Wake Up and Buy These 3 Canadian Stocks Now

Three overlooked Canadian stocks could be early in multi-year uptrends as electrification, automation, and real assets go mainstream.

Key Points
  • NFI Group benefits from cities electrifying bus fleets, with improving deliveries and margins, though contract timing and funding can cause bumps.
  • ATS rides the global push to automation, posting growth and a record backlog that supports multi-year gains, though large-order timing can be lumpy.
  • Sprott gains from demand for gold and energy-transition metals, growing fee-based assets and inflows, but results can swing with commodity cycles.

It’s time to wake up, Canada. There are Canadian stocks out there sitting in that sweet spot where the market simply hasn’t caught up. And today, we’re going to look at some of those under-the-radar picks – the stocks looking forward to multi-year growth. So let’s get right into it.

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NFI

NFI Group (TSX: NFI) is up first, sitting quietly in the background until a big shift in the market suddenly shines a spotlight. Right now, that shift is happening in public transit. Cities across North America and Europe are moving toward electric fleets, and NFI already has deep relationships with transit agencies, a massive installed base of buses, and one of the most credible electric vehicle (EV) backlogs in the industry.

The company spent the last few years repairing its balance sheet and navigating supply-chain chaos, but the latest earnings showed stronger deliveries, improving margins, and a growing proportion of high-value electric models. That combination positions it for meaningful capital growth as the global transit upgrade cycle kicks in.

The risk comes from contract timing and the pace of global transit funding, but the long-term shift toward electrification gives NFI a real tailwind. For patient investors, it offers a compelling blend of future income and capital upside at a moment when the market still underestimates its turnaround potential.

ATS

ATS (TSX: ATS) pours its cash into automation systems that help global manufacturers boost efficiency, reduce labour costs, and modernize production lines. That demand keeps rising as companies shift supply chains, re-shore operations, and adopt more robotics.

Recent earnings showed solid revenue growth, expanding margins, and a record-level order backlog, which tells you big clients are locking in multi-year automation projects. When a Canadian stock has that much booked business, it builds a strong foundation for capital growth, and ATS has been quietly compounding for years because it keeps executing while the world needs exactly what it offers.

The risk, of course, comes from the timing of large orders and the pace of global capital spending. This can wobble when the economy cools. But the long-term push toward automation has momentum that doesn’t fade, and ATS is one of the few Canadian names positioned at the centre of it.

SII

Sprott (TSX: SII) focuses on precious metals and energy-transition assets. This sounds niche, but that niche is exactly where the global investment world continues to pour money. Gold demand keeps rising as volatility sticks around, and institutions are allocating more to uranium, lithium, and other strategic materials tied to electrification and national security.

Sprott sits right in the middle of this shift. Its fee-based model gives it steady revenue, and the latest results show strong asset growth and higher inflows as investors hunt for real assets and inflation hedges. That steady growth supports long-term capital appreciation because the more assets Sprott manages, the more durable its revenue becomes.

The risk here is that commodity cycles can cool, which could slow inflows. Yet Sprott has built a brand that attracts investors through both fear-driven markets and growth-driven ones. As the world keeps leaning into the metals needed for clean energy and secure supply chains, Sprott is positioned for a long runway of growth while paying investors along the way.

Bottom line

Together, these three Canadian stocks offer ample opportunities for Canadian investors. Whether you’re looking into the growth of electric vehicles for large transportation, automation for global manufacturers, or the energy transition, each has a place in any portfolio, especially for long-term investors wanting time to do the heavy work for them.

Fool contributor Amy Legate-Wolfe has no position in any of the stocks mentioned. The Motley Fool recommends ATS Corp. and NFI Group. The Motley Fool has a disclosure policy.

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