Long-term investing is one of the best ways for regular folks to grow wealth or build a fortune. Stocks, among other asset classes, are common choices. Besides their suitability to ride out the market’s highs and lows, the overall returns on a longer investment horizon are enormous.
There are five buying opportunities on the TSX right now. Each Canadian stock can reward investors with massive returns in a decade.
1. Brookfield Infrastructure Partners (TSX: BIP.UN)
An owner and operator of critical global infrastructure networks like Brookfield Infrastructure Partners is a compelling and relatively safe investment. In addition to its resilient nature, infrastructure assets have long economic lives, offer inflation protection, and provide certainty during uncertain times.
This $6.65 billion company operates globally and invests in essential infrastructure networks such as data, energy storage, freight, passengers, and water. If you invest today, this utility stock trades at $41.24 per share and pays a 5.41% dividend.
2. Computer Modelling Group (TSX: CMG)
Computer Modelling belongs to the tech sector but is a niche player in the energy industry. The business is profitable, evidenced by the increasing bottom line in the last three years (average $21.5 million). As of this writing, CMG trades at $13.01 per share, up 29.55% year to date. Prospective investors will partake in the modest 1.56% dividend.
The $1.06 billion international computer software technology and consulting firm develops and licenses oil and gas reservoir simulation software. CMG combines science and technology to the new energy industry’s complex subsurface and surface challenges.
3. Propel Holdings (TSX: PRL)
Propel Holdings in the financial services sector outperforms the broader market and the big bank stocks. At $25.24 per share, current investors enjoy a 97.01% year-to-date gain on top of the 2.19% dividend. Through its artificial intelligence (AI)-powered lending platform, the $877.88 million financial technology company extends credit services to underserved borrowers or people with inadequate access to credit.
The company has established a solid foothold in its captured market since starting operations 13 years ago. PRL’s overall return to shareholders in 2.81 years is 172.73%.
4. VN Plus (TSX: VNP)
5N Plus is a standout performer in the basic materials sector thus far in 2024. The stock continues to buck market headwinds and the high-interest rate environment. At $5.87 per share, the year-to-date gain and three-year price return are 55.29% and 101.72%, respectively.
The $525.5 million company produces specialty semiconductors and performance materials. It deploys proprietary technologies to develop and manufacture advanced materials used as core components in various products. 5N Plus caters to clients in the specialty semiconductors segment and the health or pharmaceutical sector.
5. ADF Group (TSX: DRX)
ADF Group has a long growth runway, notwithstanding the mouth-watering returns it has already delivered. At $13.77 per share, the industrial stock is up 99.13% year to date. Also, had you invested $5,000 three years ago ($2.09 per share), your money would be $32,942.58 (558.85% growth).
The $411.4 million company operates in the metal fabrication industry and specializes in connection engineering, fabrication, and installation of complex steel structures and heavy steel components. ADF’s net income has grown exponentially since 2020 (82% average yearly increase).
Massive returns
Forward-looking Canadians can choose from the five TSX stocks in focus. All are steady performers with the potential to deliver massive returns in 10 years and beyond.
