3 High-Growth Stocks That Could Be Worth $1 Trillion in 10 Years — Or Sooner

You can buy these three of the best Canadian high-growth stocks now to hold for the next decade.

| More on:
Money growing in soil , Business success concept.

Image source: Getty Images

High-growth stocks saw a massive crash in 2022 due to growing macroeconomic concerns led initially by high inflation and geopolitical tensions. No matter how pessimistically you think at the moment, today’s bear market will eventually turn into a bull market in the future. Given that, it could be the right time you add some fundamentally strong high-growth stocks to your portfolio.

In this article, I’ll highlight three of the best Canadian high-growth stocks that could have a combined value of nearly $1 trillion or more in the next decade or sooner.

BlackBerry stock

BlackBerry (TSX:BB) has seen slightly less than 60% value erosion in 2022 so far to trade at $5.10 per share. The Waterloo-based tech firm currently has a market cap of nearly $3 billion and generates most of its revenue from its cybersecurity software segment.

As businesses globally have cut their costs to deal with the economic environment this year, the sales growth trend of BlackBerry’s cybersecurity segment has declined. Nonetheless, consistently growing demand for its QNX operating system from the auto industry continued to strengthen its IoT (Internet of Things) segment performance. The growth in its IoT segment is likely to improve massively in the coming years due mainly to its efforts to develop advanced technological solutions for autonomous vehicles. Given that, a sharp crash in BB stock this year could be an opportunity for long-term investors to buy it at a bargain.

Shopify stock

Slightly more than a year ago, the Canadian e-commerce giant Shopify (TSX:SHOP) was trading close to its record highs. Since then, the stock has tanked by nearly 78% to currently trade at $49.26 per share, partly due to the broader market selloff. Despite these losses, the stock currently has a market cap of $62 billion. And based on its future growth potential, I wouldn’t be surprised if this value multiplies fast in the coming years.

During Black Friday and Cyber Monday weakened, the total sales of Shopify merchants reached a new record of US$7.5 billion, showcasing the consistent strength of its platform. In the last year, Shopify’s financial growth rate has significantly declined on a year-over-year basis amid reopening economies in the post-pandemic era. Nonetheless, the demand for its easy-to-use e-commerce services remains solid and is expected to rise further in the coming years with more business trying to build their online presence. This should boost SHOP’s sales and earnings growth in the coming years and help its stock rally.

Constellation Software stock

Constellation Software (TSX:CSU) is another fundamentally strong high-growth stock in Canada that has the potential to grow significantly in value in the long term. This Toronto-headquartered tech firm has a market cap of $45.4 billion at the moment, as its stock trades at $2,144.50 per share with 10.2% year-to-date value erosion.

Interestingly, despite its sharp losses in 2022, CSU stock has delivered more than 1,700% positive returns to investors in the last 10 years, even after excluding dividends. Despite industry-wide challenges, Constellation Software continued to post strong growth in the first three quarters of 2022 with the help of its continued strategic acquisitions. Moreover, its strong financial position, robust cash flows, and ability to perform well, even in the difficult economic environment, make CSU stand out from most other high-growth stocks, making it worth considering for the long term.

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.

The Motley Fool has positions in and recommends Shopify. The Motley Fool recommends Constellation Software. The Motley Fool has a disclosure policy. Fool contributor Jitendra Parashar has no position in any of the stocks mentioned.

More on Tech Stocks

A shopper makes purchases from an online store.
Tech Stocks

Better Buy: Shopify Stock or Amazon?

Let's see which e-commerce stock is a better buy between Shopify and Amazon in 2023 and beyond.

Read more »

Businessman looking at a red arrow crashing through the floor
Tech Stocks

3 Growth Stocks Down Over 50% That Are Screaming Buys in January 2023

Given their healthy growth prospects and discounted stock prices, these three growth stocks could deliver superior returns over the next…

Read more »

New virtual money concept, Gold Bitcoins
Tech Stocks

These 2 Stocks Carry a Lot of Risk, But Their Upside is Huge

If you want windfall gains, you have to risk losing what you invest. These two stocks with disruptive technology could…

Read more »

Money growing in soil , Business success concept.
Tech Stocks

3 Growth Stocks Down More Than 50% to Buy for Outsized Gains in 2023

Beaten-down growth stocks such as Shopify provide investors the opportunity to derive exponential gains once market sentiment improves.

Read more »

Businessman holding AI cloud
Tech Stocks

ChatGPT Could Spell an “AI Revolution” for These Canadian Stocks

ChatGPT indicates a breakthrough in AI that could bolster stocks like Shopify (TSX:SHOP).

Read more »

Tech Stocks

Your Future Self Will Thank You for Buying Lightspeed Stock in 2023

Here’s why you may want to add LSPD stock to your portfolio in 2023 to hold it for the long…

Read more »

a person watches a downward arrow crash through the floor
Tech Stocks

Don’t Wait for a Market Crash: These 2 Top Stocks Are on Sale

Waiting for a market crash can take away the opportunity to buy early in the market rally while growth stocks…

Read more »

Coworkers standing near a wall
Tech Stocks

What’s Next for Magnet Forensics Stock After Hitting a 52-Week High Last Week?

While TSX tech stocks have lost around 30% last year, Magnet Forensics stock has soared 82%.

Read more »