Got Patience? The Top 3 Stocks to Hold for the Next 5 Years

If you have patience to buy and hold stocks are the next five years, these TSX stocks can deliver multifold returns.

| More on:
think thought consider

Image source: Getty Images

Amid recessionary fears, 2023 hasn’t turned out to be as bad as many would have expected. This led to a slight recovery in Canadian growth stocks. Despite the recent rally, several Canadian stocks continue to trade at a discount, providing solid entry points near current levels. 

However, investors should note that near-term macro headwinds could keep the stock market volatile. Thus, investors with a long-term view should capitalize on the lower share prices of Canadian corporations.

If you have the patience to hold stocks are the next five years, consider investing in the shares of goeasy (TSX:GSY), Shopify (TSX:SHOP), and Aritzia (TSX:ATZ). Let’s look at the reasons that support my bullish outlook. 


goeasy is a must-have stock to buy near the current levels. Its ability to grow revenue and earnings at a solid double-digit rate, expansion of consumer loan portfolio, solid credit quality, and robust dividend payments support my bullish view. 

Notably, goeasy’s top line has grown at a CAGR, or compound annual growth rate, of 20% in the last five years. Earnings growth was even better, reflecting a CAGR of 27% during the same period. Thanks to its growing earnings base, goeasy has consistently paid dividend for 19 years and increased it in the past nine consecutive years.

Higher loan originations, a broad product base, growth across all products and customer acquisition channels, and a large subprime lending market will likely support its growth. Further, leverage from higher sales, steady credit and payment volumes, and an improved mix of the loan portfolio bodes well for growth.  

goeasy is trading at the next 12-month price-to-earnings multiple of 7.3, which is at a multi-year low. Moreover, it offers a decent yield of 3.67% based on its closing price of $104.72 on May 24. 


From consumer finance, let’s move to the tech sector. Shares of the tech giant Shopify jumped over 70% year to date. Despite this recovery, Shopify stock is trading at a significant discount from the pre-pandemic, providing a solid entry point for long-term investors. 

Notably, Shopify’s large-scale, structural shift in selling models toward omnichannel platforms, and innovative products like Payments, Markets, and Capital bodes well for long-term growth. Further, its growing merchant base and partnerships with leading social media platforms are positives. 

While the company’s top line is likely to grow rapidly, Shopify is focusing on driving sustainable profit by streamlining its operations and lowering costs. It recently announced the sales of its logistics assets, which will ease the pressure on margins and cushion its bottom line. Overall, Shopify is a solid stock to buy and hold for the next five years and outperform the broader markets. 


After a stellar bull run over the past several years, Aritzia stock witnessed a correction in 2023, providing an excellent buying opportunity to long-term investors. While the near-term pressure on margins and moderation in sales growth weighed on its stock price, the strong demand for its products and ability to grow earnings at a breakneck pace could drive its stock price higher over the next five years. 

The fashion house continues to open new boutiques and is expanding in the U.S., which augurs well for growth. In addition, the strength in the e-commerce channel, expansion into new categories, and higher mix of full-price sales bode well for long-term growth.

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 Aritzia and Shopify. The Motley Fool has a disclosure policy.

More on Investing

Group of industrial workers in a refinery - oil processing equipment and machinery
Energy Stocks

Suncor Stock: How High Could it Keep Going?

Down 26% from 52-week highs, Suncor stock offers you a dividend yield of 5.3%. But is this TSX energy stock…

Read more »

money cash dividends
Dividend Stocks

TFSA Investors: Create $313 in Passive Income by Buying in 114 Shares in 3 Dividend Stocks

Canadian investors seeking passive income from dividend stocks should think beyond the first year, but here is what you could…

Read more »

Various Canadian dollars in gray pants pocket

TFSA Passive Income: Make $316/Month

Investors can look to generate passive income in their TFSA with monthly dividend stocks like TransAlta Renewables Inc. (TSX:RNW).

Read more »

Money growing in soil , Business success concept.
Dividend Stocks

This Canadian Monthly Dividend Stock Pays 11.5% Every Year

Here’s a great Canadian dividend stock you can consider buying now to earn handsome passive income each month.

Read more »

rail train

Down 9.8% From Highs, CN Rail Stock Looks Like a Great Value Today

CN Rail (TSX:CNR) may not be a steal, but it appears like a great value, even as tides of recession…

Read more »

Dividend Stocks

Already up 15.87%: Is Dollarama Stock Still Worth Buying Today?

Is Dollarama stock worth buying as a defensive growth stock, despite inflation normalizing in recent months?

Read more »

grow money, wealth build
Dividend Stocks

Looking for Dividend Stocks in Canada? Check Out These Top Picks

Invest in these two top dividend stocks in Canada for long-term wealth growth through a self-directed passive income stream.

Read more »

data analytics, chart and graph icons with female hands typing on laptop in background

Better Dividend Buy: Enbridge Stock or CNQ Stock?

Enbridge and Canadian Natural Resources are TSX giants with great track records of dividend growth. Is one stock now oversold?

Read more »