Market on Fire: How to Invest When the TSX Refuses to Slow Down

A red-hot market does not have to mean reckless investing when you can still focus on real business momentum.

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Key Points
  • Although the TSX remains on fire, discipline still opens doors for investors willing to stay selective.
  • 5N Plus (TSX:VNP) is riding strong demand from clean energy and space markets while delivering record earnings growth.
  • Skeena Resources (TSX:SKE) can give you exposure to record gold and silver prices through a high-grade project backed by recent financing and permitting progress.

Declining interest rates, better-than-expected economic conditions, and consistent corporate earnings growth are driving the TSX Composite benchmark higher and higher, and the pace has surprised many investors. Instead of slowing down, the market continues to reward fundamentally solid stocks tied to structural growth themes and hard assets.

A rallying market does not mean opportunity is gone. It simply means discipline matters more. And honestly, investors who stay selective can still find value even now, despite headlines suggesting overheating and overvaluation. In this article, I’ll spotlight two top TSX stocks to buy now that are aligned with this momentum and backed by strong business progress.

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Source: Getty Images

5N Plus stock

Staying disciplined in a market on fire actually means following real demand rather than noise, and that demand is clearly flowing toward companies supplying essential inputs to long-term growth trends. One such stock is 5N Plus (TSX: VNP), given its growing role in clean energy, space, and advanced technology markets.

If you don’t know it already, it’s a Montréal-based producer of specialty semiconductors and performance materials used across renewable energy, space solar power, and industrial applications. VNP stock has seen a solid run lately, climbing about 250% over the last year. As a result, its shares currently trade around $27 apiece, giving the company a market cap close to $2.4 billion.

The stock’s eye-popping gains are mainly backed by its clear business momentum. Demand from terrestrial renewable energy and space solar power customers has accelerated, while pricing for bismuth-based products has remained favourable. Those factors have pushed its revenue and margins higher, boosting investors’ confidence.

In the third quarter of 2025, 5N’s revenue rose 33% YoY (year-over-year) to nearly US$105 million, marking the company’s strongest quarterly sales in a decade. Similarly, its adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) jumped 86% YoY to roughly US$29 million, with the help of higher volumes and pricing that outpaced inflation.

Beyond the near term, the company’s ongoing investments in expanding solar cell capacity as well as a recent US$18.1 million U.S. government grant to increase germanium recycling and refining capacity strengthen its long-term visibility. These initiatives could help it benefit from sustained demand across clean energy, space, and security, which makes it a great stock to buy even when the market is on fire.

Skeena Resources stock

While technology-linked stocks thrive in a market rally, capital also rotates toward hard assets as investors look for durability along with growth. That shift brings Skeena Resources (TSX: SKE) into focus. This Vancouver-based precious metals developer is advancing its Eskay Creek gold-silver project in British Columbia’s Golden Triangle.

Having delivered more than 190% returns over the last year, SKE stock currently trades close to $42 per share, giving it a market cap of roughly $5.1 billion.

The recent rally in SKE stock reflects both record gold and silver prices and consistent company-specific progress. In 2025, Skeena strengthened its financial position through a $70.5 million bought deal financing, which helped it reduce funding risk as the Eskay Creek project continues to advance. Since then, key permitting milestones have further improved visibility toward the project’s construction and future production.

Overall, Skeena’s appeal is primarily rooted in asset quality. Eskay Creek is expected to be one of the highest-grade open-pit gold-silver mines globally, with substantial silver by-product output that enhances project economics. And in a rallying market, exposure to such high-quality precious-metal assets could play an important role, making Skeena a really attractive TSX stock to buy now.

Fool contributor Jitendra Parashar has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

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