3 Unstoppable Canadian Stocks Every Investor Needs in Their Portfolio

These three Canadian stocks are some of the best business in the country, making them excellent investments to own for years.

| More on:
Make a choice, path to success, sign

Image source: Getty Images

Over the years, you will own several stocks. There will be some that you’ll own for only a few years. However, there are others that you’ll own forever.

The unstoppable Canadian stocks that you’ll hold for decades, possibly even forever, will be the absolute best of the best companies.

These businesses can provide years of safe and consistent growth for investors, making them the most efficient stocks to invest your money in.

It’s crucial that these businesses not only dominate their industry but also operate in industries that have a tonne of long-term growth potential, or, at the very least, are a staple of our economy.

This way, not only do you tie your money up in companies that should be consistently outperforming the market, but because they are such excellent businesses, they should also be able to protect your hard-earned capital.

So, if you’re looking for high-quality stocks to buy and hold for years, here are three unstoppable Canadian stocks you’ll probably want in your portfolio.

A top Canadian infrastructure stock

One of the best and most unique businesses you can own for years is Brookfield Infrastructure Partners (TSX:BIP.UN)(NYSE:BIP).

Brookfield is one of the best Canadian stocks to consider and a top long-term holding, as it offers exposure to one of the best and most diverse portfolios of infrastructure assets.

The assets are from several essential long-term industries such as midstream energy, utilities, transportation, and data. Plus, because the assets are located all over the globe, the company has a tonne of diversification and is quite a stable investment, especially if you buy for the long term.

Its main goal is to find undervalued or underperforming assets that it can buy and turn around. Brookfield then uses its expertise to help improve the assets and the cash flow they can yield, which rapidly grows the value of its business.

And when an investment has reached its potential, Brookfield looks to sell the asset at its much higher price and recycle the capital into its next project.

This strategy has worked wonders for years and allows Brookfield to target up to 15% annual growth for its unitholders. So, if you’re looking for a top Canadian stock to own for years, Brookfield Infrastructure is one of the best there is.

A top Canadian real estate stock

In addition to Brookfield, another high-quality stock to hold for years is Canadian Apartment Properties REIT (CAPREIT) (TSX:CAR.UN).

CAPREIT is a massive residential REIT with over 65,000 MHC sites and apartment suites located across Canada and Europe.

It’s well known that residential real estate is one of the best industries to be invested in. It’s highly defensive, and, lately, in Canada, it’s offered exceptional growth.

With CAPREIT being the largest and most liquid stock in the space, it’s undoubtedly an excellent investment to hold long term.

Over the last five years, CAPREIT unitholders have seen a total return north of 130% or a compounded annual growth rate of more than 18%.

Plus, it even returns cash to investors with a consistently increasing dividend. Today, that dividend yields approximately 2.5% and has been increased by more than 15% over the last five years.

If you’re an investor without much real estate exposure, Canadian Apartment Properties is one of the best stocks to buy and hold for decades.

A top renewable energy company

Last is one of the best and fastest-growing Canadian green energy stocks: Northland Power (TSX:NPI).

Northland has been an excellent Canadian stock to own for years, since it’s one of the best growth stocks in an industry with multiple decades of growth potential.

Reversing the effects of climate change is one of the biggest challenges that humanity faces, and it will take a decades-long effort to achieve. So, buying a high-quality green energy stock like Northland today, to hold for years, could be one of the best investments you ever make.

The company has been rapidly increasing its generating capacity. However, it’s also expressed interest in acquiring other renewable energy companies, such as those in cleantech.

So, if you’re looking for a high-quality Canadian stock that could grow to be one of the largest clean energy companies, Northland is an excellent choice.

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 Daniel Da Costa owns shares of Brookfield Infra Partners LP Units and NORTHLAND POWER INC. The Motley Fool recommends Brookfield Infra Partners LP Units and Brookfield Infrastructure Partners.

More on Investing