Without a doubt, $25,000 is a substantial chunk of change to invest in stocks. It is a nice amount to get started if you are a new investor. You can build a substantial position in a stock. You can also diversify your portfolio across several holdings.
If you are looking for some stocks to buy, here are four Canadian stocks I wouldn’t hesitate adding now.
Image source: Getty Images
Dividend stocks for a long-term hold
With the potential for higher stock market volatility through 2025 (and potentially beyond), it doesn’t hurt to hold some stocks that produce income. If the market declines, you can still collect a nice stream of income to offset some of the stock price fluctuations.
One stellar Canadian stock for income is Canadian Natural Resources (TSX:CNQ). Canada’s largest energy producer and one of its best-run companies has built out a resource network that should stand the test of time.
The world’s largest independent crude oil and natural gas producer has a sector-leading low cost of production. Likewise, it has decades of energy reserves. CNQ is down 6% in the past month. It trades at an attractive valuation. The stock yields 4.9% and has a 25-year history of annually increasing its dividend.
Another stock for a mix of income, value, and growth is Calian Group (TSX:CGY). It provides a diverse mix of services that include healthcare, specialized technologies, cybersecurity, and crisis/military training.
The business services and solutions firm is a major supplier to the Canadian military. Yet, it has been diversifying its revenue sources in the past few years. If Trump threats have any impact, Canada will need to beef up its military spending. That could benefit Calian over the long run.
The company trades at a very low valuation, despite putting up steady growth in the past few years. CGY stock also has a nice 2.3% yield.
Top compounder stocks in Canada
If you want growth that can compound, Topicus.com (TSXV:TOI) is an attractive buy today. The company is a serial acquirer of software companies in Europe and abroad.
Its mix of niche software companies earn high recurring revenues and tend to be essential to the customers they serve. The company generates substantial cash that it deploys into more acquisitions.
It has already made some big deals in 2025. This could translate into very good results through the year. TOI stock is not cheap today, but if it can continue to execute, it could still be a good deal.
Another excellent long-term compounder is Colliers International Group (TSX:CIGI). Many see this as just a commercial real estate brokerage business. However, it has transformed into a multi-faceted services company.
Today, engineering/advisory and asset management make up over 50% of its earnings. Likewise, over 70% of its earnings are from recurring sources.
The company is building out some substantial platform businesses. The market doesn’t yet recognize its value so you can nab this stock at a reasonable valuation today.
The Foolish takeaway
Each of these are great companies that have considerable capacity to deliver strong returns for shareholders. With these you get a mix of income, value, growth, and compounding. Invest in these stocks and diversify with stocks like these, and you can stand to do very well long term.
