Stock markets tend to be seasonal and deliver substantial short-term returns. While it is never a wise idea to time the market, there are reasonable situations where you can get better returns, depending on when you invest in certain stocks trading on the TSX. Some TSX stocks tend to deliver upward price movements during the first half of the year, while others do so in the second half.
The seasonal aspect comes in when certain businesses are more likely to see an uptick in revenue or cash flows in a particular quarter. As the end of 2025 draws closer, I think it’s time to look at TSX stocks that can deliver seasonal returns typically associated with this time of the year. Against this backdrop, here are two excellent blue-chip stocks that I would recommend having on your radar right now.
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Air Canada
Air Canada (TSX: AC) is the flag-carrying commercial airline for Canada, operating the nation’s largest airline. It provides domestic flights, Canada-US transborder service, and international flights to and from several parts of the world. It even has a sizeable air cargo division that operates cargo-only routes. Having faced many challenges over the last few years, especially with the pandemic shutting down everything, things might finally be looking better for the airline stock.
Earlier this year, Air Canada stock dipped to below $14, levels only seen during the early days of the pandemic. During the summer and holiday season, travel demand increases. As ticket sales soar, so do the prices of Air Canada shares. While the stock has not yet recovered to its pre-pandemic levels during peak seasons, it can go as high as $26 during the holiday season. As of this writing, Air Canada stock trades for $18.34 per share. If the seasonal rally comes along, there could be some upside to capture.
Shopify
Shopify Inc. (TSX: SHOP) is one of the biggest contributors to the global e-commerce industry, providing a high-quality platform for merchants of all sizes to build an online presence. Offering all kinds of tech-based tools, fulfillment, payment, and shipping services, this is a company that thrives when people are busy shopping. As the time for festive specials that include Halloween, Black Friday, Thanksgiving, Christmas, and New Year approaches, consumers are likely to go on spending sprees. In turn, that can spell good news for Shopify merchants and the stock.
Tariffs have had an effect on spending, but the Bank of Canada is cutting interest rates to counteract the impact of higher tariffs. As of this writing, Shopify stock trades for $224.89 per share, hovering around 52-week highs. Besides the seasonal rally, its newer AI-powered solutions and the expansion of its payment offerings are contributing to more growth for the business. I think Shopify stock can be an attractive investment at current levels.
Foolish takeaway
The festive season really encourages people to travel to loved ones and go on shopping sprees. Air Canada is currently going through a downturn before a potential rally with the holiday season right around the corner. Shopify stock is undergoing a rally boosted by the same seasonal trends.
If I were looking for stocks to invest in right now and take advantage of a seasonal rally, Air Canada stock and Shopify stock would be two of my top picks for growth stocks I’d buy.
