Putting $20,000 to work in the stock market may feel like a big decision, especially when there are so many companies on the Toronto Stock Exchange competing for your attention. But the good news is that you do not need to chase risky growth stocks or the latest market trend to build long-term wealth. Over the years, some well-established Canadian companies have already shown that strong businesses, steady execution, and consistent growth could reward patient investors over time.
Even after years of solid returns, such stocks still have room to expand through new markets, higher earnings, and disciplined growth plans. In this article, I’ll highlight two such safe Canadian stocks that could be worth buying with $20,000 in 2026 for investors focused on long-term growth.
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Dollarama stock
If you’re looking for a Canadian growth stock to buy with $20,000, Dollarama (TSX:DOL) could be a great stock. It operates one of Canada’s largest discount retail chains while also expanding its international footprint through Dollarcity in Latin America and its Australian business.
DOL stock currently trades at $187.73 per share with a market capitalization of $50.9 billion. It also pays a quarterly dividend that currently offers a 0.3% annualized yield.
The Canadian discount retailer continued delivering solid operating results in its first quarter (ended on May 3, 2026). Its revenue for the quarter climbed 21.4% year-over-year (YoY) to $1.8 billion, supported by new stores, a 5.6% increase in comparable store sales in Canada, and contributions from its Australian operations. Similarly, its net earnings jumped 10.4% YoY to $302.3 million. Strong customer demand for consumables and general merchandise also helped drive higher transactions and average spending.
Dollarama expects to open 60 to 70 new Canadian stores this fiscal year while continuing its expansion in Australia and Mexico through Dollarcity. The company is also progressing its Western Canada logistics hub while gradually rolling out the Dollarama store format and product assortment in Australia. These initiatives could support earnings growth over the long run.
For investors looking to put $20,000 to work in a business with steady demand and multiple growth opportunities, Dollarama remains an attractive stock to consider on the TSX today.
Canadian National Railway stock
Another top Canadian stock worth considering right now is Canadian National Railway (TSX:CNR), or CN, because long-term investing often starts with businesses that play an essential role in the economy.
CN operates as one of North America’s largest rail networks, moving more than 300 million tons of goods each year. Its stock trades at $182.24 per share with a market cap of $110.3 billion. It currently offers a 2% annualized dividend yield.
In the second quarter, the company’s revenue rose 11% YoY to $4.8 billion as higher grain shipments, energy products, and overall freight demand lifted volumes. Its net income grew 7% YoY to $1.3 billion. Strong operating execution also helped CN generate first-half free cash flow of $1.8 billion, up 19% YoY. Encouraged by that solid momentum, CN recently raised its 2026 guidance and now expects mid-to-high single-digit adjusted diluted earnings per share growth.
The railway giant also plans to invest about $2.8 billion in its rail network this year while continuing share buybacks and dividend growth. Its unmatched rail network and disciplined capital allocation continue to support long-term growth.
