3 Stocks That Could Make You Richer in 2024

Are you looking for stocks that could build wealth in the coming years? These three Canadian stocks could deliver strong returns in 2024 and beyond.

| More on:
grow money, wealth build

Image source: Getty Images

Stocks have been climbing in 2024, and Canadian investors don’t want to miss out. Yet, after such a strong recovery, it is hard to know whether to buy or wait for a pullback.

In the short term, that debate matters. However, if you have a considerably long investment horizon (five, 10, or more years), the near-term entry price matters less.

As long as a stock’s valuation is not egregious, the best time to buy a great business is often the present. That is especially true if the stocks you are buying are high-quality companies (strong balance sheet, great management, enduring services/products, etc.) with the potential to keep growing.

If you are looking for stocks that could make you richer in the years ahead, here are three to look at today.

A Canadian retailer with an impressive record

Alimentation Couche-Tard (TSX:ATD) has done a good job of making investors rich. A $10,000 investment made 20 years ago would be worth $335,000 today. If you reinvested its dividends along the way, it would be worth $430,000.

While the same rate of returns may not be replicated in the future, management is still hoping to double its business over the next four to five years. The company is an excellent quality retailer. Convenience stores and gas stations are not flashy businesses, but Couche-Tard has the scale and operating expertise to earn market-leading results.

Today, it is facing some near-term economic headwinds. However, that also means the stock has pulled back to attractive levels. If you can look through these headwinds, this stock could still deliver good returns in the years ahead.

A financial stock starting to soar

If you are looking for a stock in the early stages of its growth story, Propel Holdings (TSX:PRL) could have considerable upside. It provides small- to medium-sized loans to non-prime consumers. It has its own online lending platform, and it also offers loans through banking partners.

The company recently expanded into Canada. It also started to offer a lending-as-a-service platform to other lending providers. It has been growing earnings per share by +35% per year over the past three years. It continues to have considerable opportunities to expand.

While this stock is up 33% this year, it trades for an attractive 15 times earnings (less than half its growth rate). It also has an attractive 2.85% dividend yield, so you get some income with the story as well.

A boring trucking stock with excellent returns

TFI International (TSX:TFII) is another stock with a great outlook for the future. Like Couche-Tard, it doesn’t really operate in an exciting segment. It operates a mix of trucking and transport businesses across Canada and the United States.

Its stock is up 420% over the past five years and 783% over the past 10 years. The company has grown by a combination of prolific acquisitions and efficient/profitable operating capacity.

Despite such strong performance, TFI stock trades at a significant discount to its peers in the United States. The company is looking for ways to bridge this gap and is making meaningful progress to unlock even more shareholder value. As a result, long-minded shareholders could stand to benefit from an investment this year.

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 Robin Brown has positions in Propel and TFI International. The Motley Fool has positions in and recommends Alimentation Couche-Tard and Propel. The Motley Fool has a disclosure policy.

More on Investing

A close up image of Canadian $20 Dollar bills
Dividend Stocks

Monthly Income Mastery: How to Build a $37,300 Portfolio for Endless Cash Flow

Two dividend stocks with impressive dividend track records can provide endless monthly cash flows.

Read more »

Hand arranging wood block stacking as step stair with arrow up.
Investing

3 High-Flying TSX Stocks That Could Keep on Climbing

Given their excellent growth prospects, these three high-flying stocks could continue their uptrend.

Read more »

stock data
Stocks for Beginners

2 FIRE Stocks Every Canadian Should Own

These two FIRE stocks are the easiest way to achieve early financial freedom, and have already proven to be strong…

Read more »

Target. Stand out from the crowd
Dividend Stocks

1 Top Dividend Stock to Buy With $500

Waiting for your capital to hit a certain threshold before you buy a dividend stock might not be the best…

Read more »

protect, safe, trust
Dividend Stocks

This 4%-Yielding Dividend Stock is a Top Option for Safe Income

Looking for a top option for safe income that can also provide growth for years to come? Then consider this…

Read more »

Dividend Stocks

RRSP Investors: 2 Great Dividend Stocks to Buy for Total Returns

These top TSX dividend stocks have increased their payouts annually for decades.

Read more »

Dividend Stocks

3 No-Brainer Stocks to Buy Right Now for Less Than $13

If you want no-brainer stocks, it's best to start out with no-brainer industries, and these three offer just that for…

Read more »

a person prepares to fight by taping their knuckles
Dividend Stocks

These 2 Stocks That Struggled in 2023 Could Make a Big Comeback in 2024

After almost one-and-a-half years of fluctuations, the TSX is consistently rising, and many beaten-down picks of 2023 might emerge as…

Read more »