The tech industry has come a long way over the last decade and given rise to publicly traded companies on the TSX that have delivered or have the potential to deliver substantial shareholder returns.
Many of these companies are responsible for building the technology of tomorrow today. They are the revolutionary members of the economy that are currently focusing on establishing strong roots today so that when the businesses begin to scale, the companies will be ready to grow rapidly.
The tech sector showed stock market investors how investing in technology might be one of the best ways to move forward if you want to enjoy explosive growth for your investment portfolio. With passing time, weâre seeing more companies in rapidly growing segments with substantial potential to deliver outsized returns in the future.
Today, I will discuss two assets that you can buy today to realize rapid wealth growth in the coming years.
Stock pick for the EV revolution
Magna International (TSX: MG)(NYSE: MGA) is the third-largest automotive parts supplier that is taking advantage of the growing demand for electric vehicles (EV) and autonomous vehicles (AV). The company previously went through a period of rapid growth at the turn of the last decade, as it surged by over 400% until 2015. After that, the stock barely saw any growth until 2020.
The companyâs management is looking to turn Magna into a manufacturing solutions provider for the growing EV and AV industries. Magna International has started partnering with most of the top EV manufacturers worldwide, expanding its presence to major markets in the process. At writing, Magna International stock is up by 21% on a year-to-date basis.
The stock is currently going through a decline due to a semiconductor chip shortage causing slower EV production. However, the stock is bound to soar once the temporary problem is resolved.
Stock pick for the blockchain revolution
HIVE Blockchain Technologies (TSXV:HIVE) is a Canadian company that has its eyes on another revolutionary industry: blockchain technology. The digital ledger technology records transactions in a decentralized form instead of centralizing all the data. Every node on the network can view the ledger and maintain it by validating any transactions made on the network.
While cryptocurrencies introduced the technology to the mainstream, blockchain technology has immense potential in all kinds of applications. By removing power from the hands of a few and distributing it to every individual in a network, it can ensure that nobody can hack the network or tamper with it.
HIVE Blockchain Technologies is one of the oldest blockchain companies that has been mining cryptocurrencies for a long time. The tech companyâs share prices are proportional to rallies in the cryptocurrency world. At writing, the stock is trading for $3.90 per share, and it is down by 42% from its February 2021 high. It could be the ideal time to buy the stock before the next cryptocurrency season kicks in and the stock soars.
Foolish takeaway
The EV industry and blockchain technology are not entirely new. Companies like Magna International and HIVE Blockchain Technologies have been around for several years and show massive potential to deliver stellar shareholder returns.
Electric and autonomous vehicles will continue to become more popular in the coming decades. And while it is still too soon to say that cryptocurrencies will replace traditional currencies as a store of value, the underlying blockchain technology will become increasingly popular as time passes.
It means that investing in Magna International stock and HIVE Blockchain Technologies stock could help you gain exposure to revolutionary stocks that can provide you with substantial long-term returns as the two segments proliferate in the future.
