Young Investors: 3 TSX Stocks to Buy Now

Markets are hot, and young investors should look to target exciting TSX stocks like goeasy Ltd. (TSX:GSY) for the long haul.

| More on:
edit Colleagues chat over ketchup chips

Image credit: Photo by CIRA/.CA.

The COVID-19 pandemic forced young investors to navigate the most perilous environment since the 2007-2008 recession and its aftermath. Similarly, it was a wise decision to buy the dip during the February and March 2020 market pullback. A year later, and North American markets have recouped their losses and then some. Today, I want to look at three TSX stocks that are still worth snatching up for the long term.

I’m still bullish on this exciting financial stock

goeasy (TSX:GSY) is a Mississauga-based company that provides alternative financial services through two segments: easyfinancial and easyhome. easyfinancial offers loans to non-prime borrowers, while easyhome sells furniture and other durable goods on a lease-to-own basis. Shares of this TSX stock have surged 63% in 2021 as of early afternoon trading on July 16. The stock is up 193% year over year. Young investors should look to target this promising growth stock.

In Q1 2021, goeasy realized strong growth for its two major segments. Revenue rose 1% to $133 million at easyfinancial. Meanwhile, its secured loan portfolio posted growth of 33% to $162 million. It posted record operating income of $71.7 million. The easyhome segment achieved 4% revenue growth to $36.8 million. It also delivered record operating income of $9 million.

Shares of this TSX stock still possess a favourable price-to-earnings (P/E) ratio of 10. Meanwhile, it last paid out a quarterly dividend of $0.66 per share, representing a 1.7% yield.

Young investors should get in on this telehealth-focused stock

Dialogue Health Technologies (TSX:CARE) is a TSX stock that made its debut in late March. It operates a digital healthcare and wellness platform in Canada. Young investors should be eager to get in on the burgeoning telehealth space. It achieved strong growth in the face of the COVID-19 pandemic. However, this TSX stock has dropped over 20% since its debut. Now is an opportune time to buy the dip.

The company released its first-quarter 2021 results on May 10. Dialogue saw annual recurring and reoccurring revenue grew to $65.3 million. Meanwhile, revenue more than quadrupled to $15.2 million. It posted member growth of 35.9% to 1.3 million. Dialogue’s adjusted EBITDA loss also narrowed to $5 million.

This TSX stock dipped into oversold territory in late June. Young investors should look to scoop up it up for the long haul this summer.

A green energy stock that’s perfect for young investors

Young investors should also look to get in on the green energy space. It is well positioned for growth as the private and public sphere turn their attention to curbing climate change this decade. TransAlta Renewables (TSX:RNW) is a Calgary-based company that develops, owns, and operates renewable power-generation facilities. Shares of this TSX stock have dropped 5.1% so far this year.

In Q1 2021, the company delivered comparable EBITDA growth of 5% to $123 million. Meanwhile, adjusted funds from operations were largely flat at $93 million. Shares of TransAlta are still up 46% year over year. Better yet, this TSX stock offers a monthly dividend of $0.078 per share. That represents a solid 4.3% yield.

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 Ambrose O'Callaghan has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned.

More on Investing

tsx today
Stock Market

TSX Today: What to Watch for in Stocks on Wednesday, July 17

Trading just below the key psychological level of 23,000, the TSX Composite has been posting fresh record highs for four…

Read more »

A steel grain silo storage tank with solar panel in a yellow canola field in bloom in Alberta, Canada.
Dividend Stocks

Down by 26.77%: Now Might Be the Perfect Time to Buy Nutrien Stock

This TSX stock has seen share prices fall by over 26% from its 52-week highs, but it might be the…

Read more »

Woman has an idea
Dividend Stocks

2 No-Brainer Stocks to Buy Now With $7,000

Two relatively cheap cash cows are no-brainer buys for investors with $7,000 to invest.

Read more »

dividends grow over time
Dividend Stocks

Buy This High-Yield Dividend Stock in July 2024

Buy this high-yielding dividend stock to lock in inflated yield into your portfolio to generate solid passive income for years.

Read more »

Double exposure of a businessman and stairs - Business Success Concept
Dividend Stocks

Where Will Dollarama Stock Be in 3 Years?

Dollarama stock has done incredibly well during economic uncertainty, but what about when the markets recover in the next three…

Read more »

edit Woman calculating figures next to a laptop
Tech Stocks

How to Buy UiPath Stock in Canada

UiPath is a beaten-down AI stock that trades at a massive discount to its earnings growth. Is the tech stock…

Read more »

Piggy bank with word TFSA for tax-free savings accounts.
Dividend Stocks

TFSA – 2 Canadian Stocks to Buy and Hold for Tax-Free Gains

Canadian stocks like Brookfield Corp (TSX:BN) can make wise TFSA holdings.

Read more »

Doctor talking to a patient in the corridor of a hospital.
Dividend Stocks

3 Things You Need to Know if You Buy NorthWest REIT Today

This REIT holds a super high dividend yield at 7.2%, but before you invest here is exactly what investors need…

Read more »