2 Bold Stocks That Could Deliver Huge Returns

Investing in the right small-cap stocks could provide you with significant long-term wealth growth.

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Many investors tend to steer clear of small-cap stocks, considering them to be far too volatile during uncertain markets. The market capitalization of publicly listed companies is always a good method of determining the financial strength of a company and the broader perception about it in the stock market.

However, the TSX boasts several small-cap stocks that offer immense upside potential. You can find some of the top Canadian growth stocks amid small-cap stocks trading on the stock market right now. Also, you can enjoy significant wealth growth if you know how to choose the right Canadian growth stocks that boast upside potential.

Today, I will discuss two such stocks that possess the ability to deliver huge returns.

WELL Health Technologies

WELL Health Technologies(TSX:WELL) could be an ideal stock to consider if you are looking for TSX stocks that can deliver massive returns. The onset of COVID-19 changed the way everything works, from how we shop for our necessities to our visits to the doctor.

Being able to consult with your doctor wherever and whenever you want is one of the best things to come out of the global health crisis, and WELL Health Technologies is one of the primary providers of the technology that enables this.

The telehealth industry has been around for a while, but the pandemic and ensuing restrictions saw companies like WELL Health Technologies shine. WELL Health currently owns over 70 primary healthcare clinics in Canada, while it has over 2,800 clinics connected on its Electronic Medical Record (EMR) network. As the telehealth industry grows in the coming years, WELL Health stock could deliver substantial shareholder returns.

At writing, the $1.38 billion market capitalization stock is trading for $6.69 per share, and it could be a steal at this price.

Topicus.com

Topicus.com (TSXV:TOI) is another tech stock that could be a massive long-term winner for investors seeking bold investments to achieve financial freedom. The company is a former subsidiary of Constellation Software, a giant in the Canadian tech sector that has provided unbelievable shareholder returns in the last two decades.

Topicus.com has close ties to its parent company and can utilize its wealth of experience and reputation in the industry to provide massive shareholder returns to its investors. Topicus acquires vertical market software companies like Constellation Software. However, Topicus is focusing on the European tech industry because the market boasts immense growth potential due to a lack of venture capital pressure.

At writing, the stock is trading for $136.50 per share, and it could be an ideal time to add its shares to your portfolio.

Foolish takeaway

As with any investment in the stock market, there is a degree of capital risk involved with small-cap growth stocks. Well-established companies with a larger market capitalization tend to provide you with a relative degree of reliability and lower capital risk. However, those bluechip stocks tend to offer returns that pale in comparison to the growth potential of small-cap stocks.

If you are willing to stomach a slightly higher degree of risk and want to diversify your portfolio with bold stocks that could deliver huge returns, WELL Health Technologies stock and Topicus.com stock could be excellent stocks to have on your radar today.

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 Adam Othman has no position in any of the stocks mentioned. The Motley Fool owns shares of and recommends Constellation Software and Topicus.Com Inc.

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