3 Top Stocks to Buy in November

Aritzia, Intact Financial, and MTY Food Group are three top Canadian stocks to buy in November.

| More on:
Man considering whether to sell or buy

Image source: Getty Images.

Are you looking for great stocks to buy? Aritzia (TSX:ATZ), Intact Financial (TSX:IFC), and MTY Food Group (TSX:MTY) are three top Canadian stocks to buy in November.


This Vancouver-based company designs and sells women’s clothing and accessories in Canada and the United States. 

Aritzia reported strong third-quarter results. It reported net sales of $350 million in the quarter, up 75% from the previous year. Aritzia was fuelled by strong momentum in all regions and all channels. The company recorded a huge quarter in the United States. Meanwhile, Aritzia’s e-commerce revenue grew 49%. Retail revenue increased 95% while same-store sales rose 60%, exceeding pre-pandemic levels.  Earnings per share were $0.39, compared to $0.01 a year earlier.

Not only did Aritzia surpass expectations, but the Vancouver-based merchant also raised its 2022 revenue forecast by 8% to a range of $1.25-$1.3 billion. This represents an increase of 45% to 50% compared to 2021.

The strong performance during the pandemic and reopening saw Aritzia realize the potential of its brand in the United States which provides it with 44% of revenue, even before stores in Las Vegas, Memphis, and Miami are scheduled to open in the second half of 2022.

The company has a fantastic track record and is on track for promising earnings growth going forward. This is one of the best Canadian growth stocks to buy now.

Intact Financial

Relatively few insurance stocks are worth buying for their prospects for capital growth, but Intact Financial is one of them. It is the largest property and casualty insurance company in the country and covers around 21% of the market.

It also has an international presence, particularly in the U.S. the U.K., and Ireland. In the last quarter, the company experienced strong growth in the U.S. and Canadian business sectors.

Intact is a financially stable company with a very strong presence and offers constant growth. Its current dividend yield is almost 2%. 

In the second quarter, earnings per share increased 106% year-over-year to $3.59, driven by strong operating results. Net operating income per share increased 39% to $3.26 thanks to strong technical performance and distribution results. The average estimate of earnings per share and net operating income per share for the quarter among analysts following the company was $1.86 and $2.37, respectively.

Premiums increased 29%, supported by the acquisition of RSA and the strength of commercial insurance in Canada and the United States. The company ended the quarter in a strong financial position, with a total capital margin of $2.6 billion.

MTY Food

MTY Food Group owns more than 80 restaurant brands, including Thai Express, Tiki-Ming, and Tutti Frutti. The company reported higher sales and profits in the third quarter amid rebounding customer traffic at the company’s restaurants.

The positive results came despite persistent supply chain problems, labour shortages, and temporary restaurant closures due to the COVID pandemic. 19.

MTY reported a third-quarter profit of $ 24.3 million, up from $ 22.9 million a year ago. Earnings were $0.98 per diluted share for the quarter ended August 31, down from $0.93 per diluted share a year earlier.

Revenue totalled $150.8 million, up from $135.4 million a year ago.

System sales in Canada increased by 29%, while system-wide sales in all markets were up 13%.

The franchisor and restaurant operator restored its quarterly dividend in the quarter with a payment of $0.19 per share on August 13.

MTY Food announced a few days ago that one of its wholly-owned subsidiaries has reached an agreement to acquire the assets of Küto Comptoir à Tartares, a growing chain of tartare restaurants.

The Küto network currently has 31 points of sale, all franchised and located in Quebec. Thirteen of these locations have opened in the past 12 months.

On an annualized basis, network system sales are between $20 million and $25 million.

Eric Lefebvre, CEO of MTY, said that Küto offers significant growth potential for the years to come.

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 Stephanie Bedard-Chateauneuf has no position in any of the stocks mentioned. The Motley Fool owns shares of and recommends MTY Food Group. The Motley Fool recommends INTACT FINANCIAL CORPORATION.

More on Investing

oil tank at night
Energy Stocks

The Oil Boom Isn’t Over: These 2 Energy Stocks Could Rebound Sharply in 2023

Energy stocks like MEG Energy (TSX:MEG) could rebound surge higher in 2023.

Read more »

growing plant shoots on stacked coins
Dividend Stocks

TFSA Investors: 2 Dividend-Paying Mortgage Stocks to Boost Your Income in 2023

TFSA investors can allocate their new $6,500 contribution limits to two high-yield mortgage stocks to boost their tax-free incomes in…

Read more »

stock analysis

2 Safe Stocks I’m Buying Hand Over Fist Right Now

Although there is still a tonne of uncertainty about the economy heading into 2023, here are two safe stocks to…

Read more »

dogecoin is a speculative investment

Man’s Best Friend: A Retail Stock That Weathers Recession

Pet care could be recession resistant, so Pet Valu (TSX:PET) should be on your radar.

Read more »

oil and natural gas
Energy Stocks

Better Buy: Suncor Energy Stock or Canadian Natural Resources

Suncor and Canadian Natural Resources are generating strong profits. Is one undervalued?

Read more »

Arrowings ascending on a chalkboard
Dividend Stocks

3 TSX Stocks With Dividends That Outpace Inflation

Investors that worry about losing buying power due to inflation could put money into these three stocks! They’re known for…

Read more »

edit Businessman using calculator next to laptop
Dividend Stocks

Dividend Seekers: Which of These 3 TSX Energy Stocks Is a Better Buy?

Which is a better bet among TSX energy bigwigs?

Read more »

data analytics, chart and graph icons with female hands typing on laptop in background
Dividend Stocks

3 Top Value Stocks to Buy in December 2022

Stocks such as Bank of Montreal and NFI Group are trading at attractive and cheap valuations in 2022.

Read more »