Millennials: 3 Red-Hot Stocks for the Rest of 2020

Canadian millennials should look to target red-hot TSX stocks like Maxar Technologies Inc. (TSX:MAXR)(NYSE:MAXR) in September.

Millennials are already under the impression that they have been hard done by in comparison to their parent generation. Their outlook is not going to get any sunnier now that they are smack dab in the middle of the worst economic crisis since the Great Depression. As a millennial, I certainly plan to harp on this point for years to come.

Fortunately, this environment will also present huge opportunities for younger investors. Canadians who jumped on discounts during the March market crash were able to reap the rewards of this stunning comeback. Today, I want to look at three hot TSX stocks that are worth considering as this brutal year winds to a close.

Millennials: Consider this scorching-hot space stock

Maxar Technologies (TSX: MAXR)(NYSE: MAXR) provides earth intelligence and space infrastructure solutions to a global client base. The company suffered a string of bad luck in 2018 that saw the stock plunge to single digits by the beginning of 2019.

Investors got a look at its second quarter 2020 results on August 5. It achieved consolidated revenues from continuing operations of $439 million. Maxar delivered solid revenue growth due to continued strength in Earth Intelligence and Space Infrastructure segments. The company has enjoyed an impressive return to form after a catastrophic 2018.

Shares of Maxar last possessed a price-to-earnings ratio of 10 and a price-to-book value of 1.6. This puts the stock in attractive value territory right now. Millennials should keep tracking this promising future-oriented stock.

Young investors should seek exposure to healthcare

Healthcare was a high-performing sector in the 2010s challenged only by the explosive technology space. Trillium Therapeutics (TSX:TRIL)(NASDAQ: TRIL) is a clinical-stage immune-oncology company that develops therapies for the treatment of cancer. Its shares have erupted over 3,000% in the year-over-year period. The stock is up over 1,200% in 2020.

In the early summer, I’d suggested that this is the kind of stock that could make investors a fortune in a short period of time. Millennials can rake in mouth-watering gains like these in a Tax-Free Savings Account (TFSA). In Q2 2020, the company announced solid advances with its lead product candidates TTI-621 and TTI-622.

Millennials should look to target the cancer therapeutics space, which is one of the fastest growing healthcare segments. Moreover, Trillium possesses an immaculate balance sheet.

One dividend stock worth holding for millennials

KP Tissue (TSX: KPT) produces, distributes, markets, and sells a range of disposable tissue products across North America. The beginnings of the pandemic spurred a rush on tissue products that lasted for weeks. Fortunately, common sense eventually won out and this trend subsided in the summer.

Shares of KP Tissue have still increased 47% in 2020 as of close on September 24. The stock is up 53% year over year. Millennials should consider this stock for its value, solid growth potential, and attractive income offering. In Q2 2020, the company delivered revenue growth of 5.8% and adjusted EBITDA growth of 104.6%.

This stock last paid out a quarterly dividend of $0.18 per share, which represents a strong 5.2% yield.

Fool contributor Ambrose O'Callaghan has no position in any of the stocks mentioned. The Motley Fool recommends MAXAR TECHNOLOGIES LTD.

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