Here Are My Top 3 TSX Stocks to Buy Right Now

Are you looking for some new investment ideas for 2026? Here are three of my top TSX stocks to buy right now.

| More on:
Key Points
  • AI‑driven selloff has created contrarian buying opportunities on the TSX.
  • Top picks — Constellation (CSU): ~14× FCF (~7% FCF yield); Colliers (CIGI): recurring growth (~15× earnings); Calian (CGY): defence‑focused, double‑digit growth.
  • Looking for other top stocks for 2026. These five top stocks could provide great future returns. 
AI‑driven selloff has created contrarian buying opportunities on the TSX.

2026 has already proved to be an interesting year for TSX stocks. Artificial intelligence (AI) concerns have pushed software stocks down even further than they were pushed in 2025. Likewise, selling has moved to other sectors, such as professional services.

Frankly, I think this trade has been overhyped in many ways. For contrarian investors, it presents attractive buying opportunities. Below are three top TSX stocks to buy right now. Two of these stocks are beaten down due to the AI concerns, and one should prosper regardless of what AI does.

Start line on the highway

Source: Getty Images

A beaten-up TSX software stock

Constellation Software (TSX: CSU) is down 51% in the past year. For current shareholders, it has been a pretty tough time. However, for new shareholders, this TSX stock could be an excellent buying opportunity.

Constellation is trading for 14 times free cash flow and a 7% free cash flow yield. The last time it was this cheap was 10 years ago.

Certainly, AI could be a threat. However, it could also be an opportunity. Constellation operates over 1,000 business units that cater to niche industries and sector uses. It is heavily embedded with customers. Who is to say it cannot use AI to further improve its software platforms, further entrench itself, or even expand into new verticals?

Secondly, the AI drop could provide meaningful buying opportunities. Software is no longer in vogue. All the private equity players that have heavily invested in the sector may have to unload these unfavourable holdings. With a strong balance sheet and a great operating platform, Constellation could considerably accelerate its acquisition program.

While the market is only focusing on the negatives, a contrarian can pick up one of Canada’s best businesses at a very attractive valuation.

A beaten-down diversified services provider

Another TSX stock beaten down by AI is Colliers International Group (TSX: CIGI). This TSX stock is down 23% this year. Colliers provides real estate services, engineering/project management, and investment management.

These are not commoditized businesses that an AI agent can replicate or replace. These services require relationships, expertise, certifications, and experience. Today, over 70% of Collier’s income is recurring.

Over the past five years, Colliers has been growing at a 15% compounded annual rate. A mix of smart acquisitions and solid organic growth has nearly doubled its business in that time. It is targeting double-digit growth in 2026 as well.

At 15 times earnings, Colliers is trading at a very attractive price-to-growth rate. For a high-quality TSX stock, Colliers looks like a bargain right now.

A top TSX defence stock

If you want a TSX stock that is agnostic of AI, Calian Group (TSX: CGY) should be on your radar. This stock is benefiting from the rising defence spending that is going on in NATO and Canada.

Over 50% of Calian’s business is focused on defence. It is a major supplier of healthcare, training, and satcom services to the Canadian military. Canada has underinvested for years in the military. It is finally starting to catch up after announcing a commitment to hit NATO spending targets.

Calian has the expertise and relationships to win more than its fair share of government spending in the area. It is targeting double-digit growth in 2026. Recent quarterly results indicate that it could hit its $100 million earnings before interest, tax, depreciation, and amortization target in the next year or two.

Even though this TSX stock is up 36% in 2026, its valuation is still not demanding, given that its growth story might just be starting again.

Fool contributor Robin Brown has positions in Calian Group, Colliers International Group, and Constellation Software. The Motley Fool has positions in and recommends Colliers International Group. The Motley Fool recommends Calian Group and Constellation Software. The Motley Fool has a disclosure policy.

More on Investing

canadian energy oil
Energy Stocks

CES Energy Solutions Stock: The Quiet Industrial Winner Up 430%

Given its solid financial performance, favourable growth prospects, and a reasonable valuation, the uptrend in CES Energy is set to…

Read more »

todder holds a gold bar
Metals and Mining Stocks

Kinross Gold Stock Gained 472%: Is There Still More Upside?

Kinross Gold (TSX:K) has been such an explosive gainer in recent years, but shares are still really cheap!

Read more »

nugget gold
Metals and Mining Stocks

Canada’s Mineral and Mining Sector Takes the Global Stage: Here Are a Few of My Favourite Stock Plays

Gold near record highs and a trade war over critical minerals are putting Canadian mining stocks in focus. Here are…

Read more »

Canada Day fireworks over two Adirondack chairs on the wooden dock in Ontario, Canada
Energy Stocks

Enbridge Stock: Buy, Sell, or Hold With the CEO Retiring?

Enbridge stock continues to thrive in today's booming energy climate. The new CEO is a natural replacement for continuity and…

Read more »

up arrow on wooden blocks
Dividend Stocks

2 Great Canadian Dividend Stocks That Just Raised Their Payouts Again

These companies have delivered annual dividend growth for decades.

Read more »

a man relaxes with his feet on a pile of books
Dividend Stocks

TFSA Passive Income: 3 Incredible Stocks That Earn $2,148/Year

These Canadian stocks have a solid history of dividend distribution and are likely to sustain their payouts in the years…

Read more »

The sun sets behind a power source
Dividend Stocks

Why This Canadian Utility Stock Could Be the Best Stock You Never Think About

This mini-Fortis (FTS) stock is a high-yield Canadian utility stock hidden in plain sight

Read more »

Offshore wind turbine farm at sunset
Dividend Stocks

While Interest Rates Sit Still, These 2 Dividend Giants Look Good

Looking for more income? Check out these two high-income stocks!

Read more »