Just imagine that you could look a decade or so into the future and note which stocks were big winners for early investors. Wouldn’t it be the best way to make it big as an investor? You would be able to put all your eggs in the right basket and create generational wealth with that kind of cheat sheet.
Predicting the future perfectly isn’t a possibility, but you might not need a crystal ball to pick winners. Instead of trying to determine what can happen, it can be a good idea to look at what already has happened. Looking at the past will show you that high-quality businesses that had solid growth potential became the long-term winners they are today.
Today’s big winners had certain qualities that made them into what they are right now. The stock market has plenty of future winners right now that can tick all the right boxes. Today, I will discuss two TSX growth stocks that I am confident will be massive in the next decade.
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BlackBerry
BlackBerry (TSX: BB) is a Waterloo-headquartered tech firm that many millennials and boomers might be familiar with. If you are one, you might be wondering why I’ve mentioned this company as a possible winner when it has already lost. For those who don’t know it, BlackBerry was effectively the leading player in the smartphone industry. The company did not keep pace with competition, was left behind, and faded into obscurity. However, BlackBerry did not die out.
The tech company repositioned itself in its time out of the limelight. Now, it offers digital and Internet of Things (IoT) software solutions to enterprises, governments, and vehicle manufacturers worldwide. The company is focusing on high-growth areas that are in high demand, like cybersecurity and intelligent automotive software.
The company is set to hit positive cash flow before it anticipated, which will complete BlackBerry’s turnaround. As of this writing, it trades for $6.29 per share, and these share prices might seem like a steal when you look back at it a few years down the line.
MDA Space
Where BlackBerry might be going through a resurgence through reinvention, MDA Space (TSX: MDA) stock presents a newer opportunity. The space industry is growing and is expected to continue growing for the foreseeable future. The $3.39 billion market capitalization company provides advanced technology, solutions, and services to the global space industry.
MDA specializes in robotics, satellite systems, and geo-intelligence. The company has been around for over 50 years, involved in space infrastructure and exploration. The Earth and Canadarm3 observation satellites are some of the large projects it has undertaken. The company has recently signed a $1.1 billion deal with Globalstar to build its network of low-Earth-orbit satellites.
Additionally, MDA has a $4.6 billion backlog, ensuring that it has plenty of revenue coming in in the next few years. Considering these factors, this might be a solid pick for a big winner in the next decade and beyond.
Foolish takeaway
Like with this prediction, I am pretty sure there were plenty of companies that analysts slated to become big winners but the situation did not pan out that way. It is important to take predictions like this with a pinch of salt.
Considering trends, future outlooks, and both companies’ current positions, BlackBerry and MDA stock look well-positioned to become the big winners of the decade. Who knows? They might continue delivering even greater returns further down the line. I’d suggest keeping a close eye on both and allocating some of your investment capital if you are bullish on the potential you see.
