Investors building long-term portfolios and willing to take more risk should consider TSX small-cap stocks. These Canadian companies can boost returns, as they may grow into larger players.
That said, small-cap stocks tend to be more volatile than their larger counterparts. Their share prices can swing sharply with changes in the market, making it essential for investors to be selective. Focusing on TSX stocks with solid fundamentals and strong growth potential can help manage this risk and generate solid gains.
With this background, here are two TSX top small-cap stocks to buy right now.
Small-cap stock #1: Bird Construction
Bird Construction (TSX:BDT) is a compelling small-cap TSX stock to add to your portfolio. The Canadian construction and maintenance company is poised to deliver solid growth, led by diversification, nationwide expansion, and strong risk management. Moreover, its collaborative contracting approach, which spreads risks between the company and its clients, adds resilience. This strategy helps keep projects stable and profitable, even during uncertain market conditions.
The company generates most of its revenue from low- to medium-risk projects, providing a steady earnings base investors can count on. Bird also focuses on essential and economically durable sectors, including power, defence, and transportation infrastructure, where demand tends to remain strong regardless of broader economic cycles.
While recent market turbulence caused some project delays in the second quarter (Q2), Bird’s overall momentum remains solid. In the second quarter of 2025, the company secured nearly $1.2 billion in new contracts, pushing its backlog to $4.6 billion. This robust pipeline provides Bird with a solid foundation for future revenue and profit growth.
Moreover, its strong balance sheet and ample financial flexibility enable Bird Construction to seize new opportunities through strategic investments or acquisitions. In short, Bird Constriction is an attractive play in Canada’s infrastructure space for long-term investors.
Small-cap stock #2: 5N Plus
5N Plus (TSX:VNP) is another high-quality small-cap stock to buy and hold for the long term. Shares of this specialty semiconductor and performance materials provider have been on a tear. It has skyrocketed more than 865% over the past three years. Despite this stellar rally, 5N Plus has plenty of room to grow.
The company is seeing surging demand for its materials in renewable energy, space, and healthcare sectors. The company’s strong foothold in the renewable energy sector positions it to capitalize on the global infrastructure shifts toward clean power solutions. Moreover, the rise of AI and cloud computing is driving energy demand, reflecting the need for efficient, scalable renewable technologies that could benefit 5N Plus.
5N Plus is also well-positioned to capitalize on the booming space industry. Since its 2021 acquisition of Germany-based AZUR Space, the company has doubled sales and significantly boosted profitability. It is also expanding its solar cell production capacity, enabling it to meet demand from commercial, civil, and defence customers at minimal additional cost.
5N Plus’s materials also find applications in medical imaging technologies. At the same time, its leadership in high-purity materials, particularly outside China, provides a strategic advantage amid ongoing global supply chain and trade uncertainties. Meanwhile, its Performance Materials division continues to see strong momentum, especially in bismuth-based pharmaceuticals and other specialty chemicals.
Overall, its diversified portfolio, robust supply chain, and exposure to multiple high-growth industries position 5N Plus to deliver significant long-term returns.
