Business & Investment

Two high-growth Canadian stocks to buy in October 2021

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The Canadian market has recently been for sale and is not common this year. After starting September at record highs S & P / TSX Comprehensive Index The month ended with a few points down. Still, the index has risen by as much as 15% since the beginning of the year.

NS Technical department In recent years, it has generated a lot of profits on the Canadian stock market. These profits actually surged following the plunge in the COVID-19 market in early 2020. This year, many tech stocks surged to record highs, significantly outperforming broader market returns.

But with rising valuations, it’s not entirely surprising to see tech stocks cool this year. Recently, there has been a growing interest in value investing. We know that every investor is willing to pay a high premium to own a stake in TSX’s top growth stock.

In the short term, the tech sector could lag market returns for months more. The ratings of many top tech stocks are still very high, which means that this could only be the beginning of a very big fix.

But as a long-term stupid investor, I’m not very interested in short-term market performance.My focus is to find high quality businesses that we can offer Growth that dominates the market In the long run.

If you are a growth investor with a period of at least 5 years, these two high-growth tech stocks should be on your radar this month.They are by no means cheap, but two Canadian stocks are trading at Discounted price..

Canadian Stock # 1: Light speed commerce

If the price-to-sale ratio exceeds 50 Light speed commerce (TSX: LSPD)(NYSE: LSPD) It is one of the most expensive stocks in Canada. Since joining TSX in 2019, equities have also risen by 500%, overwhelming the market, so so far it’s worth the risk for investors.

A bearish report from an investment research firm sent shares in Lightspeed Spiral in September. The report contained a serious allegation that caused a large sale. This explains why Canadian stocks are trading 30% below today’s record highs.

At the current valuation, it’s certainly not a cheap stock. However, it is a top-growth company with the potential to beat the markets traded at significant discounts.

If you’ve been waiting on the sidelines looking for a more attractive entry point, you won’t get many better opportunities to become a Lightspeed shareholder.

Canadian stock # 2: Shopify

The second Canadian stock on my radar this month is a much more established player in the tech sector.

Shopify (TSX: SHOP)(NYSE: SHOP) After listing in 2015, it has already grown into a $ 200 billion company. During the incredible bullish run following the COVID-19 market crash, Shopify commanded TSX as the largest company.

High-tech companies headquartered in Ottawa trade with almost the same rating as Lightspeed. The valuations may be similar, but I think the growth potential of the two Canadian stocks is different.

Lightspeed is a much smaller company, so I think it’s likely that multi-baggers will grow in the short term. I think Shopify is less likely to grow than Lightspeed, primarily based solely on market capitalization size, but Canada’s largest public company is also less risky.

The $ 200 billion company has a strong position in the e-commerce space and is still growing revenue at a remarkable rate. As a current Shopify shareholder, I’m still focused on outperforming the market for years and willingly while Canada’s share price has fallen 20% since it hit a record high. I will raise my position.

Two high-growth Canadian stocks to buy in October 2021 Two high-growth Canadian stocks to buy in October 2021

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