TFSA: Buy These 2 Stocks With the New $6,500 Room Limit in 2023

Canadians who want to utilize the $6,500 TFSA room limit in 2023 should look to promising stocks like Savaria (TSX:SIS).

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This past month, the Canadian government announced that the Tax-Free Savings Account (TFSA) would increase its annual room limit to $6,500 from the $6,000 it stood from 2019 through 2022. That will increase the cumulative contribution room in a TFSA to $88,000.

The S&P/TSX Composite Index fell 22 points to close out the previous week on Friday, December 9. The S&P/TSX Capped Health Care Index was one of the worst performers during this trading day and one of the worst to open the final month of 2022. However, this should not cast the broader healthcare space in a bad light. Cannabis stocks, which make up a huge portion of the healthcare index, have struggled mightily.

Today, I want to look at two stocks in the healthcare space that are worth spending that new room limit on.

Here’s why this personal mobility stock is perfect for your TFSA in 2023 and beyond

Savaria (TSX:SIS) is a Laval-based company that provides accessibility solutions for the elderly and physically challenged people in Canada, the United States, and around the world. Shares of this TSX stock have dropped 16% in 2022. The stock is up 17% year over year.

Canadian investors should be eager for exposure to the global personal accessibility industry. Grand View Research estimated that the global personal mobility devices market was worth US$14.9 billion in 2021. The report projects that this market will deliver a compound annual growth rate (CAGR) of 6.3% from 2022 through to the end of 2030.

This company released its third-quarter (Q3) fiscal 2022 results on November 2. Savaria delivered revenue growth of 11% to $201 million and gross profit jumped 9.3% to $64.0 million. Shares of this TSX stock were trading in favourable value territory at the time of this writing. This stock also offers a monthly dividend of $0.043 per share. That represents a 3.3% yield.

Savaria offers a shot at big growth and solid monthly income in your TFSA going forward.

TFSA investors: Don’t sleep on this nutrition and supplements giant

Jamieson Wellness (TSX:JWEL) is the second TSX stock I’d look to snatch up in our TFSA as we approach the midway point in December. This Toronto-based company is engaged in the development, manufacturing, distribution, marketing, and sale of natural health products in Canada and around the world. Jamieson stock has dropped 13% so far in 2022. Its shares are down 16% from the prior year.

TFSA investors should be eager to get in on the nutrition and supplements space. Facts and Factors recently estimated that the global dietary supplements market was valued at US$149 billion in 2021. It forecasts that this market will post a CAGR of 8.5% between 2022 and 2028 to a valuation of US$240 billion.

In Q3 2022, this company posted total revenue growth of 31% to $138 million. Jamieson reported adjusted net earnings of $14.2 million or $0.34 per share, which was largely flat compared to the prior year.

Shares of Jamieson possess a solid price-to-earnings ratio of 28. Meanwhile, it offers a quarterly dividend of $0.17 per share, which represents a 1.9% yield.

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 Ambrose O'Callaghan has positions in Jamieson Wellness. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

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