Prime Minister Mark Carney’s two-day Canada Investment Summit took place earlier this month and drew a tonne of attention to the TSX stocks that could benefit from increased investment in Canada.
By the time the summit wrapped up, the federal government said it had generated nearly $500 billion in new investment commitments.
That doesn’t mean $500 billion was invested over two days. Much of the total consists of multi-year commitments from pension funds, banks and investment firms to invest, finance or mobilize capital.
And even with that impressive total, Canada’s broader goal is still to generate $1 trillion in total investment over the next five years.
So, with 167 investment opportunities that were included in the summit’s prospectus, several Canadian stocks could benefit as more of these projects secure financing and move forward.
And as Carney continues pushing Canada to diversify its economy and build more major projects at home, those efforts could go well beyond creating jobs and improving Canadians’ quality of life. They could also create opportunities for many TSX stocks for decades to come.
So, with that in mind, here are two of the top TSX stocks to watch following Carney’s investment summit.
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One of the best dividend growth stocks on the TSX
One of the top stocks I’d been keeping on my radar even before Carney’s Investment Summit was Capital Power (TSX: CPX), one of the largest independent power producers in Canada.
Capital Power is already a reliable long-term investment thanks to its diversified portfolio of power-generation assets and consistently growing dividend.
But the stock is even more intriguing after Carney’s investment summit because its Genesee Energy Campus expansion was also included in the summit prospectus.
The company is seeking capital and potential strategic participation to expand the campus, which is becoming increasingly important as electricity demand grows, particularly from data centres.
In fact, Capital Power recently signed an agreement lasting more than 10 years to supply 250 megawatts of electricity to Meta’s new Alberta data centre beginning in the second half of 2028.
Capital Power’s chief executive also said the company is in talks to supply several other potential data-centre projects, showing why expanding Genesee could offer so much long-term potential.
So, with Capital Power already a reliable and defensive power generator and electricity demand continuing to grow, it’s easily one of the top TSX stocks to watch following Carney’s investment summit.
Furthermore, it currently offers a dividend yield of roughly 4.6% and just raised its dividend for the 13th consecutive year.
A high-yield pipeline stock with massive growth potential
The other TSX stock I’d continue watching closely is South Bow (TSX: SOBO), another reliable dividend stock whose proposed Prairie Connector pipeline was included in the summit prospectus.
The Prairie Connector would transport up to 550,000 barrels of oil per day from Alberta to Wyoming and ultimately major refining markets in the United States.
That would be a massive project for South Bow and could increase Canada’s crude-export capacity by roughly 12%.
Furthermore, this isn’t simply an early-stage idea with no customer commitments. South Bow has already secured binding 20-year contracts covering 465,000 barrels per day and is now targeting a final investment decision by the middle of 2027.
Since the summit, South Bow executives have also said the federal government’s new Productivity Mega Deduction should improve the project’s economics.
Even without Prairie Connector, the pipeline operator is already an attractive dividend stock, offering a yield of roughly 5.9%. However, management has been prioritizing debt reduction, so it’s worth noting that meaningful dividend growth may take time.
With that said, South Bow’s existing operations already generate reliable and predictable cash flow, while its dividend accounts for only about 60% of distributable cash flow.
Therefore, investors aren’t relying entirely on Prairie Connector to make South Bow a worthwhile investment today. However, if the project does go ahead, it could give the stock significant growth potential down the road.
