3 No-Brainer Stocks to Buy With $7,000

Three TSX stocks are no-brainer buys if you want to get the most out of your $7,000 investment.

Key Points
  • For a $7,000 TFSA allocation, Killam Apartment (KMP.UN), Cardinal Energy (CJ) and Discovery Silver (DSV) are recommended as sector‑diverse picks—residential REIT (stability), oil & gas (high income), and precious‑metals growth.
  • KMP.UN yields ~4.08% ($17.73) and can generate about $71/month on $7,000; CJ yields ~9.17% ($7.73) with drilling and SAGD upside, while DSV ($5.41) is a high‑volatility, high‑reward silver play (YTD ≈+662%) backed by the Cordero project.
  • 5 stocks our experts like better than [Cardinal Energy] >

Share price surges often accompany a bull market, like the one seen on the TSX in 2025. The positive environment is also favourable to Tax-Free Savings Account (TFSA) investors intending to maximize their annual contribution limits.

For a $7,000 investment today, Killam Apartment (TSX: KMP.UN), Cardinal Energy (TSX: CJ), and Discovery Silver (TSX: DSV) are all compelling options. Each company is a no-brainer buy within its respective sector. Your ultimate choice will depend on the sector you’re most comfortable with and your risk tolerance.

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Residential real estate

Killam Apartment, a $2.2 billion real estate investment trust (REIT), owns and manages multi-family residential apartments and manufactured home communities (MHC). This REIT is growth-oriented with a long-term growth strategy in place. Its core markets include Atlantic Canada, Ontario, Alberta, and British Columbia.

REITs are passive income providers known for their monthly dividend payments. At $17.73 per share, the dividend yield is 4.1%. KMP.UN started paying dividends in March 2007 and hasn’t missed a monthly distribution. Your $7,000 investment can generate $71.05 monthly, while keeping the principal amount intact.

Killam benefits from the strong housing demand. The REIT is ready to leverage its operating platform and increase density at existing sites to respond to housing needs. Its President and CEO, Philip Fraser, expects to achieve same-property net operating income (NOI) growth above 6% for 2025. In the first half of the year, NOI increased 7.1% year-over-year to $123.1 million.

Income and growth

The energy sector is perennially volatile, but Cardinal Energy is hard to miss in October. At $7.73 per share, the year-to-date gain is 29.2%. Moreover, current investors partake in the mouth-watering 9.2% dividend yield. Like REITs, CJ’s payout frequency is monthly. This monthly distribution was introduced by management in June 2022. The overall return in five years is 2,353.4%-plus.

This $1.3 billion oil and natural gas company operates in four core areas in Western Canada, focusing on low-decline oil. Besides a balanced portfolio, Cardinal Energy boasts a deep development drilling inventory. The company anticipates heightened drilling intensity on its conventional assets in 2026 to more normalized rates.

In 2023, Cardinal captured several potential Steam-Assisted Gravity Drainage (SAGD) thermal properties after acquiring assets from Broadway Energy. The company has started developing these SAGD properties to materially increase its low decline production base and free cash flow.

Safe haven

The basic materials sector has lifted the TSX to new all-time highs and is up 81.6% year-to-date. Discovery Silver is among the winning precious metals stocks. At $5.41 per share, DSV has advanced nearly 662% from year-end 2024. A $7,000 investment at year-end 2024 would be worth $53,338.03 today.

The $4 billion gold producer has several growth projects in Canada that could more than double production in the coming years. In Q2 2025, net earnings reached US$5.5 million compared to a US$5.1 million net loss in Q2 2024.

Discovery Silver also owns the Cordero mine in Mexico, which is one of the world’s largest underdeveloped silver reserves. The world-class silver project has the potential for large-scale, low-cost silver production.

Get your money’s worth

Killam Apartment, Cardinal Energy, and Discovery Silver are no-brainer stocks to buy today. You’ll get your money’s worth regardless of the investment amount.

Fool contributor Christopher Liew has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

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