Wherever the Market Goes, I’m Buying These 3 TSX Stocks

Despite the market’s uncertain trajectory, I am bullish on these three TSX stocks.

| More on:
investment research

Image source: Getty Images

Stretched valuations and the resurgent virus make it hard to predict the stock market’s trajectory. While the market’s trajectory remains uncertain, I am bullish on Shopify (TSX:SHOP)(NYSE:SHOP), goeasy (TSX:GSY), and Lightspeed Commerce (TSX:LSPD)(NYSE:LSPD). 

I expect their continued investment in growth and strong secular industry trends to fuel growth and push their stocks higher. 


One might not be comfortable with Shopify’s high valuation, but it undeniably remains the top Canadian stock to create wealth in the long run. Over the last three months, the stock has traded sideways on expected normalization in demand amid economic reopening and tough year-over-year comparisons. However, increased spending on e-commerce platforms and a large addressable market indicate that Shopify could deliver impressive returns in the coming years while its market share could continue to expand. 

Shopify’s strong merchant acquisition strategy, including the addition of high-growth sales channels and product expansion, positions it well to capitalize on demand. Meanwhile, increased adoption of its multi-currency payments platform, strong fulfillment network, and international expansion will likely accelerate its growth. 

With strong adoption of its products, consistent GMV (gross merchandise volume) growth, strategic capital allocation, and operating leverage, Shopify could continue to make its investors very rich over time. 


goeasy has consistently created wealth for its investors on the back of its above-average growth. The strong customer demand, geographic expansion, and wide product range have led to double-digit growth in its revenue and earnings over the past several years. It’s worth noting that goeasy’s revenue has increased at a CAGR of 12.8% since 2001. Furthermore, its adjusted income has grown at a CAGR of 31% during the same period. 

Looking ahead, I expect goeasy’s earnings to continue to grow rapidly on the back of higher loan origination and strong payment volumes. Moreover, increased penetration of secured loans, strategic acquisitions, the launch of new products, and channel expansion augurs well for future growth and will likely drive its stock higher. 

Thanks to its solid earnings, goeasy has consistently paid dividends over the past 17 years. Also, the company raised it at a CAGR of 34% in the last seven years. With its strong competitive positioning in the subprime lending market and continued momentum in its business, goeasy remains well positioned to bolster its shareholders’ returns through increased dividend payments. 


Thanks to its stellar financial performance amid increased demand for its digital products, Lightspeed stock has surged about 98% in six months. Moreover, I expect the momentum to sustain, reflecting favourable industry trends, a large addressable market, and a growing and diverse customer base. 

Notably, the strength in its core business and recent acquisitions position it well to deliver stellar financial and operating performances in the coming quarters, which is likely to push its stock higher. Further, Lightspeed’s focus on expanding in the existing markets, attracting new customers, and targeting new geographies and verticals bodes well for future growth. 

Lightspeed is introducing new modules, which is likely to support its average revenue per user. Meanwhile, the company is increasing its market penetration, driving its products base, and entering new verticals through acquisitions. Overall, Lightspeed’s solid fundamentals and strong demand indicate that the company is poised to deliver stellar returns in the long run. 

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 Sneha Nahata has no position in any of the stocks mentioned. The Motley Fool owns shares of and recommends Lightspeed POS Inc. and Shopify. The Motley Fool recommends the following options: long January 2023 $1,140 calls on Shopify and short January 2023 $1,160 calls on Shopify.

More on Tech Stocks

A worker uses a laptop inside a restaurant.
Tech Stocks

2 Promising Growth Stocks to Buy in December 2022

Growth investors had better act fast, because these fire-sale prices won’t last forever. Here are two discounted growth stocks to…

Read more »

Dice engraved with the words buy and sell
Tech Stocks

Selling Losers Before 2023? Buy These 2 TSX Stocks With the Proceeds 

There is one month to 2023. Now is the time to sell your loss-making stocks, take the tax advantage, and…

Read more »

Arrowings ascending on a chalkboard
Tech Stocks

Why I Think Nuvei Stock Has Market-Beating Potential

Given its growth initiatives, expanding addressable market, and attractive valuation, I believe Nuvei has the potential to outperform the broader…

Read more »

A shopper makes purchases from an online store.
Tech Stocks

Shopify Stock Rose 15% in November: Is it a Buy Today?

Shopify (TSX:SHOP) stock rallied 15% this month but is still down 69% year to date, so should investors worry that…

Read more »

smiling couple at home with christmas tree
Tech Stocks

Holiday Bonus? You Could Double it With This TSX Stock

GSY stock gives investors an incredibly likely chance of doubling their holiday bonus in just over a year through a…

Read more »

Automated vehicles
Tech Stocks

BB Stock Rose 3% in November – Is it a Buy Today?

Blackberry stock remains battered and bruised, but momentum is building and revenue is ramping up, giving us a glimpse of…

Read more »

Businessman holding AI cloud
Tech Stocks

3 Best Artificial Intelligence Stocks to Buy in December 2022

Investors anticipating a strong comeback by the tech sector in 2023 should take positions in three of the best AI…

Read more »

tsx today
Tech Stocks

TSX Today: What to Watch for in Stocks on Friday, December 2

TSX investors may want to remain cautious ahead of Bank of Canada’s upcoming interest rate decision due next week.

Read more »