The Smartest TSX Stock to Buy With $500 Right Now

Well Health Technologies stock continues to have significant upside as the company digitizes the Canadian healthcare industry.

Karen Thomas, MSc, CFA

Author Bio

Karen Thomas began her investment career in 1998 and spent more than a decade working as an equity analyst and portfolio manager at investment management firms, including a major mutual fund company and a major pension plan. After gaining extensive experience in the investment industry, she decided that individual investors deserved access to the same knowledge and insights to help them take greater control of their financial futures. After the birth of her second daughter, Karen left her investment management career to write for The Motley Fool, where she has been helping investors make sense of stocks and the stock market for more than 10 years. Her work focuses on identifying undervalued opportunities and helping investors take a long-term approach to building wealth. Outside of investing, Karen enjoys spending time with her family and staying active outdoors.

Education

Master of Science (MSc) in Finance
Bachelor of Commerce, major in Finance and minor in International Business
Chartered Financial Analyst (CFA) designation, earned in 2000

Areas of Expertise

Energy stocks, long-term investing, value investing, and contrarian investing.

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Favorite Investment Quote

"Be fearful when others are greedy, and greedy when others are fearful." — Warren Buffett

Published June 12, 3:30 pm EDT

The S&P/TSX Index has rallied more than 75% in the last five years. This means that many stocks have done really well. Yet, there is a TSX stock that has not really made its move higher yet. But that’s okay, as I’ve learned early on that one of the biggest keys to successful investing is patience. And I’ve been patient. But today, I think its time has come.

Well Health Technologies Ltd. (TSX: WELL) is an omni channel digital healthcare company, with a network that includes primary, specialized, and diagnostic healthcare services and facilities.

Nurse talks with a teenager about medication — Source: Getty Images

A growth stock to buy

The company has had a fantastic five years – consistent double-digit revenue growth and increasing profitability and cash flows. Revenue increased more than 360% to $1.4 billion in 2025. Also, adjusted earnings per share (EPS) was $0.50, up from a mere $0.05 in 2021.

Yet Well Health Technologies’ stock price has not fared so well in the last five years. In fact, it’s down 26%. This might worry some investors but one only needs to dig a little deeper to find out what’s going on with the company.

Back in the early 2020s, there was a lot of excitement over this TSX stock and its plan to revolutionize the Canadian healthcare sector. Bringing technological advancements to Canadian healthcare has been sorely needed for a long time. So, it’s not surprising that investors latched on to Well Health stock and sent it higher. But, as often happens, the rally of those years was a little too much, a little too soon. Well Health’s fundamentals needed to catch up to the stock price.

So, Well Health stock fell. But at the same time, its fundamentals have been steadily improving. Well Health’s most recent quarter, the first quarter of 2026, was another record, with revenue growth of 25%

The opportunity for this TSX stock

And here is the opportunity. In Well Health’s latest quarter, the company continued to grow at a rapid pace. Revenue increased 25% to $365 million and adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) increased 56% to $43.1 million. Finally, adjusted earnings per share (EPS) were $0.06 versus $0.03 in the same period last year.

For the full year 2026, Well Health stock is expecting normalized revenue growth of 15% to 22% and EBITDA of $175 million to $185 million. Well Health’s Canadian segment, which is the segment that includes the primary care business, is already surpassing management’s expectations for the year. According to a recent press release, Well Health has already reached its goal of $100 million in annualized revenue for Well Canada. This was driven by organic growth as well as two accretive acquisitions.

This means that Well’s official guidance will be adjusted upwards, with EBITDA expected to exceed $185 million. Well Health stock will update its guidance when the company releases its second quarter results in August.

The bottom line

Well Health is currently trading below 20 times this year’s expected earnings. Besides this attractive valuation, this TSX stock has many things on its side. This includes the fact that its growth consistently beats expectations, and that its profitability is rapidly rising. All of this makes Well Health stock one of the smartest TSX stocks to buy right now.