3 Simple TSX Stocks to Buy With $25 Right Now

Looking for some simple TSX stocks to buy now and hold for the long term? Here are three options you can buy for $25 or less.

| More on:
Piggy bank next to a financial report

Image source: Getty Images.

Market volatility for much of 2022 has exposed some compelling opportunities for investors to buy some great stocks at discounted prices. That includes some simple TSX stocks that can be purchased with as little as $25 right now.

Here’s a look at three different options to consider buying.

Option 1- Renewable energy

TransAlta Renewables (TSX:RNW) is a renewable energy stock that should be on the radar of investors everywhere. Apart from the massive long-term potential harnessed from renewables, TransAlta boasts a well-diversified growing portfolio of facilities.

Currently, those facilities include solar, wind, hydro, and gas sites across Canada, the U.S., and Australia. Collectively, those facilities generate over 3,000 MW of electricity.

Worth noting is that TransAlta follows the same business model as its fossil-fuel burning peers. In other words, those facilities are backed by long-term regulatory contracts. Those contracts provide a steady stream of revenue, which in turn means TransAlta can pay out a juicy monthly dividend.

That dividend currently works out to a yield of 5.44%. Best of all, the stock trades at just over $17 per share and is down by over 7% year to date.

That makes TransAlta one of the simple TSX stocks every portfolio needs to buy.

Option 2 – Precious metals

Mining stocks are interesting picks. When volatility is high in the market , investors run to the perceived safety of gold. By extension, that also helps to drive prices of the precious metal up. Throw in the current bout of market volatility and insane inflation and you have gold prices remaining flat.

As at time of writing, the yellow metal is hovering near US$1750 per ounce. That’s also where gold prices have held for the past year. And that works well for traditional miners like Barrick Gold (TSX:ABX)(NYSE:GOLD).

Barrick is a true titan in the mining field. It’s one of the largest miners on the planet, with over a dozen active mines in 18 countries. That level of activity is a key differentiator over Barrick’s traditional mining peers.

The gold miner’s high productivity helps it achieve, if not surpass its impressive guidance numbers, such as the 1 million gold ounces produced in the most recent quarter. That performance allows Barrick to continue paying out its impressive performance-based dividend. The dividend, which currently pays out an impressive yield of 5.19%, is among the best across the market.

Barrick currently trades at just shy of $20 per share and boasts an impressive P/E of just 13.49.

Option 3 – Global financial services growth

Manulife Financial (TSX:MFC)(NYSE:MFC) is a solid long-term pick. This is particularly true for investors looking for a financial stock outside of the traditional big banks. Manulife is the largest insurer in Canada. In fact, the insurance behemoth boasts that one in three Canadians is a customer of the company.

With that level of saturation, Manulife turned to foreign markets, specifically Asia, for growth. Through a series of exclusive agreements, Manulife sells its products to customers in those markets. The venture has allowed Manulife to expand quickly throughout the region, leading to impressive results.

More importantly, Manulife has only just tapped the surface of the region. This makes the stock appealing to long-term investors looking for growth and income. That potential should not be dismissed based on pandemic-era closures and slowness. If anything, it provides an opportunity for investors to enter at a discounted rate.

Manulife currently trades at just over $23 per share, with an insane P/E of just 5.9.

Finally, let’s not forget Manulife’s dividend. The current yield works out to an appetizing 5.7%, making it one of the better-paying options on the market.

Simple TSX Stocks: You can start with $25, or much more.

No stock is without risk. That’s certainly true for the three stocks noted above, and why it’s important to diversify your portfolio. More importantly, starting out small and sticking to a solid investment plan can quickly lead to a comfortable retirement.

Investing just $25 in each of the above three stocks each month is a fantastic way to start. Oh, and let’s not forget the reinvested dividends that will add to your future income over time.

Go on, and start investing in some simple TSX stocks 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 Demetris Afxentiou has positions in Manulife Financial. The Motley Fool has no position in any of the stocks mentioned.

More on Investing

stock research, analyze data

Should You Buy Telus Stock for its 5.9% Dividend Yield?

Telus (TSX:T) stock has a great dividend yield and newfound momentum since bottoming in October.

Read more »

The sun sets behind a high voltage telecom tower.
Dividend Stocks

My 2 Favourite TSX Utility Stocks for December 2023

While typically seen as boring, utility stocks can be excellent for safe dividend income. Here are two of my favourite…

Read more »

Dividend Stocks

How to Make $1,000/Year With Enbridge Stock

Enbridge’s unwavering commitment to maintaining and increasing its dividend makes it a top passive-income stock.

Read more »

A bull outlined against a field
Tech Stocks

3 Undervalued Canadian Stocks Set for a Bull Run

Investing in cheap and undervalued TSX stocks such as Cargojet and Real Matters can help you beat the broader indices…

Read more »

tsx today
Energy Stocks

TSX Today: What to Watch for in Stocks on Thursday, December 7

An early morning recovery in commodity prices could lift the main TSX index at the open today.

Read more »

Aircraft wing plane

Prediction: Air Canada Stock Will Sit on the Runway for a While

Will Air Canada stock be able to continue to ride post-pandemic tailwinds, or is this stock pricing in an upcoming…

Read more »

Businessman holding AI cloud
Tech Stocks

Artificial Intelligence, Real Returns: Profiting From the AI Revolution

Tech companies like Shopify Inc (TSX:SHOP) are profiting from the AI revolution.

Read more »

Paper airplanes flying on blue sky with form of growing graph

Are Airline Stocks a Good Buy in December 2023?

Airline stocks are cyclical. So, interested investors should aim to buy low and sell high to target price appreciation.

Read more »