This Stock Makes Me Genuinely Excited About Retirement

goeasy is a high-growth, dividend stock with a strong track record, making it a compelling satellite holding to boost retirement portfolios despite some economic sensitivity.

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When planning for retirement, most people lean on a mix of index funds, bonds, and perhaps some dividend-paying blue chips. But every now and then, a stock comes along that makes me think, “This could really accelerate my retirement dreams.” For me, that stock is goeasy (TSX: GSY).

I’m not suggesting anyone should bet their entire financial future on a single company. That’s never wise. But goeasy’s track record, business model, and long-term potential make it one of the few TSX stocks that genuinely excites me about the road ahead.

From modest investment to massive returns

goeasy has been nothing short of a wealth-building machine for long-term investors. Had you invested $10,000 in the stock 10 years ago, you’d be sitting on a jaw-dropping $143,920 today. That’s a 14-bagger, delivering over 30% annualized returns — numbers that easily outpace the broader market and put it in elite territory among the top Canadian stocks.

Such performance isn’t the result of hype or speculation — it’s rooted in strong fundamentals and a growing demand for the company’s services.

A business that fills a critical niche

goeasy operates in a unique and often overlooked corner of the financial world: lending to non-prime borrowers. It does this through three core business units:

  • easyfinancial: Offers unsecured and secured personal loans.
  • easyhome: Canada’s largest lease-to-own provider for furniture, appliances, and electronics.
  • LendCare: Provides point-of-sale financing across industries like retail, healthcare, powersports, and auto.

The company serves approximately 1.5 million Canadians and works with over 10,000 merchant partners through its omni-channel platform, including mobile, online, and more than 400 physical locations across the country.

goeasy recently crossed a major milestone: $5 billion in consumer loans outstanding, with over $16.6 billion in total originations since inception. It also plays a social role, helping many clients rebuild their credit — around 60% of borrowers graduate to prime credit within three years.

Still growing — but not without challenges

Despite its long-term growth story, 2025 hasn’t been without bumps. Rising operating costs and broader economic uncertainty (including tariff impacts) have weighed on recent results.

In the first quarter, revenue grew 10% year over year, but operating income increased just 5%, and adjusted earnings per share dropped 8%. Those numbers spooked some investors at the time.

But here’s where it gets interesting: since reporting those results on May 7, the stock has rebounded strongly, rising about 19%. That bounce-back shows investor confidence remains high — and may indicate the worst of the short-term concerns are priced in.

At around $189 per share, goeasy trades at a blended price-to-earnings (P/E) ratio of about 11, which is right in line with its historical average. Analysts see another 18% upside, and the 3.1% dividend yield offers solid passive income while you wait.

A retirement catalyst — with room for patience

goeasy isn’t without risk. Its exposure to non-prime lending makes it more sensitive to economic slowdowns, and earnings can wobble when consumer stress rises. But that very volatility also creates opportunity. Investors who picked up shares during past corrections — like the 2020 pandemic market crash — were handsomely rewarded.

For long-term investors seeking growth and income, goeasy could be a compelling addition to a retirement portfolio, especially on dips. It’s not a core holding, but as part of a broader strategy, it has the potential to deliver meaningful upside. With second-quarter earnings due on August 7, now might be the perfect time to keep it on your radar — or to act if you see value.

Fool contributor Kay Ng has positions in goeasy. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

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