3 Canadian Stocks I’m Most Excited to Buy in 2025

Dividends? Check. Growth? Check. Value? Definitely! Pick up these Canadian stocks if they match your portfolio.

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 21, 2025 3:30 pm EST

| More on: DOLGSYOTEX

As we look ahead in 2025, it’s clear that a diverse mix of stocks will dominate my watchlist. With markets fluctuating and investors seeking stability while also eyeing growth, I’m particularly excited about OpenText (TSX:OTEX), goeasy (TSX:GSY), and Dollarama (TSX:DOL). These three stocks have captured my attention due to strong fundamentals, past performance, and promising future outlook. So, let’s get into it.

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The stocks

OpenText has always been a leader in enterprise information management, and its recent earnings reflect a solid position in the tech space. For its latest quarter, the Canadian stock reported revenues of $5.61 billion and net income of $468.56 million. Despite a slight drop in quarterly revenue growth of 11% year over year, OpenText continues to show robust cash flow. It also has a current ratio of 0.79 and a strong cash position of $1 billion. What excites me most is its strategic shift towards artificial intelligence (AI)-driven solutions, making it an ideal stock for long-term growth. Plus, OpenText offers a healthy dividend yield of 3.59% — great for income-seeking investors.

Next up is goeasy, a leader in financial services, especially in the Canadian market. The Canadian stocks recently reported stellar results for Q3, with revenue increasing by 5.10% year over year to reach $803.91 million. Plus, quarterly earnings growth of 28.10%. The Canadian stock is trading at a price-to-earnings ratio (P/E) of 10.35, making it an affordable option for those looking for value. goeasy’s growth trajectory is impressive, driven by its expansion into underserved markets and its strong online presence. The Canadian stock’s low payout ratio of 27.26% and dividend yield of 2.76% further enhance its attractiveness as a dividend stock.

Finally, Dollarama is another exciting name on my list. Despite its size, the Canadian stock continues to experience consistent growth. Dollarama remains a standout in the retail sector. The Canadian stock’s recent expansion into new locations and its continued focus on cost-effective products for Canadian consumers give it a solid foundation for sustained growth. While its dividend yield is modest at 0.25%, Dollarama’s strong cash flow and low debt make it a stable choice for long-term investors.

A winning combination

I’m particularly drawn to these three because they each offer something unique. While facing some challenges, OpenText is making strategic moves that will set it up for long-term growth in the AI and tech space. Meanwhile, goeasy is riding high on strong earnings and market expansion, with its attractive P/E ratio offering an opportunity for value-oriented investors. Dollarama is a consistent performer in the retail sector, with steady earnings growth and a well-positioned business model.

For 2025, I see these stocks not just as strong performers but as Canadian stocks that are primed for continued success, especially as each adapts to new market trends and innovates within its sector. Of course, no investment is without risk. OpenText has some challenges related to its debt levels and the recent dip in revenue growth, while goeasy’s expansion strategies may face unforeseen hurdles. Dollarama, while stable, could be impacted by a slowdown in consumer spending. However, all three Canadian stocks have shown an ability to navigate market volatility effectively, which is why they remain on my radar.

Bottom line

The Canadian stocks I’m most excited to buy in 2025 offer a balanced mix of growth, stability, and value. Each of these companies has strong fundamentals, a clear path forward, and the potential to continue delivering positive results. Whether you’re looking for growth in the tech space, a reliable dividend play, or a solid retail stock, these three should definitely be on your watchlist.