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:

  1. Invest mainly in well-established companies;
  2. Spread your money out across most if not all of the five main economic sectors (Manufacturing & Industry; Resources & Commodities; Consumer; Finance; Utilities);
  3. 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
Investors often ask how we have managed to recommend so many stocks, like WestJet, that get taken over at a premium.


One key to our success is that we look for well-financed companies with lots of room to grow, especially in new, untapped markets....
Food delivery is one of the most dynamic businesses around these days. But Domino’s Pizza—a favourite of ours—has long been a leader in getting its pizzas to happy customers. That’s given our subscribers an 896.9% gain since we first recommended the shares in 2006....
Artificial intelligence, or AI, brings together big computing power with big data. The appeal of getting into this area on the ground floor is especially high for growth investors. Here’s a stock to let you do that.


Stitch Fix operates a personal-styling website with 2.2 million U.S....
Even as many traditional bricks-and-mortar retailers struggle against an onslaught of online shopping, TJX has handed investors an 84% return in five years—and an even more impressive 37% gain in the last 12 months alone. We believe its unique business model offers you the possibility of yet higher returns, and we recommend TJX as a Power Buy.


To compete with online sellers like Amazon.com, many retailers over the last few years have expanded their Internet presence and used their brick-and-mortar outlets as pick-up locations for online orders....
CAE INC. $34 is a buy. The company (Toronto symbol CAE; Conservative Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 265.0 million; Market cap: $9.0 billion; Price-to-sales ratio: 2.5; Dividend yield: 1.3%; TSINetwork Rating: Average; www.cae.com) has sold two new flight simulators for Boeing’s new 777X jetliner to Dubai-based Emirates Airline....
If you took our advice and held Home Capital during its 2017 liquidity crisis, your patience has been rewarded. The stock has recovered those losses, and is in fact now up 20% since before its big drop. Even so, we continue to keep a close eye on this aggressive pick for our subscribers to protect your gains.


HOME CAPITAL GROUP INC....
For Successful Investors, the appeal of aggressive stocks is obvious: they can give you bigger gains than conservative ones. But as our readers are well aware, they can also hand you bigger losses. That’s why they’re only suitable for those of you prepared to accept the added risk.


Regardless we continue to recommend that aggressive stocks make up no more than, say, 30% of your portfolio....
Demand for ATMs has suffered in the past few years as consumers increasingly pay for purchases with credit cards instead of cash. It’s a trend we’ve highlighted for our subscribers several times over the last year as we continue to apprise you of key overall market moves, but also those specific to individual industries....
TENNANT CO., $75, is a hold for investors. The company (New York symbol TNC; Aggressive Growth Portfolio, Manufacturing & Industry sector; Shares o/s: 18.3 million; Market cap: $1.4 billion; P.S. ratio: 1.2; Divd. yield: 1.2%; TSINetwork Rating: Average; www.tennantco.com) gives you exposure to a niche manufacturing segment: the production and sale of industrial floor and street-cleaning equipment, including scrubbers, sweepers and polishers.


In January 2019, Tennant paid $26.9 million for Gaomei Cleaning Equipment Co....
MOTOROLA SOLUTIONS INC., $167, is a hold. The company (New York symbol MSI; Conservative Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 171.3 million; Market cap: $28.6 billion; Price-to-sales ratio: 3.7; Dividend yield: 1.5%; TSINetwork Rating: Average; www.motorolasolutions.com) makes communications equipment such as radios for police and fire vehicles.


With the January 2020 payment, Motorola will lift its quarterly dividend by 12.3%....