Top Stocks to Buy and Hold in November

Canadian investors should identify quality growth stocks that trade at a reasonable valuation, enabling them to generate market-beating returns over time. In this article, I have shortlisted two such top Canadian stocks to buy and hold in November 2025. Let’s see why.

Is this TSX stock undervalued?

Valued at a market cap of $21.6 billion, GFL Environmental (TSX: GFL) is a TSX stock that has returned 170% to shareholders since its initial public offering in early 2020. However, it is also down 16% from all-time highs, allowing you to buy the dip.

GFL Environmental provides non-hazardous solid waste management and environmental services in Canada and the United States. It offers services such as liquid waste management, soil remediation services, including collection, transportation, transfer, recycling, and disposal services for municipal, residential, commercial, and industrial customers.

GFL Environmental delivered exceptional third-quarter (Q3) results, reporting a record adjusted EBITDA (earnings before interest, tax, depreciation, and amortization) margin of 31.6% despite challenging macro conditions.

The Canadian waste management giant reported consolidated revenue growth of 9% year over year, driven by a 6.3% pricing acceleration and positive volume growth of 100 basis points.

Management raised full-year guidance for the second consecutive time, now expecting revenue between $6.575 billion and $6.6 billion with adjusted EBITDA approaching $1.975 billion, a 3% improvement over original guidance on a constant currency basis.

GFL achieved industry-leading margin expansion of 90 basis points, with underlying solid waste margins expanding 250 basis points when excluding impacts from commodity prices, mergers and acquisitions, investment tax credits, and renewable natural gas fluctuations.

Operational cost discipline remained evident as expenses as a percentage of revenue trended lower, reflecting improvements in labour turnover, process optimization, and realization of self-help opportunities across the portfolio.

Voluntary employee turnover has declined to the high teens from north of 30% during COVID, approaching pre-pandemic levels of 17% to 19%.

CEO Patrick Dovigi emphasized GFL’s aggressive capital deployment strategy, as the company repurchased shares worth $2.8 billion in 2025, exceeding its initial target of $2.2 billion.

Mergers and acquisitions activity remained robust with nearly $650 million deployed year to date, including approximately $50 million after quarter end. Dovigi expressed confidence that the merger and acquisition pipeline has never been stronger since the company went public, projecting deployments well in excess of $1 billion for 2026, potentially 50% higher than 2025 levels.

Analysts tracking GFL stock forecast adjusted earnings per share to expand from $0.59 in 2025 to $2.07 in 2029. The TSX stock trades at a forward price-to-earnings multiple of 67 times, above its three-year average of 53 times. If it reverts to its historical average of 50 times, it should gain over 40% from current levels.

Is this Canadian stock a good buy?

Valued at a market cap of US$458 million, SNDL (CNSX:SNDL) operates across the cannabis and liquor retail sectors in Canada through four business segments. SNDL reported record quarterly free cash flow of US$16.7 million in Q3 of 2025, a milestone that showcases strengthening fundamentals.

The cannabis giant reported double-digit revenue growth in its combined cannabis segments, alongside margin expansion across retail operations and a decline in selling, general, and administrative expenses of US$4 million compared to the prior year.

Net revenue for the quarter reached US$244 million, a 3.1% year-over-year increase, driven by the cannabis segments, while the liquor division continued to navigate market headwinds.

Gross profit increased US$1.2 million to US$64.2 million despite absorbing US$3.9 million in noncash inventory-related adjustments within cannabis operations that reduced gross margin by 160 basis points.

The inventory adjustments more than offset substantial margin expansion in both the liquor and cannabis retail segments, resulting in a consolidated gross margin decline of 30 basis points compared to the prior year.

Analysts forecast SNDL stock to end 2029 with adjusted earnings of US$0.63 per share, compared to a loss of US$0.30 per share in 2024. If the cannabis stock is priced at 10 times earnings, which is quite cheap, it should gain 250% by the end of 2028.