Both Drone Delivery Canada Corp (TSXV:FLT) and Score Media and Gaming Inc (TSX:SCR)(NASDAQ:SCR) are some of the top long-term growth stocks in Canada. These two revolutionary companies have major growth potential and still trade relatively cheaply, which may lead investors to wonder which is the better buy between FLT and SCR stock.
While both companies are revolutionary in rapidly growing industries, they both face heavy competition. So although they do offer great potential, neither stock is a sure thing.
It’s therefore crucial that investors do their homework when they research the stocks and that you keep up to date with any developments between these stocks and their competition.
So with that in mind, let’s look at which stock is the better buy between FLT and SCR.
Drone delivery is an industry with incredible potential. Several industries are already using drones and there are several more where drones will be used in the future.
However, there are numerous companies in this space. While the increased competition is not necessarily something you want as an investor, if FLT stock can execute, having larger competition could make it a takeover target. So there is a tonne of opportunity for investors, especially with the stock worth less than $400 million.
For now, it’s all about developing its technology as quickly and as efficiently as possible in order to achieve a first-mover advantage, which makes FLT stock’s partners key to its product development.
On Tuesday the company finished more successful testing of its Condor drone, the biggest in its fleet. The Condor has a max payload of up to 400 lbs. and can fly a maximum range of 200 kilometres. The successful testing of its drone puts FLT stock one step closer to commercial operation and creates some significant potential for investors.
Drone delivery is still a long-term growth industry, so it’s possible investors may not see significant growth for some time. However, given how much growth potential it has and the fact this stock could skyrocket any day, you may want to take a position in FLT stock now, or you could risk missing out on the growth altogether.
In addition to FLT stock, Score Media and Gaming also has a tonne of long-term potential. Sports betting is as old as sports themselves, yet it’s either still illegal or was only recently approved in many jurisdictions.
Normally, a stock as small as SCR would have a tough time competing against the big guys. However, Score has a major advantage over many of its competitors. The company already has a tonne of its target market using its mobile sports app.
Score’s mobile sports app is one of the most popular in North America. When the company announced it would launch a sports betting platform, the intention was always to target its existing users first. This is even more crucial today, as many different companies are competing in only a select few jurisdictions.
So Score still has a tonne of potential to grow, just like FLT stock. As sports betting is increasingly being legalized across different regions, SCR’s potential only continues to increase.
SCR now trades on the NASDAQ, too, and has seen a massive rally the last few months. While the stock still has growth potential, at a $1.7 billion market cap, it’s no longer that small of a company.
FLT, on the other hand, still has a market cap of less than $400 million. So with the significant growth potential in the commercial drone industry, FLT is easily one of the top growth stocks you can buy today.