Finding Canadian growth stocks that can double in just a few years isn’t easy, especially in a volatile market. But it’s not impossible. The key is not just about identifying high-quality companies with significant growth potential. In addition, you also want to look for businesses that are facing temporary headwinds, causing their stock prices to trade at steep discounts.
When you can find a stock that has both significant growth potential and is trading ultra-cheaply, those are exactly the types of opportunities long-term investors dream about.
It’s important to remember that the stock market is forward-looking. So, when short-term concerns dominate the headlines, such as worries about lingering inflation, higher-for-longer interest rates, or global trade tensions, many high-quality stocks can end up trading below their true potential. And that’s where the best opportunities lie.
When you buy a growth stock that trades cheaply, not only can you earn a significant return when it eventually rallies back to fair value, but you can also continue to earn significant returns for years to come.
So, although nothing is guaranteed when it comes to investing, stocks that offer both high upside and a wide margin of safety are exactly the kind of investments that can double, or even more, by 2028.
Therefore, if you’ve got cash on the sidelines and are willing to be a little contrarian while the market focuses on short-term noise, here are two of the best Canadian growth stocks to buy now while they’re still cheap.
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An ultra-cheap stock trading 67% below its 52-week high
If you’re in the market for Canadian stocks with significant growth potential that you can buy at a discount today, there’s no question you’ll want to consider VerticalScope Holdings (TSX: FORA).
VerticalScope is a micro-cap stock with a market cap of just over $100 million. However, it’s also a company with a tonne of growth potential.
The Canadian growth stock operates more than 1,200 online communities focused on niche enthusiast interests such as automotive, outdoor activities, and DIY projects.
Therefore, because of its niche focus, it’s an ideal platform for advertisers looking to target highly engaged and specific audiences. Plus, on top of its core ad revenue, VerticalScope also has opportunities to scale through e-commerce partnerships, sponsored content, and cross-selling across its vast network of forums.
Recently, though, VerticalScope has faced temporary headwinds due to changes in search algorithms and shifts in digital ad trends, which impacted traffic and revenue. However, management sees these challenges as short-term and is actively investing in new features to drive growth.
Therefore, while VerticalScope trades undervalued, there’s no question it’s a high-potential growth stock that Canadian investors want to consider.
A top Canadian growth stock in the healthcare tech space
In addition to VerticalScope, another high-potential growth stock trading significantly lower than its 52-week high is WELL Health Technologies (TSX: WELL).
WELL has been growing rapidly for years now. At first, it saw its value increase significantly during the pandemic, when its digital health apps and telehealth services saw so much demand. Then, it continued to expand its operations and grow its revenue quickly as it made numerous value-accretive acquisitions and continued expanding its portfolio of healthcare tech businesses.
In fact, WELL Health’s revenue has grown from just $50 million in 2020 to more than $900 million in 2024, a compound annual growth rate of more than 100%.
However, these days the majority of its growth potential is coming from its rapid expansion of its portfolio of clinics. In fact, WELL has quickly become the largest owner/operator of medical outpatient clinics in Canada. Plus, the more clinics it acquires, the better it can scale its costs.
In addition to its significant growth potential, though, WELL is trading unbelievably cheap. Not only is it more than 45% below its 52-week high, but it’s also trading at a forward price-to-earnings ratio of just 10.2 times.
That’s cheap for any growth stock, but especially such a high-potential stock like WELL. So, if you’re looking for Canadian growth stocks that could potentially double your money by 2028, there’s no question that WELL is one of the best to consider.
