Equity is the best asset class for investors to build long-term wealth, as interest rates remain close to record lows. The stock market has consistently outperformed inflation over time, which in the process has increased the purchasing power of the average Canadian investor.The stock market is trading at record highs, but there are still individual stocks that are the top bets TSX Investor.
Here we will look at three such stocks that are traded on TSX today.
The first company on my list is Canadian tech heavyweight Lightspeed POS (TSX: LSPD)(NYSE: LSPD).. The stock has already gained 364% market value since it went public in March 2019 and is one of the fastest growing stocks in TSX today.
In First quarter of 2021LSPD revenue was $ 82.4 million, up 127% year-over-year, but adjusted loss per share was $ 0.09. By comparison, Bay Street expected the company to record an adjusted loss of $ 0.10 in the fourth quarter of 2021.
Lightspeed’s recurring and transaction-based revenue increased 137% year-over-year in the fourth quarter, while average revenue per user also increased 48%. In the first quarter of fiscal year 2022, management forecasts sales of $ 90 million to $ 94 million, with interim forecasts of 154% growth. By comparison, analysts predict that LSPD sales will double again in 2022 to US $ 450 million and will increase 36% to US $ 611 million in 2023.
Waste connection (TSX: WCN)(NYSE: WCN) We provide waste collection, transfer, disposal and recycling services in Canada and the United States. With a market capitalization of $ 38.3 billion, Waste Connections’ share price has increased by 340% over the last decade. In addition, the company paid investors a dividend of $ 0.99 per share, showing a futures yield of 0.68%.
Waste Connections are part of a recession-resistant industry that can generate cash flow across multiple economic cycles. In the first quarter of 2021, the Waste Connections top line was improved by rising solid waste prices, accelerating solid waste volume, and increasing resource recovery. These tailwinds were supported by the maintenance of strong solid waste prices, with adjusted EBITDA margins up 80 basis points year-over-year in the first quarter.
Waste Connections reported adjusted free cash flow of $ 290 million in the first quarter, which is expected to exceed the 2021 minimum outlook of $ 950 million.
Bank of Montreal
Investors were concerned that Canada’s high unemployment rate could increase the delinquency rate of BMOs and peers. In addition, a low interest rate environment was expected to impact earnings.
BMO in the second quarter of 2021 Reported revenue At $ 3.13 per share, it was significantly higher than the consensus estimate of $ 2.77. The higher-than-expected revenue was due to a decrease in the allowance for doubtful accounts.
Analysts tracking stocks have a 12-month average price target of $ 134, which is 6% higher than the current trading price. After considering BMO’s delicious futures yield of 3.34%, the total return is close to 10%.
Speaking of Canadian stocks to invest now …
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This article represents the opinion of a writer who may disagree with the “official” recommendation position of the Motley Fool Premium Services or Advisors. We are Motley! Asking investment treatises, even our own treatises, can help you think critically about your investment and make decisions to be smarter, happier, and richer. As a result, we may publish articles that may not match recommendations, rankings, or other content. ..
Motley Fool owns and recommends a stake in Lightspeed POS Inc. Fool contributor Aditya Raghunath does not have a position in any of the shares mentioned.
Did you get $ 1,000? Three Top TSX Stocks to Buy Today!
https://www.fool.ca/2021/06/14/got-1000-3-top-tsx-stocks-to-buy-today-6/ Did you get $ 1,000? Three Top TSX Stocks to Buy Today!