The S&P/TSX Composite Index is close to a 15% gain now since the beginning of the year. After significantly trailing the U.S. stock market’s performance in 2020, the Canadian market is just about on par with the S&P 500 Composite Index this year.
Just because the market is flying doesn’t mean you need to pay top prices, though. There’s no shortage of high-valued growth stocks on the TSX, but you can find plenty of other top Canadian stocks trading below $100 a share today.
I’ve put together a basket of three Canadian companies that you can own for just $100 right now.
Telemedicine was one of the fastest-growing areas of the market when the pandemic first hit. As demand for virtual doctor visits skyrocketed, so did the share prices of many telemedicine stocks.
We’ve understandably witnessed a cool-off in the sector as countries are slowly beginning to reopen. But pandemic or not, telemedicine is one area of that market that I want my portfolio to have exposure to in the coming years.
Vancouver-based WELL Health (TSX:WELL) is one way that Canadian investors can get exposure to this growing market. The company owns healthcare facilities in both Canada and the U.S. in addition to providing telehealth services to more than 2,000 clinics in Canada.
Shares of the $1.5 billion company are up a market-crushing 150% over the past year. The stock is down 20% from all-time highs today, though. So if you were thinking of starting a position, now could be an opportunistic time.
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Brookfield Asset Management
If I had to choose just one TSX stock to build an investment portfolio around, Brookfield Asset Management (TSX:BAM.A)(NYSE:BAM) would be at the top of my list.
The well-diversified Canadian stock provides its shareholders with exposure to a wide range of industries. Real estate, infrastructure, renewable energy, and private equity are four areas the company specializes in.
Its broad diversification hasn’t prevented it from delivering market-beating gains, though. Shares of the asset management company are up more than 100% over the past five years. That’s good enough for more than doubling the returns of the Canadian stock market.
The stock is valued at a market cap of $100 billion today, ranking it within the largest companies in the country. At that size, in addition to its broad diversification, it likely won’t be the fastest-growing stock in your portfolio. But it does have the growth potential to continue outperforming the market and earn shareholders a dividend yield of 1%.
To cap off my $100 basket of TSX stock I’ve got a top renewable energy pick.
Just like telemedicine, renewable energy is an area of the market that I’m betting will see lots of growth over the next decade. Canadian investors have already been witnessing the rise of renewable energy stocks for several years now.
Shares of Northland Power (TSX:NPI) are up 80% over the past five years. More than half of that growth came from 2020 alone as renewable energy stocks across the board surged.
If you’re looking for just one stock in the sector to own, Northland Power is a solid choice. The market-leading stock owns and operates a wide range of different renewable energy facilities across the globe.
In addition to its market-beating growth potential, the stock owns a very respectable dividend. At today’s stock price, the company’s annual dividend of $1.20 per share earns shareholders a yield just shy of 3%.
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 Nicholas Dobroruka has no position in any of the stocks mentioned. The Motley Fool owns shares of and recommends Brookfield Asset Management. The Motley Fool recommends Brookfield Asset Management Inc. CL.A LV.