The investment horizon for long-term stock investing is typically 10 years. You’ll earn higher returns if the company’s business is enduring and resilient. However, if you want a legit shot at doubling your money in a shorter period or even in only five years, three Canadian stocks should be on your buy list today.
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Ultra-long-range platform
Bombardier (TSX: BBD.B) has delivered an impressive 105.4%-plus in five years. The $9.5 billion Dorval-based company designs and manufactures aircraft for businesses, governments, and high-net-worth individuals. Its growth drivers include aftermarket services and increasing demand from defence clients.
At $96.52 per share, the year-to-date gain is 81.4%. This 2024 TSX30 winner (ranked 13th) has a visible long growth runway because of sound fundamentals. Its recent milestone is delivering the 200th unit of the high-performing Global 7500 business jet.
Management said it is a testament to the industry-wide success of Bombardier’s ultra-long-range platform. The aircraft has transformed business aviation and continues to rewrite history with its unprecedented speed records and long-distance flights.
In Q3 2024, revenue rose 12% year-over-year to US$2 billion, while net income reached US$117 million compared to the US$37 million net loss in Q3 2023. President and CEO, Éric Martel, notes that Bombardier boasts sustained increases in revenues, profitability, and record aftermarket performance.
High-flyer
TerraVest Industries (TSX: TVK) flies under the radar but is also among the TSX’s top 30 growth stocks in 2024 (ranked 5th). This energy stock made the list for its 289%-plus performance (dividend-adjusted share price) in three years. If you invest today, the share price is $115.21 (+162% year-to-date). The dividend offer (0.52%) is modest, but there’s room for growth in the long run.
The $2.3 billion company operates in the Oil & Gas Equipment & Services industry and has facilities across Canada and the United States. TerraVest manufactures home heating products, propane, anhydrous ammonia, and natural gas liquids (NGL), as well as transport vehicles and storage vessels, energy processing equipment, and fibreglass storage tanks.
In fiscal 2024 (12 months ending September 30, 2024), sales and net income jumped 34% and 48% year-over-year to $911.8 million and $73.2 million, respectively. For fiscal 2025, management will focus on opportunities to enhance performance. Terravest will also make targeted investments to improve its manufacturing efficiency, expand product lines, and boost its base portfolio.
Value play
Hut 8 (TSX: HUT) is a value play for investors with high-risk appetites. This $3.3 billion bitcoin mining company has substantial Bitcoin (BTC-USD) holdings and has delivered a 127%-plus return in 1.06 years. The current share price is $35.07. On December 24, 2024, the crypto stock gained 13%.
In Q3 2024, total revenue climbed 102% year-over-year to US$43.7 million. The Digital Asset Mining revenue accounted for 26.5%. Market analysts see more room to run, although the crypto stock mirrors the price swings of the top digital asset.
Its CEO, Asher Genoot, said, “Our long-term vision is to build a digital infrastructure platform that not only meets the demands of today but is also engineered for the technologies and breakthroughs of tomorrow.”
Long-term options
The growth prospects of Bombardier, TerraVest, and HUT 8 make them suitable for long-term investors. However, HUT is a high-risk, high-reward option of the three Canadian stocks in focus.
