The equity markets have surged higher in 2025, with several Canadian growth stocks already rewarding investors with impressive gains. Despite the rally, a few high-quality TSX stocks are still within every investor’s reach and have solid growth prospects.
Against this background, here are three fundamentally strong Canadian growth stocks to buy now. Notably, these stocks are trading under $50 and have a proven business model and solid prospects.
MDA Space stock
MDA Space (TSX:MDA) is a compelling growth stock to buy before it gets away from you. The company’s leadership in digital satellite systems, advanced Geointelligence, and robotics positions it well to deliver solid growth as governments and private enterprises ramp up investments in satellite communications, defence technologies, and earth observation.
Shares of this space technology company have lost considerable value in the recent past after EchoStar unexpectedly cancelled a major satellite contract and sold its spectrum licenses to SpaceX. Nonetheless, the company’s long-term prospects remain strong, and the dip provides a chance to accumulate shares of a company with robust fundamentals at a discounted price.
MDA’s strong order book and diversified operations augur well for growth. Even excluding the EchoStar project, the company maintains a substantial $4.6 billion backlog, which offers visibility over future revenue growth.
Overall, as global space activity accelerates, driven by the need for better connectivity, advanced defence capabilities, and high-resolution earth monitoring, MDA is strategically positioned to benefit. Moreover, its strong balance sheet gives it the flexibility to invest in innovation and capture new opportunities.
Propel Holdings
Propel Holdings (TSX:PRL) is another compelling growth stock to buy and hold. The fintech specializes in lending to consumers often overlooked by large traditional banks. Thanks to this niche, the company has been consistently delivering solid growth.
Propel’s top line has grown at a compound annual growth rate (CAGR) of 46% since 2019. At the same time, Propel’s adjusted earnings per share (EPS) increased at a CAGR of 83%. This growth reflects the continued expansion of its loans and advances. For instance, Propel’s combined loan and advance balances rose 33% year over year in the second quarter (Q2) of 2025, reflecting robust demand and disciplined lending practices. The company continues to post strong credit performance, supported by its AI-driven underwriting platform.
Looking ahead, Propel’s investments in technology and infrastructure will expand revenues and improve efficiency. By diversifying its marketing partnerships, optimizing costs through automation, and extending its reach into new regions, the company is positioning itself for sustained growth and profitability. Its balance sheet remains strong, with operating cash flow and funding capacity supporting growth initiatives and a higher dividend.
The company eyes expansion into the near-prime market and is focusing on broadening its product suite and deepening bank partnerships, which will enable it to deliver solid growth and dividend income.
5N Plus
5N Plus (TSX:VNP) is a small-cap company poised to deliver significant growth. The firm specializes in high-performance materials and specialty semiconductors, serving industries such as renewable energy, healthcare, and advanced imaging, all of which are experiencing rapid growth.
This strong market positioning has translated into impressive financial results, propelling 5N Plus’s stock to soar nearly 1,100% over the past three years. Despite this rally, 5N Plus’s growth story appears far from over.
As the leading supplier of ultra-high-purity semiconductor materials outside China, the company occupies a crucial niche in a geopolitically sensitive market where supply chain security is becoming a global priority. Moreover, its expanding international footprint, disciplined cost management, and increasing order backlog further strengthen the ability to sustain profitability and protect margins even amid market volatility.
Looking ahead, the demand tailwinds for 5N Plus’s materials remain strong. The accelerating adoption of terrestrial renewable energy solutions and the rising interest in space-based solar power applications are expected to drive long-term growth, supporting its share price.
