2 High-Growth Stocks That Could Double Your Money

These two high-growth stocks could be worth having in your investment portfolio to enjoy stellar shareholder returns.

| More on:
A stock price graph showing growth over time

Image source: Getty Images.

Canadian growth stocks exist in all shapes and sizes. Most investors typically consider investing in tech stocks when they think of high-growth assets trading on the TSX. The Canadian tech industry has produced several top names that have delivered stellar shareholder returns in recent years. However, high-growth stocks are not limited to the tech industry, and it could be worth your while to diversify into other sectors, provided that you can find the right stocks.

Today, I will discuss two Canadian growth stocks that you could consider investing in today. One is a tech firm responsible for providing payments processing solutions, and the other is a fashion company. While these are two entirely different companies, each one holds the potential to deliver massive shareholder returns through capital appreciation.

Nuvei

Nuvei(TSX:NVEI)(NASDAQ:NVEI) is a Montreal-based $19.37 billion market capitalization company that provides payments processing solutions to its clients, and it has delivered stellar shareholder returns in the short time it has been a publicly-traded company on the TSX. Nuvei had its initial public offering (IPO) in September 2020. Between September 2020 and September 2021, the stock appreciated by 125%.

At writing, the tech stock is trading for $135.10 per share, down by 21% from its all-time high in September 2021. While the correction might worry some investors, it could be an excellent opportunity to buy its shares on the dip. The company is providing a vital service to the increasingly digitized economy through its payments processing services. It could deliver substantial long-term growth as it continues to become more profitable due to industry tailwinds.

Aritzia

Aritzia (TSX:ATZ) is another high-growth Canadian stock but belongs to an entirely different industry. The $5.51 billion market capitalization stock is a vertically integrated women’s fashion company that has become increasingly popular in recent years.

The company designs, manufactures, and sells its own products. Aritzia has established a niche for itself in the fashion industry because the company provides high-quality goods at much more affordable prices than luxury brands.

The rapid growth of the e-commerce industry has combined with the high demand for its products to make the company a massive success. Aside from its e-commerce segment, the company has also expanded its operations to the U.S., allowing it to geographically diversify its revenue streams. At writing, the stock is trading for $48.80 per share and it is up by almost 350% from its April 2020 low.

Foolish takeaway

As with any high-growth assets, Nuvei stock and Aritzia stock come with the risk of not living up to investor expectations. The two companies have the potential to deliver stellar shareholder returns and possibly double your invested capital. However, you might not see the kind of returns that everyone expects the publicly listed companies to deliver.

Consider establishing a position in these two companies while keeping the risks involved with high-growth assets in mind.

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 Nuvei Corporation.

More on Tech Stocks

Businessman holding AI cloud
Tech Stocks

Could Investing $20,000 in Nvidia Make You a Millionaire?

Nvidia stock has made investors millionaires in the last 10 years. Is it too late to invest to become a…

Read more »

Business man on stock market financial trade indicator background.
Tech Stocks

1 Growth Stock Down 50 Percent to Buy Right Now

There are plenty of growth stocks in the market worth considering, but Shopify (TSX:SHOP) looks like one of the best…

Read more »

Woman has an idea
Tech Stocks

Prediction: 1 Stock That Could Trounce the Market 

The TSX has been favouring tech stocks, but not this one. However, it has the potential to trounce the market…

Read more »

clock time
Tech Stocks

Long-Term Investing: 3 Top Canadian Stocks You Can Buy for Under $20 a Share

These three under-$20 stocks offer excellent buying opportunities for long-term investors.

Read more »

Businessman holding AI cloud
Tech Stocks

AI Will Transform Everything: Investors, Be Early Adopters and Buy These 3 Stocks

Investors looking to invest in companies doing big things in AI should consider these three stocks for their portfolios.

Read more »

stock research, analyze data
Tech Stocks

Forget Shopify: These Unstoppable Stocks Are Better Buys Today 

Should you consider buying Shopify stock while rivals consider a buyout or should you go for stocks with a stronger…

Read more »

A colourful firework display
Tech Stocks

2 Potentially Explosive Stocks to Buy in March

These two growth stocks are destined for many more years of market-crushing returns.

Read more »

edit CRA taxes
Tech Stocks

TFSA Millionaires Are Learning They Can Still Be Taxed

If you day trade stocks like Shopify (TSX:SHOP) in a TFSA, you may be taxed.

Read more »