The TFSA (Tax-Free Savings Account) is the place to hold stocks that could multiply many times over. You don’t want to be paying any tax on a capital gain that is worth several times your invested capital.
Massive gains can come from any sector and any industry. Big winners don’t come in a month or a year. However, picking smart stocks and holding them long-term in your TFSA can really accelerate the trajectory of your wealth. Paying no tax certainly helps that process.
The 2026 TFSA contribution limit is $7,000. It may not seem like a large sum. However, if you attach it to the right stocks, it could become $280,000 or even more!
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Dollarama: A 4,017% gainer that would have been perfect for a TFSA
Dollarama (TSX: DOL) stock is a perfect example. Dollarama has become a leading discount goods provider in Canada, Latin America, and Australia.
It has a perfect trap for customers. You walk into the store looking for cleaning supplies, and you come out with a cart full of chocolate bars, cereal, Easter baskets, and office supplies. Everything seems cheap, so you just keep adding products.
It has a similar dynamic to Costco, but just on a smaller “everyday item” scale. 15 years ago, Dollarama was just starting to get scale across Canada. It only had a market cap of $2 billion in 2011. Yet, smart investors could have seen that it could have a modestly sized shop in almost every major neighbourhood of Canada.
Over the past 15 years, Dollarama stock has delivered a 4,017% total return (including dividends). That equates to a 28% compounded annual growth rate (CAGR)! If you bought $7,000 worth of Dollarama stock in 2011 and just held it today, your investment would be worth $283,000!
Aritzia: Up 529%, but it has a long way to run
Aritzia (TSX: ATZ) is another retail stock that could be on the verge of a major growth renaissance like Dollarama. Like Dollarama, it could be a perfect pick for a TFSA. Certainly, as a women’s high-end retailer, it is a little more discretionary than Dollarama. You need to factor that as a risk in your investment thesis.
Yet, Aritzia has done a wonderful job building a highly attractive mix of clothing brands. The company gained enthusiasm in Canada and has rapidly spread to the United States. In fact, in 2025, U.S. sales eclipsed Canadian sales.
The good news is that Aritzia still has a long runway to grow in the United States. It has 71 boutiques in the U.S., but it could easily have 200. That is even before it makes any expansions into international markets like Europe, Australia, or Asia. With a cash-rich balance sheet, it can certainly afford its growth ambitions.
Aritzia stock is up 529% in the past nine and a half years (it IPO’d in late 2016). That equates to a 21% return CAGR. With a market cap of $10.8 billion, there is still plenty of room for this stock to rise. A $7,000 TFSA investment Aritzia stock in 2016 would be worth $42,811 today! Unlike Dollarama, its biggest growth opportunities are still ahead of it.
The Foolish takeaway
While Dollarama has largely infiltrated its core markets, Aritzia still has a large global runway. If you are looking for large multiplying gains in your TFSA, Aritzia could be a perfect bet. Its stock has recently pulled back, so it’s a reasonable time to look at it. It could be the next Dollarama-like stock for big gains in your TFSA.
