The Wealthy Habit That Matters More Than Finding the Next Ten-Bagger

Getting rich doesn’t require finding one ten-bagger if you consistently invest meaningful amounts over decades.

Key Points
  • A small ten-bagger can still be small money, while steady monthly investing can build a large portfolio through compounding.
  • Stantec is a steady infrastructure-services business with rising earnings and a record backlog that supports long-term growth.
  • It’s not risk-free, so buy it gradually and diversify across sectors and countries.

Finding a stock that rises tenfold sounds like the express lane to wealth. Unfortunately, the express lane requires identifying the right company early, holding through several terrifying declines, and resisting the urge to sell after the first exciting gain.

That’s quite a lot to ask from one ticker.

A less glamorous habit has created plenty of wealth without requiring investors to become part-time fortune-tellers. It involves investing regularly, increasing those contributions as income rises, and leaving strong businesses enough time to compound.

A worker overlooks an oil refinery plant.

Source: Getty Images

Consistency

Suppose an investor finds a ten-bagger but places only $1,000 into it. The investment eventually becomes $10,000, which is excellent, but not life-changing.

Meanwhile, investing $500 monthly for 25 years at an illustrative 8% annual return would produce approximately $475,000. The investor contributed $150,000, while compounding provided the rest.

Actual returns won’t arrive at a tidy 8% every year. Markets will decline, individual stocks will disappoint, and fees can reduce the result. The example simply demonstrates how repeated contributions give compounding considerably more material to work with.

A stock I’d keep buying

One company I’d consider for that routine is Stantec (TSX: STN). The Canadian company provides engineering, architecture, and environmental consulting services for buildings, water systems, transportation networks, energy projects, and other infrastructure.

Stantec stock doesn’t need one revolutionary product to change the world. It benefits from thousands of projects that communities and businesses must complete, whether or not investors happen to find infrastructure exciting that afternoon.

That makes it suitable for investors learning how to buy stocks in Canada. Rather than attempting to choose the perfect entry price, someone could establish a position and add a fixed amount monthly or quarterly.

Compounding engine

Stantec’s second-quarter net revenue increased 11.5% year over year to $1.8 billion. Adjusted earnings per share (EPS) rose 18.4% to $1.61, suggesting profits grew faster than sales as margins improved.

Its contract backlog reached a record $9.2 billion, increasing 17.5% from the previous year and representing approximately 13 months of work. Backlog doesn’t guarantee revenue, but it gives Stantec useful visibility while governments and companies continue spending on water, environmental, transportation, and energy infrastructure.

Stantec also repurchased approximately 1.7 million shares for $175.9 million during the first half of 2026. Buying back shares can increase each remaining investor’s ownership when management pays a sensible price.

Valuation is key

Near $96.64, Stantec stock trades around 22 times trailing earnings. That’s a considerably more approachable valuation following the stock’s decline, although it still requires continued earnings growth.

Acquisitions create one important risk. Stantec stock uses purchases to expand its capabilities and geographic reach, and paying too much or poorly integrating a large business could weaken returns. Government project delays, slower construction activity, and rising labour costs could also pressure growth.

I wouldn’t place an entire portfolio into Stantec stock. Even an excellent company needs friends from other sectors and countries to provide proper portfolio diversification.

Bottom line

Finding a ten-bagger would be lovely. Building a financial plan that depends on finding one is considerably less charming.

Regular contributions, rising savings rates, diversification, and long holding periods are habits investors can actually control. Stantec’s growing earnings, record backlog, and essential infrastructure work make it a stock I’d consider buying gradually.

Fool contributor Amy Legate-Wolfe has no position in any of the stocks mentioned. The Motley Fool recommends Stantec. The Motley Fool has a disclosure policy.

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