The Toronto Stock Exchange launched the TSX30 in 2019, a flagship program recognizing the 30 top-performing Canadian stocks. Besides providing market trends and insights, the list serves as a guide for both new and old investors.
Most of last year’s winners have positive returns in 2025, although three high-ranking companies have underperformed. The share prices of Hammond Power Solutions (TSX:HPS.A), CES Energy Solutions (TSX:CEU), and Computer Modelling Group (TSX:CMG) have dropped but remain viable growth stocks.
Transformers
Hammond Power Solutions took the top spot in 2024 owing to its +928% return (dividend-adjusted share price) over the last three years. The $1.33 billion electrification enabler is North America’s largest manufacturer of dry-type transformers. HPS also builds custom transformers for alternative energy systems for renewable energy companies.
In the first quarter (Q1) of 2025, revenue increased 5.6% year over year to $201.4 million, while net earnings surged 229.8% to $26.2 million. Notably, the backlog climbed 18.9% to over $200 million from a year ago. Its CEO, Adrian Thomas, notes the positive momentum amid increasing geopolitical tensions and global trade uncertainty.
Hammond has expanded its manufacturing capacity, but some market observers worry about potential market saturation, not to mention the complex times. At $11.39 per share, the industrial stock is down 10.79% year to date, with a gain of only +3.53% in one year. It pays a modest 0.97% dividend.
Chemical solutions
CES Energy Solutions (ranked fourth) services North America’s oil and natural gas industry. The $1.53 billion company provides advanced consumable chemical solutions that industry players use or need throughout the life cycle of the oilfield. Its fully integrated world-class basic chemical manufacturing capability is a competitive advantage.
In 2024, total revenue and net income increased 7% and 24% year over year to $1.6 billion and $191.1 million, respectively. While revenue in Q1 2025 rose 7.5% to $632.4 million versus Q1 2024, net income declined 19% to $44.1 million from a year ago.
At $6.92 per share, the small-cap stock is down -29.85% year to date compared to its 52-week high of $9.20. The stock pullback could be due to economic uncertainty, tempered near-term energy supply demand, and ongoing global conflicts.
Simulation technology
Computer Modelling Group (ranked 15th) lost by 36.15% in the last six months. The $566.22 million company specializes in simulation technology for reservoir recovery in the oil and gas industry. It combines science and technology to address complex subsurface (beneath the Earth) and surface (infrastructure and equipment above ground) challenges.
In fiscal 2025, total revenue increased 19% to $129.45 million versus fiscal 2025. Net income in the three months and 12 months ending March 31, 2025, declined 29% and 15% to $5.1 million and $22.44 million from a year ago. CMG’s organic growth, particularly in reservoir and production solutions, was challenged.
Management cited factors such as political instability, a low oil price environment, lengthened deal cycles, and cautious customer spending. The earnings drop reflects in the stock performance. Nonetheless, at $6.86 per share, CMG pays a decent 2.92% dividend. It should compensate for the stock weakness.
More headwinds
Some industries are more resilient or react differently to certain headwinds than others. HPS.A, CEU, and CMG are TSX30 winners, but the businesses are sensitive, if not vulnerable, to the ongoing trade war. The latest Middle East conflict could further delay the recovery of the stocks.
