My Top 3 Canadian Stock Picks for New Investors

Three top Canadian growth stocks are excellent opportunities for new investors starting their financial journey.

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Key Points

  • The TSX remains resilient in 2025 despite uncertainty, and the author highlights three easy-to-understand Canadian TSX30 picks for new investors aiming for income and long‑term growth.
  • Propel Holdings (TSX:PRL) for AI-driven fintech growth, Vitalhub (TSX:VHI) for health‑tech momentum, and Bird Construction (TSX:BDT) for construction exposure with income and a large backlog.
  • 5 stocks our experts like better than [Propel Holdings] >

Every investor went through a baptism of fire in the stock market. The result of the first-time experience can be either a success (a profitable gain) or a valuable lesson (a financial loss) because stock investing is not without risk. However, you can manage risks to improve your chances of winning by diversifying and adopting a long-term perspective.

Warren Buffett, the GOAT of investing, also suggests investing in businesses that you understand. You’d be on the right track if you choose the right investments that align with your financial goals.

The TSX displays resiliency in 2025, notwithstanding the lingering uncertainty. I have three Canadian stock picks for new investors that should make the start of their investment journey memorable and rewarding.

Fintech

Propel Holdings (TSX:PRL) brings finance and technology together through its artificial intelligence-driven consumer lending platform. This $1.3 billion financial services firm has been recognized on the 2025 TSX30 List, the flagship program for the 30 top-performing companies. It ranked number six and delivered substantial returns to shareholders in three years (+560% dividend-adjusted share performance).

Its CEO, Clive Kinross, said, “Looking ahead, we have the talent, capital, technology, and strategic alignment to become the global leader in underserved credit, while continuing to deliver profitable growth and long-term shareholder value.” Propel is building a new world of financial opportunity,

Propel’s net income from continuing operations has been consistently rising every year since 2021. In the six months ending June 30, 2025, revenue and net income ballooned 39% and 59% year over year to US$281.9 million and US$38.6 million. This fintech stock trades at $32.58 per share and pays a decent 2.41% dividend.

Tech and health

The technology and health sectors intersect in Vitalhub (TSX:VHI). This $721.3 million technology company provides user-friendly software for healthcare professionals. The software solutions aim to improve patient care, operational efficiency, and user experience.

Besides Canada, VitalHub serves clients in the U.K. and other geographies. Its comprehensive product suite includes electronic health records (EHR), operational intelligence, and workforce automation solutions. According to Dan Matlow, CEO of Vitalhub, the company maintains ambitious growth objectives and aims to advance the progress of healthcare digitization globally.

Vitalhub is a compelling investment opportunity owing to its financial performance. In the first half of 2025, revenue and net income climbed 45% and 198% year over year to $45.5 million and $2.9 million, respectively.  

VHI is also a TSX30 winner in 2025 (ranked 18th). The share price performance (dividend-adjusted) over a three-year period is +310%. If you invest today, this small-cap stock trades at $11.37 per share.

Top builder

Bird Construction (TSX:BDT) is a prominent builder in Canada. This $1.4 billion construction company is one rank ahead of Vitalhub in the seventh edition of the TSX30 program (+330%). In addition to the +24.36% one-year price return, current investors partake in the 3.25% dividend. The current share price is $26.47.

Management’s 2025-2027 Strategic Plan focuses on sectors with long-term demand drivers. Its president and CEO, Teri McKibbon, said temporary project delays impact the business this year. However, the company will capitalize on the record $4.6 billion backlog when the near-term market environment improves.

Income and growth

My top three Canadian stock picks for new investors are all TSX30 winners. Their businesses are easy to understand, and the stocks are well-positioned to deliver income and growth.

Fool contributor Christopher Liew has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Propel and Vitalhub. The Motley Fool has a disclosure policy.

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