Why to Buy Stocks Right Now for a Wealthy Retirement

Now is a great time to buy the dip in these fundamentally strong, high-growth stocks for a wealthy retirement.

| More on:
Hand writing Time for Action concept with red marker on transparent wipe board.

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s premium investing services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn more

If you are planning to start investing for your retirement, now is an opportune time to start doing it. Several top-quality Canadian stocks have corrected quite a lot amid the recent selling, providing investors an excellent opportunity to invest for their long-term goals like retirement. 

While most TSX-listed stocks are trading at a discount, here are my top picks that have the potential to generate stellar capital gains for a wealthy retirement. 

Shopify 

I have said before that Shopify (TSX:SHOP)(NYSE:SHOP), at the current price levels, is a must-have in your long-term portfolio. It has corrected quite a lot, and its valuation is too low for a high-growth company like Shopify. Its forward EV/sales multiple of 6.4 is at a multi-year low. Meanwhile, this e-commerce giant’s market share gains and ability to drive merchants to its platform positions it well to capitalize on the accelerated shift toward the digital economy. 

While Shopify stock offers excellent value at current price levels, the company’s long-term fundamentals remain intact. Its solid fulfillment network, product expansion, new sales and marketing channels, and adoption of its payment solutions augur well for growth. Further, its aggressive investments in business and opportunistic acquisitions will likely support its long-term growth. 

goeasy 

Shares of the subprime lender goeasy (TSX:GSY) have the potential to make you very rich. It’s worth mentioning that goeasy stock has consistently outperformed the broader market index by a substantial margin. The company is growing fast and is highly profitable. Furthermore, goeasy has been increasing dividends at a solid double-digit rate for the past eight years and yields about 3.2%. 

Its ability to drive loans, strong payment volumes, growing penetration of secured loans, and product and channel expansion indicate that goeasy could continue to grow its top and bottom line at a breakneck pace. Overall, its superior growth profile, strong dividend payment history, and high-quality earnings base make goeasy a solid investment for your retirement portfolio. 

Nuvei

Payment tech company Nuvei (TSX:NVEI)(NASDAQ:NVEI) offers investors a chance to benefit from the accelerated pace of digital shift. This high-growth company’s stock corrected significantly, creating an excellent buying opportunity for long-term investors. Its EV/sales multiple of 5.9 reflects a substantial discount from its historical average, while the company continues to grow rapidly. 

Nuvei’s continued addition of new alternative payment methods, focus on innovation, and expansion into high-growth verticals like e-commerce and social gaming bodes well for the company and the investors. Moreover, expansion into new geographies, strong customer acquisition and retention rates, land-and-expand strategy, and opportunistic acquisitions provide a multi-year growth platform. 

Cargojet

Cargojet (TSX:CJT) has consistently outperformed the broader market averages. This air cargo company continues to perform well and has multiple catalysts that support its growth. Its solid domestic network and next-day delivery capabilities to most Canadian households provide it an edge over the competition and support its growth. Further, the growing penetration of e-commerce in the overall retail provides a multi-year growth opportunity for the company. 

Cargojet’s ability to acquire and retain large customers, fuel-efficient fleet and long-term customer contracts are positives. Meanwhile, minimum revenue guarantee, ability to pass costs to customers, international growth opportunity, and long-term agreement with DHL augur well for the company and the investors. 

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 has positions in and recommends CARGOJET INC., Nuvei Corporation, and Shopify.

More on Tech Stocks

Various Canadian dollars in gray pants pocket
Tech Stocks

2 Ultimate Growth Stocks to Buy Below $50

These under-$50 stocks have multiple growth catalysts that point to a steep recovery.

Read more »

Hand arranging wood block stacking as step stair with arrow up.
Tech Stocks

This 1 Tech Stock Has Surged 50% in the Last 2 Months: Should You Buy?

While the entire tech sector is in a selloff, one Canadian tech stock has jumped 50% in two months. Is…

Read more »

Businessman holding tablet and showing a growing virtual hologram of statistics, graph and chart with arrow up on dark background. Stock market. Business growth, planning and strategy concept
Tech Stocks

3 Growth Stocks Worth Buying if You Can Handle Volatility

Are you an investor that isn’t scared of a little volatility? Here are three top picks!

Read more »

edit U-turn
Tech Stocks

Can Shopify (TSX:SHOP) and Lightspeed (TSX:LSPD) Recover Before 2023?

Shares of these omnichannel commerce-enabling companies are down over 80%, creating a solid buying opportunity.

Read more »

Tech Stocks

These 3 Cheap Stocks Would Be an Excellent Addition to Your Portfolio

Given their attractive valuation and solid growth potential, these three stocks would be an excellent addition to your portfolio.

Read more »

Growing plant shoots on coins
Tech Stocks

Market Correction: Don’t Miss These TSX Growth Stocks

Long-term investors shouldn’t miss this correction to accumulate top TSX growth stocks at prices well below their highs.

Read more »

Shopping and e-commerce
Tech Stocks

Shopify (TSX:SHOP): Why Did it Fall So Violently in 2022?

The TSX’s tech phenomenon fell sharply in 2022 due to slowing revenue growth, soaring inflation, and rising interest rates.

Read more »

Business success with growing, rising charts and businessman in background
Tech Stocks

3 Growth Stocks Worth Buying Today

With the volatility of the stock market, many investors continue to avoid growth stocks. However, here are three stocks worth…

Read more »