5 Canadian Stocks Set to Soar in 2024

Are you looking to invest in stocks? These stocks are set to soar in 2024.

| More on:
Dollar symbol and Canadian flag on keyboard

Image source: Getty Images

The equity market remains buoyant as concerns about a recession diminish. Further, expectations of interest rate cuts and improvement in the macro environment provide a solid platform for future growth. As the operating environment has improved, let’s zoom in on five fundamentally strong Canadian stocks set to soar in 2024. 

Aritzia 

Shares of clothing company Aritzia (TSX:ATZ) are up about 26% year to date. The stock is likely to rise further in 2024, led by its efforts to accelerate sales growth through the opening of new boutiques and the introduction of fresh styles. Additionally, its focus on improving its online customer experiences and expanding its omnichannel offerings augurs well for future growth. 

While the company faces tough year-over-year comparisons in the near term, it is poised to see an acceleration in sales and earnings-per-share (EPS) growth rate. Management expects the top line to grow at a compound annual growth rate of 15-17% through 2027. Meanwhile, leverage from higher sales and measures to reduce inventory management costs will likely cushion its earnings and drive its share price. 

Precision Drilling

Precision Drilling (TSX:PD) provides onshore drilling services to oil and gas exploration and production companies. The company’s shares are up over 44% year to date, reflecting strong demand and an improving macro environment supporting drilling activities. Additionally, Precision Drilling stock benefits from the company’s efforts to reduce debt, return cash to shareholders, and accelerate growth through strategic acquisitions. 

Looking ahead, the momentum in its business is likely to be sustained. Increased Canadian drilling rig utilization days and well servicing rig operating hours are likely to dive its financials and share price in 2024. Further, its recent acquisitions will support its growth. 

Celestica

Celestica (TSX:CLS) stock is poised to gain from its diversified portfolio and its exposure to high-growth markets. Thanks to the resilience of its business and solid growth prospects, Celestica stock has gained about 73% year to date. The stock has further upside potential due to its ability to generate sustainable revenue and profitability. 

Celestica will likely benefit from the ongoing strength in its Connectivity & Cloud Solutions (CCS) business due to the widespread deployment of artificial intelligence technology across sectors. Additionally, the company’s Advanced Technology Solutions (ATS) segment is also well-poised to capture opportunities arising from the transition towards electric vehicles, telematics, and smart energy solutions. 

goeasy

goeasy (TSX:GSY) stock is up about 8% year to date. Moreover, shares of this subprime lender are likely to grow swiftly on the back of its growing consumer loan portfolio. The financial services giant is growing its revenue and earnings at a double-digit rate, which has led to a significant appreciation in its stock over the past decade.

Higher loan originations, the expansion of its consumer loan portfolio, the large addressable market, diversified funding sources, and geographical expansion will likely drive its revenue. Higher sales and steady credit performance will boost its earnings, drive higher dividend payouts, and push its share price.

Canadian Natural Resources

Canadian Natural Resources (TSX:CNQ) stock is up about 28% year to date. Further, steady energy demand, growing industrial activity, increase in production, and its focus on strengthening its balance sheet position it well to generate solid financials in 2024, boosting its share price. 

Notably, its high-value reserves, long-life assets, focus on cost control, and low maintenance capital requirement provide a solid foundation for growth. Further, the company’s solid earnings base will enable it to return higher cash to its shareholders through higher dividend payments. 

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. The Motley Fool recommends Canadian Natural Resources. The Motley Fool has a disclosure policy.

More on Investing

Happy family father of mother and child daughter launch a kite on nature at sunset
Investing

3 Soaring Stocks to Hold for the Next 20 Years

These three stocks are good bets for the long haul, given their healthy long-term growth prospects.

Read more »

grow dividends
Tech Stocks

Celestica Stock Is up 44% Since Earnings: What Investors Need to Know

Celestica continues to benefit from strong demand and production efficiencies, yet the stock remains undervalued.

Read more »

A plant grows from coins.
Investing

2 Dividend Stocks Paying 5% or More That Could Beat the Market in 2024 and Beyond 

Here are two top dividend stocks long-term investors may certainly want to consider for their yields and growth profiles right…

Read more »

edit Balloon shaped as a heart
Dividend Stocks

Love Value Stocks? 2 That Are Screaming Buys in May 2024

Patience can pay off by investing in these two value stocks with nice dividends and the potential to turn around.

Read more »

healthcare pharma
Tech Stocks

What’s Going on With WELL Health Stock?

WELL stock (TSX:WELL) made strong moves once again, with record earnings and even higher guidance for 2024.

Read more »

Senior Couple Walking With Pet Bulldog In Countryside
Dividend Stocks

2 Everlasting Canadian Stocks for Your RRSP

The Canadian National Railway (TSX:CNR) stock is worth owning for the long haul.

Read more »

money cash dividends
Stocks for Beginners

Is TD Stock the Best Dividend Stock for You?

Shares of TD stock (TSX:TD) plunged on the news of a money laundering probe. But could this mean it's a…

Read more »

exchange traded funds
Investing

New to Investing? Get Started With This Easy, Hands-Off Method

Vanguard S&P 500 Index ETF (CAD-hedged) (TSX:VSP) is a glorious first investment candidate for beginner investors.

Read more »