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5 Top TSX Stocks to Watch in September 2021

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In September, there are plenty of Canadian stocks worth keeping a close eye on. Between mergers, new product launches, and partnerships, there’s a lot happening. Historically, September has been a pretty weak month for the markets. But this month, there’s enough good news to justify optimism. Whether you’re looking for stocks to buy or just stuff to read about, you’ll find plenty to keep you occupied. In this article, I’ll explore five top Canadian stocks to watch in September 2021.

CN Railway

Canadian National Railway (TSX:CNR)(NYSE:CNI) is a Canadian stock that has a lot going on right now. First, it’s in the midst of a merger attempt with Kansas City Southern, a smaller railroad it has agreed to buy out for $33 billion. The merger recently got shot down by a U.S. regulator, but the two companies haven’t given up. They’re going back to the drawing board to come up with a new deal structure that makes the grade.

The second thing worth noting about CN Railway is that its stock is actually rallying on news that its biggest deal got shut down. It looks like investors don’t like the deal and are rewarding CN for failing to get it. One big investor is even trying to replace CN’s management. It’s really interesting stuff.

National Bank

National Bank of Canada (TSX:NA) is the smallest of Canada’s Big Six banks. It’s notable because it was the first of the Big Six to cut out trading commissions. Will National Bank see a surge in new brokerage clients because it cut out fees? Will other banks be pressured to follow its moves? It’s too early to say, but NA is definitely a stock worth watching in September 2021.

Shopify

Shopify (TSX:SHOP)(NYSE:SHOP) is Canada’s biggest tech company. This stock is always worth watching, as it tends to produce truly superior returns year in and year out. In September, the stock looks particularly interesting. Just recently, SHOP announced that it was partnering with TikTok to help sell goods on the fast-growing social app. It’s an exciting partnership that could drive a lot of revenue, so SHOP is definitely a stock to watch in September 2021.

Lightspeed

Lightspeed (TSX:LSPD)(NYSE:LSPD) is another e-commerce stock like Shopify that has a lot going on right now. Between acquisitions, fast revenue growth and being a favourite of Cathie Wood, it’s an up-and-coming market superstar. Unlike Shopify, Lightspeed doesn’t have any one huge catalyst that’s set to drive future growth. Instead, it has an overall combination of tailwinds working in its favour. Keep your eye on it.

Enbridge

Enbridge (TSX:ENB)(NYSE:ENB) is North America’s biggest pipeline company. It’s in an interesting place, because its business theoretically benefits from all the cancellations and legal handicaps facing its competitors, but it faces some such issues itself. It hasn’t had any of its projects flat-out cancelled like Keystone XL was, but Michigan is trying to shut down Line 5, and various groups are taking the company to court. So, this is one nail biter of a stock to watch this month.

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 Andrew Button owns shares of Canadian National Railway. The Motley Fool owns shares of and recommends Enbridge, Lightspeed POS Inc., and Shopify. The Motley Fool recommends Canadian National Railway and recommends the following options: long January 2023 $1,140 calls on Shopify and short January 2023 $1,160 calls on Shopify.

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