Do you have idle money and an investment appetite in September 2021? If you do, you’re in luck! Your spare cash could considerably compound if you take positions in four of the best but relatively cheap TSX stocks today.
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High flyer
OrganiGram Holdings (TSX: OGI)(NASDAQ: OGI) in the cannabis sector sells for only $3.21 per share. However, the price more than doubled on September 9, 2021. Because of the 123% return, those who’d invested $5,000 then and sold today earned $6,145.83 in profits.
The $959 million producer of high-quality, indoor-grown cannabis isn’t an industry giant. However, the weed stock is the sector’s high flyer with its nearly 90% year-to-date gain. It has outperformed Canopy Growth (-3.54%), Aurora Cannabis (-17.74%), and Hexo (-38.76) thus far in 2021.
Organigram’s 31% revenue growth and 96% reduction in net losses in Q3 2021 versus Q3 2020 are good news to investors. Its chief strategy officer Paolo De Luca expects Q4 to be better, because sales are trending higher, and the industry outlook is strong.
Earnings power
Market analysts recommend a strong buy rating for Cenovus Energy (TSX: CVE)(NYSE: CVE). They forecast a 51.75% return potential to $16.06 in the next 12 months. At the current share price of $10.58, the trailing one-year price return is 89.27%.
The $21.35 billion integrated energy company and its investors had a forgettable 2020. However, the business outlook has turned for the better in 2021. In Q2 2021, the company reported net earnings of $224 million compared to the $223 million net loss in Q2 2020. Cenovus also generated $1.4 billion cash from operating activities.
Cenovus is now Canada’s third-largest crude oil and natural gas player, following the complete merger with Husky Energy in early January 2021. According to its president and CEO Alex Pourbaix, the earnings power of the combined companies should be more evident through further integration.
VMS industry leader
Jamieson Wellness (TSX: JWEL) had a spectacular run during the height of the pandemic. The consumer-defensive stock rewarded investors with a total return of 42%. Its share price has soared to as high as $42.58 on November 6, 2020, but has since declined. JWEL trades at $37.06 per share today and pays a modest 1.62% dividend.
The business of this $1.49 billion branded manufacturer, distributor, and marketer of high-quality natural health products remains strong. In the first half of 2021, Jamieson reported revenue and net earnings growth of 17% and 25%, respectively, versus the same period in 2020.
Jamieson acknowledges that the vitamins, minerals, and supplements (VMS) industry is highly competitive. However, it has a successful track record of growing revenues faster than the broader VMS segment.
The industry is ripe for disruption
WELL Health Technologies (TSX: WELL) is a bargain deal at $7.82% (-2.86% year to date). This healthcare stock also carries a strong buy rating. Based on analysts’ forecasts, the return potential in the next 12 months is 50.99% ($11.81). The $1.6 billion company is the largest outpatient medical clinic owner-operator in the country. It’s also the leading multi-disciplinary telehealth service provider.
Management continues to make strategic acquisitions in its desire to uplift the healthcare system. Since the healthcare industry is ripe for disruption, WELL is well positioned to lead Canada’s primary healthcare innovation and evolution.
Money growth with minimal effort
Capitalize on the cheap buying opportunities this month without delay. Let your idle money grow with minimal effort.
