Many of us aspire to retire as millionaires. Fortunately, with consistent investing and disciplined financial planning, this goal is well within reach. For instance, by investing $500 each month and increasing the contribution by 10% annually in stocks capable of generating annualized returns above 12%, an investor could build a portfolio worth over $1.14 million in just 21 years. Here are two stocks that could help achieve such impressive long-term growth.
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Celestica
Celestica (TSX:CLS) has been one of the standout performers in the Canadian equity markets this year, with its share price surging nearly 270%. The company’s impressive quarterly results and robust growth outlook, supported by its increasing exposure to the rapidly expanding artificial intelligence (AI) sector, have driven its stock price.
In its recently reported third-quarter results, Celestica’s revenue grew by 28%, driven by strong performance in its Connectivity & Cloud Solutions (CCS) segment, which benefited from a 79% surge in Hardware Platform Solutions revenue. The CCS segment generated $2.41 billion in sales, representing a 43% year-over-year increase. However, revenue from the Advanced Technology Solutions (ATS) segment declined 4% to $0.78 billion.
Moreover, the company’s outlook remains robust, as customers continue to invest heavily in expanding AI data centre infrastructure, which can drive the demand for its products and services in the coming years. Following its third-quarter results, management raised its 2025 guidance and introduced an optimistic outlook for 2026. The 2025 updated guidance projects revenue and adjusted EPS growth of 26.4% and 52.1%, respectively. Also, the management’s 2026 targets imply increases of 65.8% in revenue and 111.3% in adjusted EPS compared to 2024 levels.
Strong investor interest has driven up Celestica’s valuation, with its next 12-month (NTM) price-to-earnings multiple now at 44.6. However, considering the company’s robust growth outlook, this premium appears justified. I believe investors can continue to accumulate the stock at current levels to benefit from its strong long-term return potential.
Dollarama
Another Canadian stock with strong long-term return potential is Dollarama (TSX:DOL), which operates 1,665 stores across Canada and 395 stores in Australia. The company’s efficient direct sourcing model and streamlined logistics have helped lower costs, enabling it to offer a wide range of consumer products at competitive prices. As a result, the Montreal-based retailer continues to generate solid sales, even in a challenging economic environment.
Moreover, its steady expansion through the opening of new stores has strengthened its financial performance and supported its share price growth. Over the past decade, Dollarama has delivered impressive total returns of more than 530%, representing an annualized growth rate of 20.2%.
Moreover, Dollarama’s management plans to expand its store base to 2,200 locations in Canada and 700 in Australia by the end of fiscal 2034. Supported by its capital-efficient and growth-oriented business model, rapid sales ramp-up, short payback period, and low maintenance capital requirements, these expansion plans can drive strong long-term growth in both revenue and earnings.
Additionally, Dollarama holds a 60.1% stake in Dollarcity, which operates 658 stores across five Latin American countries. Dollarcity aims to expand its network to 1,050 stores by the end of fiscal 2031. Moreover, Dollarama has the option to increase its ownership to 70% by the end of 2027. These factors can enhance Dollarcity’s contribution to Dollarama’s net income in the coming years. Considering all these factors, I believe Dollarama can deliver oversized returns in the long term.
