Growth stocks are the best investment options if you want to boost your stock holdings. Here are stocks that are presently exploding on the TSX. You have three buying opportunities to ignite your portfolio.
Golden growth runway
Alacer (TSX:ASR) is a leading low-cost intermediate gold producer holding 80% interest in the Çöpler Gold Mine in east-central Turkey. Alacer’s growth and financial stability are anchored in this world-class mine. It is from the mine’s two producing plants that the organic multi-mine growth emanates.
Total gold production reached 188,853 ounces by the halfway mark of 2019. The oxide plant produced 95,234 ounces, while 93,619 ounces came from the sulfide plant. The sale of 192,260 ounces of gold in six months translated into $252 million. Year to date, Alacer has consolidated cash of $125 million.
With the Çöpler Mine’s 20-year mine life, Alacer has a long runway for growth. The company can generate a robust cash flow over the next two decades. The stock is up 119.8% in the year to date. At the current price of $5.65, Alacer is an attractive value proposition.
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Weed stock winner
Village Farms (TSX:VFF)(NASDAQ:VFF) is outperforming its industry peers, including the bigger cannabis producers. The stock started to explode in late January and is now up 302.71% in the year to date. Analysts are predicting a potential increase of 150% from the latest price of $17.80.
The $874.65 million company has the makings of a winning weed stock. Village Farms is one of the largest and longest-operating vertically integrated greenhouse growers in North America. It is also the only Canadian greenhouse produce company that is publicly traded.
A vertically integrated grower is suited for cannabis production, and Village Farms is leveraging to the hilt its 30 years of extensive experience. The company has timed its entry in the fast-growing global cannabis industry.
Village Farms own 50% of the joint-venture project, Pure Sunfarms, which is one of the single largest cannabis growing operations in the world. The company formed two other joint ventures: Village Fields Hemp and Arkansas Valley Green and Gold Hemp.
The joint ventures are aimed to make Village Farms the vertically integrated leader in the U.S. hemp-derived CBD market. The company is moving into outdoor hemp cultivation and CBD extraction. A part of the greenhouse operations in Texas is to produce hemp in a controlled environment.
BAD is doing good
Badger (TSX:BAD), the industry leader in non-destructive hydro-excavation services, needs no introduction. BAD is currently rocking on the TSX. The stock has already risen by as much as 53.7% this year. The engineering and construction company lost momentum but is still up 30.1%.
The $1.49 billion firm provides a wide range of services and applications in Canada and the U.S. Badger’s client base are companies in the oil and gas, energy, industrial, construction, transportation, and other markets. Several government agencies are also on the client list.
Badger’s business model is simple. It implements an end-use market diversification strategy and then makes it the source of future growth. The strategy is paying off, as the company has maintained strong fundamentals over the last few years.
With growth estimates of 7.7% this year and 40.1% in 2020, investors should buy on the dip. In the next 12 months, analysts see a potential increase of 70.5% from $41.65. Add the 1.3% dividend yield, and your portfolio gets a healthy boost.
Your portfolio could use a balance of growth and value stocks. The three stocks that listed above could provide healthy growth and ignite your portfolio.
This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium service or advisor. We’re Motley! Questioning an investing thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and richer, so we sometimes publish articles that may not be in line with recommendations, rankings or other content.
Fool contributor Christopher Liew has no position in any of the stocks mentioned. The Motley Fool owns shares of Village Farms International, Inc. Village Farms is a recommendation of Hidden Gems Canada.