Growth Stocks

Growth stocks are companies that are likely to have sales and earnings growth well above market average. Frequently they pay few, if any, dividends. Instead they typically reinvest any extra cash flow to promote further growth. Chosen wisely—according to Pat McKeough’s advice—high-quality growth-oriented stocks can be worthwhile additions to most well-diversified portfolios.

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.

Make better stock picks when you read this FREE Special Report, Canadian Growth Stocks: WestJet Stock, RioCan Stock and More.

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Growth Stocks Library Archives

Growth Stocks

Stock split adds to Loblaw’s appeal

Loblaw recently hit a new all-time high, partly due to a stock split that makes its shares more appealing to investors, including its employees. We feel the company’s plan to open more discount-price stores will also bolster the stock’s appeal as it works to attract increasingly cost-conscious shoppers.

2 min read

Pat McKeough

Growth Stocks

FirstService reaches a new high

FIRSTSERVICE CORP. $284 is your #1 Aggressive Buy for 2025. The company (Toronto symbol FSV; Aggressive Growth Portfolio, Consumer sector; Shares outstanding: 45.6 million; Market cap: $13.0 billion; Price-to-sales ratio: 1.7; Dividend yield: 0.5%; TSINetwork Rating: Extra Risk; www.firstservice.com) has two main businesses: FirstService Residential provides property management services, such cleaning and maintenance; and FirstService Brands provides property restoration, painting and other services through franchised businesses.

1 min read

Pat McKeough

Growth Stocks

Use these updates to enhance your portfolio

MAPLE LEAF FOODS INC. $36 is a hold. The company (Toronto symbol MFI; Conservative Growth Portfolio, Consumer sector; Shares outstanding: 123.9 million; Market cap: $4.5 billion; Price-to-sales ratio: 0.9; Dividend yield: 2.7%; TSINetwork Rating: Average; www.mapleleaffoods.com) sells fresh and prepared meats under the Maple Leaf and Schneider labels. It also makes plant-based hamburgers, hot dogs and other protein products under the Lightlife and Field Roast brands.

2 min read

Pat McKeough

Growth Stocks

Better efficiency cuts their tariff risk

2 min read

Pat McKeough

Growth Stocks

Good quarter for RTX

RTX CORP. $160 remains a buy. The company (New York symbol RTX; Conservative Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 1.3 billion; Market cap: $208.0 billion; Price-to-sales ratio: 2.6; Dividend yield: 1.7%; TSINetwork Rating: Above Average; www.rtx.com) is a leading maker of aircraft equipment and missiles.

RTX’s revenue in the second quarter of 2025 rose 9.4%, to $21.58 billion from $19.72 billion a year earlier.

1 min read

Pat McKeough

Growth Stocks

Use these updates to enhance your returns

SIX FLAGS ENTERTAINMENT CORP. $24 is a hold. The company (New York symbol SIX; Aggressive Growth Portfolio, Consumer sector; Shares outstanding: 101.3 million; Market cap: $2.4 billion; Price-to-sales ratio: 0.8; No dividend paid; TSINetwork Rating: Average; www.sixflags.com) took its current form on July 1, 2024, when Cedar Fair L.P. merged with rival amusement park operator Six Flags Entertainment (old New York symbol SIX) in an all-stock transaction. The combined firm operates 27 amusement parks, 15 water parks and 9 resort properties in the U.S., Canada, and Mexico.

Due to bad weather, attendance in the second quarter of 2025 fell 9% from a year earlier.

2 min read

Pat McKeough

Growth Stocks

Keep holding despite its big jump

GE VERNOVA INC. $622 is a hold. The company (New York symbol GEV; Conservative Growth Portfolio, Manufacturing sector; Shares outstanding: 272.2 million; Market cap: $169.3 billion; Price-to-sales ratio: 4.8; Dividend yield: 0.2%; TSINetwork Rating: Average; www.gevernova.com) makes turbines and related equipment for gas-fired and nuclear power plants, plus equipment for wind farms.

In the quarter ended June 30, 2025, revenue rose 11.1%, to $9.11 billion from $8.20 billion a year earlier. That’s due to strong demand for gas power, onshore wind and electrical grid equipment.

