Millennials shouldn’t let the concerning headlines prevent them from picking up a market bargain. Though the TSX Index seems pricier today than just a month ago, there are still intriguing options in the mid-cap universe. Undoubtedly, the small- and mid-cap stocks may be lesser-known and undercovered by various financial outlets, but for those who have a nose for value, they may offer an opportunity to do well, even as headwinds pull the breaks on economic growth.
In this piece, we’ll check in on a pair of promising mid-cap stocks that could help young investors do well over the next seven to eight years. While the road ahead could continue to be turbulent, I’d be inclined to stash them away in the core of a TFSA (Tax-Free Savings Account) for the long haul.
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Jamieson Wellness
Jamieson Wellness (TSX:JWEL) has to be one of my favourite mid-cap companies to buy and hold for the long run. The $1.5 billion vitamin maker has been on the ascent in recent months, now up 25% since its March 2025 lows. And with new 52-week highs in sight, I’d not be afraid to be a buyer on strength.
The stock currently trades at 28.9 times trailing price to earnings (P/E), which is a bit on the expensive side. That said, with a nice 2.4% dividend yield and a low beta of 0.65 (implying less volatility relative to the broader TSX Index), I view Jamieson as a prime candidate to buy on a pullback.
The company’s brand portfolio is steadily expanding, and there’s still plenty of room to run on the international growth runway. All considered, Jamieson is a mid-cap (dividend) growth gem not to be passed on by investors seeking a wide moat and a relatively defensive growth narrative. Recession or not, the health-consciousness trend isn’t going anywhere.
Spin Master
Up next, we have $2.5 billion toymaker Spin Master (TSX:TOY), which has been slumping in the past two years, now down more than 30%. Now off around 58% from its mid-2018 peak, Spin Master seems like a perennial underperformer to scratch off one’s watchlist. That said, shares look dirt cheap at 16.6 times trailing P/E.
And with a nice nearly 2% dividend yield, I’d be inclined to give the firm the benefit of the doubt, even as tariff headwinds move in at full force. Indeed, tariffs could pave the way for a rather muted season of toy sales.
Either way, I’m a fan of the brands (PAW Patrol, Gund, and the list goes on) and the company’s newer digital offerings, which may help offset some of the tariff headwinds ahead. For now, Spin is doing a great job of dodging and weaving past such tariff pressures, with approximately 70% of goods destined for the U.S. originating from outside of China. With tariffs staying in place for a number of nations, perhaps the company’s lessened exposure to China may not be as much of a plus for investors who’ve long soured on the name.
Spin’s tailspin may be far from over, but as the valuation continues to contract, I think it makes sense to step in as a contrarian as tariff fears grow overblown. At the end of the day, the great brand lineup and growth focus make for a great long-term foundation.
