The macro uncertainty and trade disputes could keep the equity market volatile in the short term. However, investors with a long-term outlook shouldn’t stop investing but keep adding high-quality TSX stocks to their portfolios. Despite the near-term volatility, the fundamentally strong companies will likely generate above-average returns in the long run, enabling you to create wealth.
Against this backdrop, here are three top TSX stocks I’d invest $6,500 in today.
TSX stock #1
Shopify (TSX:SHOP) is an attractive bet and has the potential to deliver stellar capital gains over the long term. While shares of this global e-commerce company have dropped over 14% this year due to concerns about a broader economic slowdown and its potential impact on consumer discretionary spending, Shopify’s fundamentals remain strong.
Shopify has delivered revenue growth of 25% or more for the last seven quarters, excluding logistics. Its free cash flow margin is also improving steadily. Moreover, Shopify’s gross merchandise volume (GMV) grew 24% year-over-year in 2024, marking its fastest pace in three years.
Shopify will likely benefit from its ability to attract larger, high-volume brands, a growing international presence, and an increasing merchant base. It is also tapping into the B2B market and seeing momentum in offline retail, which will drive its GMV, product adoption, and overall financials. Further, Shopify’s focus on operational efficiency and asset-light business model will continue strengthening its bottom line and supporting long-term growth.
TSX stock #2
Investors could consider Brookfield Asset Management (TSX:BAM) to build significant wealth. The alternative investment management company’s diverse portfolio of premier assets and investments in high-quality businesses and sectors with considerable tailwinds positions it well to deliver stellar returns in the long term.
Brookfield has significantly expanded its investment capacity and has access to large-scale capital, which positions it well to capitalize on opportunities and deliver solid earnings. The expanding earnings base will help reward its shareholders with higher cash. Recently, Brookfield raised its annual dividend by 15%, bringing the total payout to $1.75 per share.
Looking ahead, its investments in artificial intelligence (AI) infrastructure and green energy position the company to deliver solid operating and financial performance. Brookfield’s expansion into the private credit market will further bolster long-term earnings growth and support its share price.
TSX stock #3
Aritzia (TSX:ATZ) is another Canadian stock investors could consider for solid capital gains. Shares of this Canadian clothing company have gained over 282% in the last five years, outperforming the broader market. While trade restrictions and tariffs pose short-term margin headwinds, the company’s growth fundamentals remain solid.
Aritzia’s exclusive fashion brands, boutique expansion, growing penetration in the U.S., and efficient supply chain will continue to support its financials, driving its stock higher.
Aritzia plans to open new boutiques in the U.S., accelerating its growth rate and strengthening its brand visibility. The company is also expanding its omnichannel capabilities, further strengthening its growth potential.
The fashion retailer projects double-digit growth in its top line in the medium term. Higher sales and its focus on optimizing costs will cushion its earnings, supporting its share price.
