Many new investors think that they require thousands of dollars to begin investing, but the truth is, even $500 could go a long way when placed in the right growth stocks. What matters most isn’t how much of your hard-earned savings you invest at first but where you invest it.
Picking the right stock for your portfolio that combines consistent growth, proven execution, and a clear path for expansion could truly change how your portfolio grows over time. One such TSX growth stock that continues to show why patience and consistency pay off is Aritzia (TSX:ATZ). This Canadian fashion retailer is continuing to turn its strong brand following into a fast-growing business across North America.
In this article, I’ll tell you why Aritzia could be the smartest top growth stock to buy right now with $500.
A top TSX growth stock to buy
Over the last few years, Aritzia has managed to transform from a boutique Canadian label to a booming North American fashion house. This move clearly shows how a strong brand, smart expansion, and disciplined management can turn consistent demand into long-term shareholder value.
ATZ’s share price has been on a remarkable run this year, gaining nearly 127% over the past 12 months. As a result, it now trades at $101.50 per share, with its market cap sitting near $11.8 billion. Even without a dividend, investors are attracted to its strong fundamentals and expanding footprint across North America.
The recent surge in this growth stock reflects how effectively Aritzia is executing its growth strategy. In the second quarter of its fiscal year 2026 (ended in August 2025), the company’s U.S. revenue soared 41% YoY (year-over-year), while its total net revenue climbed 32% to $812 million. At the same time, its comparable sales rose 22% from a year ago with the help of robust e-commerce demand and the successful launch of its new fall collection.
Earnings strength and margin expansion continue
Notably, Aritzia’s adjusted net profit jumped 185% YoY in the second quarter to $69.8 million. Its adjusted quarterly EBITDA (earnings before interest, taxes, depreciation, and amortization) more than doubled to $122.7 million, with a strong EBITDA margin of 15.1% compared to 9% a year earlier.
That improvement was mainly due to the company’s consistent focus on better inventory management, improved initial markup margins, and lower warehousing costs. Even with some pressure due to higher U.S. tariffs, Aritzia’s “smart spending” initiative helped it keep expenses under control, trimming selling and administrative costs as a share of revenue. The result was not just higher earnings but also stronger operational efficiency.
In short, Aritzia is doing what every investor hopes a retailer will do — growing quickly, but with discipline.
Expanding presence and digital dominance
Aritzia now operates 134 boutiques, up from 122 a year ago, and continues to expand into the highly profitable U.S. market, which now accounts for nearly 60% of its total revenue. Its ability to blend online and in-store experiences gives it a strong edge over many competitors struggling to balance the two.
The retailer’s e-commerce business, which generated $240 million in sales last quarter, remains one of the company’s biggest growth engines. On the brighter side, Aritzia’s upcoming mobile app launch and continued digital expansion could make its omnichannel strategy even stronger in the quarters ahead.
Clear roadmap for sustained growth
Aritzia expects its growth story to continue in fiscal 2026 and beyond. For the next quarter, the company projects revenue between $875 million and $900 million, implying another 20% to 24% increase, and it aims to deliver full-year revenue between $3.30 billion and $3.35 billion.
The retailer also expects its adjusted EBITDA margins to climb to as high as 16.5%, supported by its ongoing cost-cutting initiatives, new store openings, and cost optimization.
Moreover, Aritzia plans to open at least 10 new U.S. boutiques annually through fiscal 2027, which could boost its total retail square footage by up to 60%. This focus on scaling efficiently while expanding into new markets makes Aritzia an amazing growth stock to buy now.
