3 Remarkably Cheap TSX Stocks to Buy Right Now

Canadian investors should look to target amazingly cheap TSX stocks like Canada Goose Holdings Inc. (TSX:GOOS) and others today.

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The S&P/TSX Composite Index was down 166 points in late-morning trading on May 30. Telecoms and battery metals were the only sectors in the black at the time of this writing. Today, I want to zero in on three TSX stocks that are incredibly cheap at the end of the month of May. Let’s dive in.

Here’s why Canada Goose is a cheap TSX stock I’m targeting today

Canada Goose (TSX:GOOS) is a Toronto-based company that designs, manufactures, and sells performance luxury apparel for individuals of all ages in Canada, the United States, and around the world. Shares of this TSX stock have plunged 18% month over month at the time of this writing. That has pushed the stock into negative territory in the year-to-date period. Investors who want to see more of its recent performance can play with the interactive price chart below.

This company released its fourth-quarter (Q4) and full-year fiscal 2023 earnings on May 18. Total revenue climbed 31% year over year to $293 million. Meanwhile, gross profit increased 23% to $190 million. Canada Goose also laid out a strategic plan that will stretch to fiscal 2028. It aims to focus on bringing in new customers to its luxury winter clothing brand, with a focus on women and Gen Z. Moreover, the company is pushing to expand its direct-to-consumer (DTC) network and broaden its performance luxury lifestyle brand into new categories.

The Relative Strength Index (RSI) is a technical indicator that measures the price momentum of a given security. This TSX stock currently possesses an RSI of 31. That puts Canada Goose just outside technically oversold territory.

This super dividend stock is undervalued in late May

Enbridge (TSX:ENB) is a Calgary-based energy infrastructure giant. This stock has dropped 9.5% over the past month. That pushed its shares into negative territory so far in 2023.

Investors got to see this company’s Q1 fiscal 2023 results on May 5. Adjusted earnings remained mostly flat at $1.7 billion, or $0.85 per common share, compared to $1.7 billion, or $0.84 per common share, in Q1 fiscal 2022. Meanwhile, distributable cash flow (DCF) rose to $3.2 billion over $3.1 billion in the previous year.

Shares of this top energy stock are trading in favourable value territory compared to its industry peers. Moreover, Enbridge stock last had an RSI of 24, putting the stock in oversold levels.

One more dirt-cheap TSX stock that boasts a dividend crown

Canadian Utilities (TSX:CU) is the third cheap TSX stock I’d look to snatch up before we move into the month of June. Its shares have dipped 6.4% month over month. The stock has dropped marginally in the year-to-date period.

In Q1 fiscal 2023, the company reported adjusted earnings of $217 million — down from $219 million in Q1 of fiscal 2022. Moreover, the company invested $304 million in capital expenditures in the first quarter, 86% of which was invested in regulated utilities and 14% in energy infrastructure. Canadian Utilities has achieved over 50 straight years of dividend growth, which makes it the first Dividend King on the TSX. It offers a quarterly distribution of $0.449 per share, representing a solid 4.8% yield.

This TSX stock last had an attractive price-to-earnings ratio of 15. Moreover, it possesses an RSI of 35, putting it just outside technically oversold levels.

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 no position in any of the stocks mentioned. The Motley Fool recommends Enbridge. The Motley Fool has a disclosure policy.

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