Growth Stocks
Although growth stock picks can be highly volatile, they can make good long-term investments. They may be well-known stars or quiet gems, but they do share one common attribute—they are growing at a higher-than-average rate within their industry, or within the market as a whole, and could keep growing for years or decades.
And keep in mind that we focus on growth stocks, which have a good long-term history and favourable prospects. We downplay momentum stocks that tend to attract many investors simply because they are moving faster than the market averages, but are liable to fall sharply when their momentum fades.
There’s room for growth stock investing in your portfolio, but make sure you follow our TSI Network three-part Successful Investor strategy for your overall portfolio:
- Invest mainly in well-established companies;
- Spread your money out across most if not all of the five main economic sectors (Manufacturing & Industry; Resources & Commodities; Consumer; Finance; Utilities);
- Downplay or avoid stocks in the broker/media limelight.
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Growth Stocks Library Archives
SHERWIN-WILLIAMS CO. $310 is a hold. The company (New York symbol SHW; Conservative Growth Portfolio, Consumer sector; Shares outstanding: 246.6 million; Market cap: $76.4 billion; Price-to-sales ratio: 3.2; Dividend yield: 1.0%; TSINetwork Rating: Above Average; www.sherwin-williams.com) is a leading maker of paints and varnishes.
In October 2025, Sherwin acquired the Brazilian decorative paints business of German chemical maker BASF. That unit sells its products under the Suvinil and Glasu! brands. The company paid $1.15 billion for the business.
In October 2025, Sherwin acquired the Brazilian decorative paints business of German chemical maker BASF. That unit sells its products under the Suvinil and Glasu! brands. The company paid $1.15 billion for the business.
Credit-card giant AMERICAN EXPRESS CO. $313 has now formed an alliance to better tap growing interest in sports-related travel.
As part of its strategy, the company is partnering with Fanatics, a leading seller of sports-related merchandise such as licensed apparel and trading cards.
As part of its strategy, the company is partnering with Fanatics, a leading seller of sports-related merchandise such as licensed apparel and trading cards.
Medical device maker BAXTER INTERNATIONAL INC. $19 recently suspended shipments of its Novum infusion pumps over a problem that could lead to an incorrect dosage. Despite that setback, sales in the first quarter of 2026 rose 2.9%, to $2.70 billion from $2.63 billion a year earlier.
If you adjust for the sale of a business, sales in the quarter declined 1%. Tariffs and higher manufacturing costs also cut earnings before unusual items by 34.5%, to $0.36 a share from $0.55.
If you adjust for the sale of a business, sales in the quarter declined 1%. Tariffs and higher manufacturing costs also cut earnings before unusual items by 34.5%, to $0.36 a share from $0.55.
Both these firms play a vital role in global food production. Each is now cutting costs to better withstand international tariffs and inflation. While we expect both of their efforts to pay off, for now we prefer IFF for any new buying.
ARCHER DANIELS MIDLAND CO. $80 is still a hold. The company (New York symbol ADM; Aggressive Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 482.0 million; Market cap: $38.6 billion; Price-to-sales ratio: 0.5; Dividend yield: 2.6%; TSINetwork Rating: Above Average; www.adm.com) processes corn, wheat, soybeans, flax seed and other crops into a variety of food ingredients.
ARCHER DANIELS MIDLAND CO. $80 is still a hold. The company (New York symbol ADM; Aggressive Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 482.0 million; Market cap: $38.6 billion; Price-to-sales ratio: 0.5; Dividend yield: 2.6%; TSINetwork Rating: Above Average; www.adm.com) processes corn, wheat, soybeans, flax seed and other crops into a variety of food ingredients.
Most of our readers tend to focus on Canadian stocks when following our three-pronged approach to constructing a portfolio. That is, they...
- Invest mainly in well-established, high-quality companies.
- Spread their money out across most if not all of the five main economic sectors: Manufacturing & Industry; Resources & Commodities; Consumer; Finance; and Utilities.
PHILIPS ELECTRONICS N.V. ADRs $27 saw its sales in the first quarter of 2026 fall 4.7%, to 3.91 billion euros from 4.10 billion euros a year earlier (1 euro=$1.61 Canadian). Sales actually improved 4% once you exclude currency rate fluctuations as well as any businesses bought or sold by this leading manufacturer of industrial health-care products. The company also makes X-ray scanners and ultrasound systems.
In developed markets, specifically, Philips sales rose 5%, while sales in growth markets were flat. A higher tax bill cut earnings per ADR (before unusual items) by 8.0%, to 0.23 euros from 0.25 euros.
In developed markets, specifically, Philips sales rose 5%, while sales in growth markets were flat. A higher tax bill cut earnings per ADR (before unusual items) by 8.0%, to 0.23 euros from 0.25 euros.
TEXAS INSTRUMENTS INC. $317 is up a whopping 83% since the start of 2026 on strong demand for its computer chips used to run new AI datacentres.
The chipmaker has long specialized in analog chips to convert inputs like touch and sound to electronic signals that computers can understand. Still, those chips also now play a key role in managing electrical power levels in the datacentres needed to run power-intensive AI.
The chipmaker has long specialized in analog chips to convert inputs like touch and sound to electronic signals that computers can understand. Still, those chips also now play a key role in managing electrical power levels in the datacentres needed to run power-intensive AI.
These three manufacturing firms should benefit from the U.S. Supreme Court decision striking down most of the Trump administration’s tariff policies. That will also help them adapt to rising fuel costs as a result of the Iran war.
We still like the long-term prospects for all three of these high-quality firms. For your new buying, however, we prefer Otis over Howmet and Tennant, given its growing elevator servicing business.
We still like the long-term prospects for all three of these high-quality firms. For your new buying, however, we prefer Otis over Howmet and Tennant, given its growing elevator servicing business.
INTERNATIONAL BUSINESS MACHINES CORP. $255 is one of nine firms developing quantum computing technologies that will receive financial support from the U.S. federal government.
IBM will now transfer its quantum operations to a new business called Anderon, which will receive $1 billion from the government to help build a chipmaking facility. The company aims to start selling quantum computers for commercial clients by 2029.
IBM will now transfer its quantum operations to a new business called Anderon, which will receive $1 billion from the government to help build a chipmaking facility. The company aims to start selling quantum computers for commercial clients by 2029.
You Can See Our Current Power Recommendations For June 2026 Here.
Understanding our recommendations: Power Buy—These stocks are our top choices for new buying now. We feel each currently offers the best combination of fundamentals (earnings, sales, cash flow and so on) plus external factors (industry trends and the current share price) to give it a chance of above-average gains. Buy—high-quality stocks with strong growth prospects. However, they are likely to grow at a slower rate than our Power Buys. Sell—these are stocks that no longer inspire our confidence. As Power Growth Investor focuses on maximizing profits for aggressive investors, we prefer to sell poorly performing stocks instead of holding them and waiting for a rebound.
Understanding our recommendations: Power Buy—These stocks are our top choices for new buying now. We feel each currently offers the best combination of fundamentals (earnings, sales, cash flow and so on) plus external factors (industry trends and the current share price) to give it a chance of above-average gains. Buy—high-quality stocks with strong growth prospects. However, they are likely to grow at a slower rate than our Power Buys. Sell—these are stocks that no longer inspire our confidence. As Power Growth Investor focuses on maximizing profits for aggressive investors, we prefer to sell poorly performing stocks instead of holding them and waiting for a rebound.