3 of the Best Canadian Stocks Investors Can Buy Immediately

Canadian stocks offer a lot in today’s market, but which offer the most?

Amy Legate-Wolfe

Author Bio Amy became interested in investing in 2018 after having her first daughter. After receiving a masters degree in journalism from Western University, she became frustrated that the finance industry remained a confusing place for Canadians like her: new parents, millennials, and other young people who needed to understand their finances. Now, Amy focuses on tech companies and renewable energy for growth opportunities, coupling that with long-term investing strategies and equities. She also provides investors with a daily newsletter, Canada Stock Digest, for daily market updates. Her work can also be found at Canada's National Observer, where she writes on the business side of climate action. Before joining Motley Fool Canada, Amy wrote for major news organizations including HuffPost, CTVNews.ca, and CBC. When she’s not researching investing strategies, Amy’s time is pretty much monopolized by her two wild daughters, but in what little spare time she has she loves to do yoga, go on walks with her dog, and travel with her husband. Social Media Follow Amy on LinkedIn and Canada Stock Digest. Favorite Investment Quote “October: This is one of the particularly dangerous months to speculate in stocks. The others are July, January, September, April, November, May, March, June, December, August and February.” – Mark Twain

Published February 20, 2025 4:40 pm EST

Investing in Canadian mid-cap stocks can be a savvy move for those looking to balance growth potential with stability. But with so many options, how do investors even start? Today, let’s take a closer look at three standout companies that are making waves in their respective industries: goeasy (TSX:GSY), Cargojet (TSX:CJT), and Exchange Income (TSX:EIF).

Hourglass projecting a dollar sign as shadow — Source: Getty Images

goeasy

First, goeasy stock has been on a remarkable growth trajectory. In the third quarter (Q3) of 2024, the Canadian stock reported record loan originations of $839 million — a 16% increase from the same period in 2023. This surge led to a 19% rise in revenue, reaching $383 million. Net income also saw a significant boost, climbing 28% to $84.9 million.

The Canadian stock’s loan portfolio expanded to $4.39 billion, up 28% from the previous year. It offers a diversified lending approach encompassing unsecured loans, home equity lending, point-of-sale financing, and automotive financing. Thus, goeasy is well-positioned to cater to a broad spectrum of consumers.

Looking ahead, goeasy’s focus on enhancing its credit models and underwriting practices, coupled with a growing proportion of secured loans, suggests a commitment to maintaining stable credit performance. The Canadian stock’s strategic initiatives and robust financial health make it an attractive option for investors seeking exposure to the financial services sector.

Cargojet

Next, Cargojet, Canada’s leading provider of time-sensitive air cargo services, demonstrated impressive performance. In the third quarter of 2024, the Canadian stock reported a 15% increase in revenue, reaching $245.6 million. That’s compared to $214 million in the same period the previous year. Net earnings more than doubled, soaring to $29.7 million from $10.5 million in Q3 2023.

The Canadian stock’s strategic partnerships, such as the long-term agreement with DHL to provide global air transportation services, are expected to be accretive to earnings and cash flows over time. Plus, Cargojet’s focus on optimizing operations, evidenced by a nearly 15% increase in block hours with no change in fleet size, highlights its commitment to efficiency and customer satisfaction.

With the rise of e-commerce and the increasing demand for rapid delivery services, Cargojet is well-positioned to capitalize on these trends. The Canadian stock’s robust network and strategic initiatives suggest a promising outlook for sustained growth.

Exchange Income

Exchange Income is a diversified company with interests spanning aviation, aerospace, and manufacturing. The Canadian stock’s strategy of acquiring profitable, well-established companies has contributed to its steady growth and stable cash flows.

The Canadian stock’s historical performance indicates a pattern of resilience and adaptability. Its diversified portfolio helps mitigate risks associated with any single industry, providing a balanced approach to growth and income. Investors may find the company’s consistent dividend payouts appealing, reflecting a commitment to returning value to shareholders. As the company continues to identify and integrate new acquisitions, it is poised to maintain its growth trajectory.

Bottom line

For investors seeking opportunities in the Canadian mid-cap space, goeasy, Cargojet, and Exchange Income offer compelling cases. Each company, with its unique strengths and strategic initiatives, presents a blend of growth potential and stability. As always, it’s prudent to conduct thorough research and consider individual investment goals when making decisions.