebound back to all-time highs. The question is merely when. It could be as soon as September when holiday travel is set to increase. It could also be years before the company pays down its massive debt. Either way, Air Canada stock remains one of the top TSX stocks that long-term Motley Fool investors should still consider.
On the other hand, Cargojet (TSX:CJT) has a great chance of rebounding much sooner. This is one of the top TSX stocks that saw a market correction with the end of the pandemic in view. However, it continues to post incredible revenue and is expanding its fleet of aircraft and destinations to support further growth.
It’s also added two Amazon aircraft to its fleet, which will help boost revenue even further. Yet shares have dropped from all-time highs, even as sales have and are predicted to increase. Analysts give the company a minimum potential upside of 19% right now, so this is by far a company I would buy for a quick upshot in the next year and beyond.
Sticking with e-commerce growth, light industrial properties became a must-have in portfolios to store and ship out products. WPT Industrial REIT (TSX:WIR.UN) saw immense growth in revenue, adding multiple properties to its portfolio in the last year. Shares continue to grow, up 34% in the last year, just shy of all-time highs.
But the stock remains incredibly cheap, currently with a price-to-earnings ratio (P/E) of just 7.39. Meanwhile, analysts believe this to be among TSX stocks that are a strong buy. That’s due to the growth that e-commerce is still predicted to make in the next decade and beyond. So while the stock may be cheap now, future growth could be coming incredibly soon.
Now if you’re on board with e-commerce growth, you should definitely be on board with Shopify (TSX:SHOP)(NYSE:SHOP). Despite its massive share price, this stock is predicted to just keep growing. It’s now a top performer with record revenue coming in quarter after quarter. Though this may slow after the pandemic, it’s certainly not going to shrink thanks to subscription revenue. Especially as more and more businesses sign on and then can’t live without it.
Shares of Shopify stock are just shy of all-time highs and are soon to hit the $2,000 mark. With another earnings boost expected when reporting on July 28, I would definitely consider buying up Shopify stock before it continues on its massive rate of growth.
But Shopify stock isn’t the only one of the TSX stocks in the e-commerce sector to consider. Lightspeed POS (TSX:LSPD)(NYSE:LSPD) also trades just shy of all-time highs, and that’s only expected to grow. That comes from the company’s major acquisitions that are expected to see revenue continue increasing at record rates.
The company is now set up in over 100 countries through this “land and launch” approach. As e-commerce continues expanding around the globe, Lightspeed stock is likely to become one of the top global players. Yet it has a far cheaper share price at about $105 per share as of writing.
Shares are already up 210% in the last year alone, but analysts don’t consider it overvalued. So now could be the time to jump on TSX stocks like Lightspeed stock before it’s no longer a deal.
John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool’s board of directors. Fool contributor Amy Legate-Wolfe owns shares of AIR CANADA, CARGOJET INC., Lightspeed POS Inc, and Shopify. The Motley Fool owns shares of and recommends Amazon, CARGOJET INC., Lightspeed POS Inc, and Shopify. The Motley Fool recommends the following options: long January 2022 $1,920 calls on Amazon, long January 2023 $1,140 calls on Shopify, short January 2022 $1,940 calls on Amazon, and short January 2023 $1,160 calls on Shopify.