What to Know About Canadian Infrastructure Stocks for 2025

Infrastructure companies are strong long-term investments no matter the market, and these three Canadian stocks look primed to grow.

The Canadian infrastructure sector is buzzing with activity as we head into 2025. Certainly there has been volatility over the last month or so with tariffs threatening the sector. But long-term, the sector looks like a strong investment for Canadians. And three companies WSP Global (TSX: WSP), AtkinsRéalis Group (TSX: ATRL), and Badger Infrastructure Solutions (TSX: BDGI) are at the forefront of this excitement. Let’s take a closer look at how these industry leaders are faring.

nuclear power plant

Source: Getty Images

WSP stock

WSP Global, a titan in engineering and professional services, recently reported robust financial results. For the fiscal year ending Dec. 31, 2024, WSP’s net earnings attributable to shareholders reached $681.4 million, up from $550 million in the previous year. This translated to a basic net earnings per share (EPS) of $5.40, a notable increase from $4.41 in 2023. The Canadian stock’s backlog also saw growth, standing at $15.6 billion as of December 31, 2024, compared to $14.1 billion the previous year.

Not one to rest on its laurels, WSP has unveiled an ambitious Global Strategic Action Plan for 2025–2027. This roadmap aims to steer the company through a transformative three-year cycle, focusing on sustainable growth and innovation.

AtkinsRéalis

AtkinsRéalis Group, formerly known as SNC-Lavalin, is also making waves. The Canadian stock has been riding the momentum of a nuclear renaissance, with its nuclear business growing by 35% last year. This surge is attributed to projects in Canada, Argentina, Romania, and South Korea, leading to a backlog of orders totalling $4 billion.

However, AtkinsRéalis has faced some stock market volatility recently. The Canadian stock’s shares experienced a 7.6% drop in the past week, but over the past three years, the stock has appreciated by 171%, outpacing the S&P 500’s 36% gain during the same period.

Badger

Badger Infrastructure Solutions, specializing in non-destructive excavation services, has been steadily climbing the ranks. The Canadian stock is currently trading at $39.48, with a market capitalization of approximately $1.4 billion. Over the past year, Badger’s shares have seen a 74.5% increase, reflecting strong investor confidence.

The broader Canadian construction industry has also been on an upward trajectory, with the sector experiencing 16.8% growth over the past year. This positive trend bodes well for companies like Badger, which play a crucial role in infrastructure development.

Foolish takeaway

Looking ahead, analysts are optimistic about these Canadian stocks. For instance, WSP Global has received a consensus 12-month price target of $284.83 from 11 analysts, suggesting a potential upside of 14.5% from its current share price. And with the infrastructure sector growing the way it has, all three of these Canadian stocks should see a further surge in share price.

Canada’s infrastructure landscape is vibrant, with WSP Global, AtkinsRéalis Group, and Badger Infrastructure Solutions leading the charge. The recent performances and strategic initiatives position them well for continued success in 2025 and beyond. Now, of course, always make sure that these Canadian stocks align with your investment strategy. Speaking with your financial advisor is certainly a great place to start. But when it comes to Canadian infrastructure stocks, these three companies certainly look like strong investments to watch.

Fool contributor Amy Legate-Wolfe has no position in any of the stocks mentioned. The Motley Fool recommends WSP Global. The Motley Fool has a disclosure policy.

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