2 Canadian Stocks That Are Slam Dunks With $500

Buy these two TSX stocks to make the most of your investment capital by getting the best value for money on your investment.

| More on:
Canadian Dollars bills

Source: Getty Images

Key Points

  • Canadian equities are surging — the S&P/TSX is up about 30.75% from its 52‑week low, so focus on diligent, long‑term picks rather than chasing the broad rally.
  • Two TSX ideas: Aritzia (TSX:ATZ) — $9.68B apparel retailer with Q1 FY2026 revenue +33% and expanding retail/e‑commerce presence; and Celestica (TSX:CLS) — $38.9B supply‑chain/tech‑infrastructure provider launching the SC6110 for AI/HPC workloads, with shares up ~500% from their 52‑week low.
  • 5 stocks our experts like better than [Aritzia] >

Canadian equities have surged for several weeks, with the S&P/TSX Composite Index hitting new all-time highs week in and week out. As of this writing, the Canadian benchmark index is up by 30.75% from its 52-week low, showing considerable strength in the Canadian stock market.

As the market continues to post one winning week after the next, many new investors might be struggling with finding the best deals to make the most of the bull market. Investing in just any stock when the entire market is rallying might not be the best way to go. It is better to conduct your due diligence to pick investments that can deliver substantial long-term returns even after all the recent gains.

Here are two TSX stocks that you can consider adding to your self-directed investment portfolio for this purpose.

Aritzia

Aritzia Inc. (TSX:ATZ) is a $9.68 billion market-cap integrated design house with several exclusive fashion brands under its belt. The company designs apparel and accessories for its brands, comprising everything from t-shirts to dresses, blouses, pants, and much more. The company’s market is primarily in the U.S. and Canada, with most of its revenue coming through retail operations, followed by its e-commerce segment.

The company’s first quarter of fiscal 2026 saw its net revenue increase by 33% from the same period in the previous year. Its spring and summer collections had unanticipated demand, leading to double-digit growth across all geographies and channels. With more openings of boutiques lined up for the next year and increasing e-commerce presence, it might have plenty more growth to offer. As of this writing, it trades for $84.29 per share, hovering around new all-time highs with more runway ahead.

Celestica

Celestica Inc. (TSX:CLS) is a $38.90 billion market capitalization supply chain solution provider, offering tech-based solutions to clients worldwide. The company recently announced its SC6110 enterprise storage controller that will deliver peak performance, allow easy scalability, and offer high availability. Focusing on mission-critical workloads like artificial intelligence infrastructure, high-performance computing, and high-frequency trading, the launch of its new product will further its goals to align with the need for data-heavy enterprise solutions.

As of this writing, Celestica stock trades for $338.16 per share, up by almost 500% from its 52-week low. Demand for its solutions remains high, and its diversified exposure to high-demand tech infrastructure means it has plenty more growth to offer. It might be a bargain at current levels.

Foolish takeaway

Investing in companies with the ability to offer more growth beyond current levels based on the strength of the underlying businesses, solid long-term potential, and growing demand can be an excellent way to make the most of your capital. To this end, Aritzia stock and Celestica stock appear to be good investments to consider. While I would not put all my eggs in two baskets, I would consider allocating a portion of my investment capital to these two long-term TSX winners.

Fool contributor Adam Othman has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Aritzia. The Motley Fool has a disclosure policy.

More on Investing

ways to boost income
Dividend Stocks

A Premier Canadian Dividend Stock to Buy in December 2025

Restaurant Brands International (TSX:QSR) is a premier dividend play that's too cheap this holiday season.

Read more »

rising arrow with flames
Investing

2 Growth Stocks That Could Skyrocket in 2026 and Beyond

Create portfolio balance and add some growth in 2026 and beyond with these two magnificent Canadian stocks, which look under-owned…

Read more »

diversification is an important part of building a stable portfolio
Energy Stocks

1 No-Brainer Energy Stock to Buy With $750 Right Now

Enbridge had a largely excellent year of trading in 2025, and it might be time to shore up on holdings…

Read more »

Canada national flag waving in wind on clear day
Dividend Stocks

Top Canadian Stocks to Buy Right Now With $2,000

Investors can buy price-friendly Canadian stocks for income generation or capital growth.

Read more »

tsx today
Stock Market

TSX Today: Why Canadian Stocks Could Extend Gains on Tuesday, December 23

After the TSX closed above the 32,000 mark for the first time, today’s session will test whether commodity strength and…

Read more »

Investor reading the newspaper
Investing

3 Reasons to Buy Dollarama Stock Like There’s No Tomorrow

Here's why Dollarama is one of the few Canadian stocks that every type of investor can look to buy for…

Read more »

happy woman throws cash
Energy Stocks

Max Out Any TFSA With 2 Canadian Utility Stocks Set for Massive Growth

Looking to max out your TFSA in 2026? Two Canadian utilities offer dependable cash flow today and growth from the…

Read more »

TFSA (Tax-Free Savings Account) on wooden blocks and Canadian one hundred dollar bills.
Investing

The Best Stocks to Invest $2,000 in a TFSA Right Now

As we inch closer to another year of trading on the stock market, here are two excellent holdings to consider…

Read more »