3 Stocks Worth Buying and Holding Through 2026 and Beyond

Given their strong underlying businesses, ongoing growth initiatives, and supportive market conditions, these three Canadian stocks present compelling buying opportunities at current levels.

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Key Points
  • Amid recent market recovery, 5N Plus, Savaria, and Celestica are compelling Canadian stock picks, each offering robust growth potential driven by strategic initiatives and strong market positions.
  • 5N Plus benefits from high-growth sectors, Savaria capitalizes on aging demographics and accessibility needs, and Celestica is poised for expansion amid rising AI-driven demand, all of which make them attractive long-term investments.

Canadian equity markets have staged a strong rebound in recent weeks, with the S&P/TSX Composite Index climbing more than 9% from last month’s lows. Improved investor sentiment, driven by a ceasefire announcement and ongoing peace talks between the United States and Iran, has supported this recovery. However, uncertainty around the outcome of these negotiations still lingers.

That said, long-term investors should avoid getting sidetracked by short-term market swings and instead focus on fundamentally strong businesses. With that in mind, here are three top Canadian stocks that currently present compelling buying opportunities.

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5N Plus

5N Plus (TSX: VNP) has been one of this year’s standout performers, delivering returns of over 88% year to date. Its strong fourth-quarter results, ongoing growth initiatives, and encouraging 2026 outlook have driven the stock higher. The momentum could continue, supported by its exposure to high-growth sectors such as semiconductor, renewable energy, space-based observation, satellite communications, and security applications.

The specialty semiconductor and performance materials producer is also expanding its production capabilities to meet rising demand. It is working to increase solar cell capacity at its AZUR SPACE Solar Power facility by 25% this year. In addition, the company is enhancing its recycling and refining capabilities for germanium—a key material used in solar cells and advanced optics—at its St. George, Utah, facility, with support from a US$18.1 million grant from the U.S. government.

Given these growth drivers and strategic investments, 5N Plus appears well-positioned to sustain its financial momentum in the coming years, making it an attractive buying opportunity.

Savaria

Another stock that stands out as an attractive buy is Savaria (TSX: SIS), which designs, manufactures, and installs accessibility solutions for residential and commercial use. The stock has outperformed the broader market this year, delivering a 32.9% return, supported by solid quarterly results and optimistic long-term targets.

Demand for Savaria’s products remains strong, driven by an aging population and increasing adoption of in-home accessibility equipment. To capitalize on this trend, the company continues to introduce innovative products while pursuing strategic acquisitions to expand its capabilities and market reach.

Earlier this month, management outlined an encouraging five-year outlook. The company expects revenue to grow at a 12% annualized rate, reaching $1.6 billion by 2030. It also aims to maintain an adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) margin of 20% while increasing adjusted EBITDA per share to $4.25, implying annualized growth of 10.4%.

Despite these strong growth prospects, Savaria’s valuation remains reasonable, with a forward price-to-earnings multiple of 21.7. In addition, it pays a monthly dividend of $0.0467 per share, yielding 1.86% on a forward basis. Overall, Savaria’s solid fundamentals, growth initiatives, and income component make it a compelling investment at current levels.

Celestica

Celestica (TSX: CLS), which provides critical infrastructure solutions to hyperscalers building and scaling data centres, would be my final pick. Backed by strong quarterly results and its exposure to the fast-growing artificial intelligence (AI) market, the stock has gained 35.4% year to date, outperforming the broader market.

Demand from hyperscalers continues to rise as they expand capacity to support increasing computing needs driven by AI adoption, creating significant long-term growth potential for Celestica. To capitalize on this trend, the company is emphasizing innovation, forming strategic partnerships, and scaling its production capabilities.

Celestica also plans to invest approximately $1 billion this year—about 6% of its projected revenue—to expand its global footprint and enhance capabilities in high-reliability manufacturing, advanced design engineering, and end-to-end supply chain solutions.

Given its strong positioning in a high-growth market, ongoing investments, and solid execution, Celestica appears well-placed to deliver sustained growth, making it an attractive investment at current levels.

Fool contributor Rajiv Nanjapla has no position in any of the stocks mentioned. The Motley Fool recommends Celestica. The Motley Fool has a disclosure policy.

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