1 min read

Pat McKeough

Growth Stocks

Acquisition should boost earnings

MOTOROLA SOLUTIONS INC. $464 is a buy. The company (New York symbol MSI; Conservative Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 166.6 million; Market cap: $77.3 billion; Price-to-sales ratio: 7.0; Dividend yield: 0.9%; TSINetwork Rating: Average; www.motorolasolutions.com) makes communications equipment such as two-way radios for police and fire vehicles, as well as high-definition surveillance systems.

Motorola recently acquired Silvus Technologies, Inc. Based in California, that firm makes specialized communications equipment for military and law enforcement clients. Its products make it easier for users to transmit data in harsh conditions and areas without cellphone towers.

1 min read

Pat McKeough

Growth Stocks

Equipment makers can handle tariffs

These two suppliers of critical building products and services are doing a good job offsetting the impact of tariffs through price increases and other measures. Their rising order backlogs also cut your risk.

2 min read

Pat McKeough

Growth Stocks

Sony expects smaller tariff hit

SONY GROUP CORP. ADRs $28 is a hold. The Japanese conglomerate (New York symbol SONY; Conservative Growth Portfolio, Manufacturing & Industry sector; ADRs outstanding: 6.0 billion; Market cap: $168.0 billion; Price-to-sales ratio: 1.9; Dividend yield: 0.5%; TSINetwork Rating: Average; www.sony.com) now expects U.S. tariffs will cut its earnings in the fiscal year ending March 31, 2026 by 70 billion yen (roughly $475 million U.S.). That’s down from its earlier prediction of 100 billion yen.

1 min read

Pat McKeough

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Browse Premium Topics

Cannabis

Spinoffs

One of the ways a company can try to unlock its own hidden value is by creating a separate company out of a corporate subsidiary. The parent company can either sell stock in the new company to the public, or spin it off—hand the stock out to its own investors.

Dividend Stocks

Dividend stocks make cash payouts that serve as a way for companies to share the wealth they’ve accumulated. These payouts are drawn from earnings and cash flow and paid to the shareholders of the company. Typically, these dividends are paid quarterly, although they may be paid annually or even monthly as well.

ETFs

What are ETFs?

ETF is an acronym for exchange traded fund. These exchange traded funds are used to track indexes as closely as possible, since investors cannot actually buy an index outright.

Value Stocks

What are value stocks?

One of the sweetest and most profitable pleasures of successful investing is to buy high-quality “value stocks” (or stocks that are reasonably priced, if not cheap, in relation to its sales, earnings or assets), then hold on to them as mainstream investors recognize the value and push up the share price.

Blue Chip Stocks

Blue chip stocks are big, well-established, dividend-paying corporations with strong business prospects. These are companies that also have sound management that should be able to make the right moves to keep competing successfully in a changing marketplace.

Penny Stocks

A penny stock in general trades for under five dollars a share, and as the name implies, sometimes for pennies. Most of the time they’re young companies, or start-ups in speculative markets like mining or technology.

Growth Stocks

Wealth Management

Wealth management is the practice of putting your savings to work so that it continues to grow over your lifetime and will also benefit your heirs. Wealth management encompasses many different areas of investing like long term investment planning and retirement planning.

Mining Stocks

Mining stocks are investments in companies that produce or explore for minerals. Some of these minerals include uranium, coal, molybdenum (which is used in steelmaking), copper, silver and gold. They are affected by fluctuating commodity prices in addition to their own business and operating risks.

How To Invest

Pat McKeough has been making investing for beginners simple—and profitable—by helping investors make big gains for more than 25 years. His advice to beginning investors is the same as it is for all investors: buy high-quality, mostly dividend paying stocks (or ETFs that hold these stocks) and evenly spread your investments over the five main economic sectors (Resources, Manufacturing, Finance, Utilities and Consumer). Pat also believes investors should avoid stocks in the broker/media limelight and focus on those with hidden or little-noticed assets.

Energy Stocks

What are energy stocks?

Businesses that work in the extraction, refining and delivery of energy sources such as natural gas, oil, uranium and coal, are considered energy stocks.