The Canadian equity market has soared to all-time highs as concerns about a potential recession begin to fade. The S&P/TSX Composite Index has climbed about 23% over the past year, reflecting renewed optimism from market participants. While macroeconomic uncertainty has led the broader market to cool slightly, Canadian stocks may continue to perform well in the years ahead.
So, if you’re considering investing $5,000, here are the top TSX stocks with solid fundamentals and growth potential to buy now.
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Celestica stock
Celestica (TSX:CLS) is a top TSX stock to buy and hold. The company is benefiting from the artificial intelligence (AI) boom by supporting the infrastructure that powers the technology. Its Hardware Platform Solutions (HPS), which include components like networking switches, are witnessing significant demand from hyperscalers, supporting its overall financials and share price.
Thanks to strong demand, Celestica stock has soared significantly in value, rising over 1,127% in the past three years. Despite this rally, Celestica stock has further upside potential, as it is likely to benefit from growing spending on AI infrastructure.
The company’s focus on higher-value opportunities, particularly in the AI data centre space, augurs well for growth. Through its strong design and engineering capabilities, Celestica delivers tailored, high-performance platforms and capitalizes on the growing demand for AI. Furthermore, recent program wins and planned capital investments will expand Celestica’s footprint, setting the stage for even more significant growth in the years to come.
In short, Celestica’s data centre platform solutions, focus on innovation, and recovery in the advanced technology solutions business position it well to deliver solid growth.
TerraVest Industries stock
TerraVest Industries (TSX:TVK) stock could be a solid long-term bet. This Canadian diversified industrial manufacturer has established a strong presence across multiple end markets, providing it with multiple avenues for growth. Moreover, it specializes in acquiring and operating market-leading businesses, a strategy that has accelerated its growth, leading to a significant rally in its share price.
TerraVest will continue to benefit from the ongoing strength of its core businesses, which is further bolstered by recent acquisitions. These new additions have already started contributing meaningfully to the company’s financials, and their integration opens up fresh growth opportunities.
TerraVest also remains relatively insulated from trade uncertainties, as it has a stellar portfolio of manufacturing products primarily for its domestic markets. Looking ahead, it is making targeted investments to enhance manufacturing efficiency and broaden its product lines, especially in markets where it already holds a strong position. Moreover, the recent approval of a new credit facility in March 2025 adds another layer of strength to its financial position, enabling TerraVest to continue pursuing strategic acquisitions and long-term growth.
SECURE Waste Infrastructure stock
SECURE Waste Infrastructure (TSX:SES) is another compelling TSX stock for creating significant wealth. The company’s extensive waste management and energy infrastructure network positions it well to address growing demand without requiring substantial capital expenditures. This operating structure enables it to deliver solid margins, supporting its share price.
The strength in its core infrastructure business will continue to support its growth. Moreover, strategic acquisitions will help gain market share in the waste and energy infrastructure space. Its long-term contracts and strong client relationships ensure stable, recurring revenue and safeguard it against market swings.
SECURE maintains financial flexibility and has low debt to pursue new opportunities. Notably, the company is focusing on acquiring businesses operating under long-term commercial agreements. This move will enable it to generate reliable cash flows in the long run.
With strong fundamentals, expanding operations, and a focus on stable, recurring income, SECURE is well-positioned to deliver solid shareholder value and long-term capital appreciation.
