As the economy is getting back on track and corporate earnings are to set to benefit from the recovery in consumer demand, I believe it’s time to put some of your spare cash into stocks. So, if you can invest $1,000, consider buying these top under-$30 stocks right now.
Air Canada Air Canada (TSX:AC) stock remains volatile, as COVID-19 and travel restrictions continue to play spoilsport. While the volatility could remain elevated in Air Canada stock in the near term, the long-term prospects remain solid. With the widespread vaccine distribution and easing of travel restrictions, I expect to see a strong recovery in Air Canada’s revenues and capacity.
Its cash burn rate could decline sharply, while its lower cost base is expected to cushion its bottom line. Air Canada stock is trading at a considerable discount from the pre-pandemic levels and is a solid recovery bet. I believe the improvement in air travel demand and reopening of the international borders could significantly lift Air Canada stock.
Goodfood Market Goodfood Market (TSX:FOOD) stock is looking attractive at the current price levels. Notably, Goodfood Market stock soared significantly in the past three years and delivered stellar returns. However, it is down about 35% this year, providing a solid buying opportunity for long-term investors.
I believe the steady growth in demand for online grocery services could continue to boost Goodfood Market’s prospects. Further, its robust delivery capabilities, growing footprint, targeted marketing, and expansion of product offerings are likely to drive its active customer base, order frequency, and basket size. Furthermore, its focus on reducing unit costs is likely to boost its margins, and in turn, its stock.
Suncor Energy Like Air Canada stock, Suncor Energy (TSX:SU)(NYSE:SU) is another top recovery bet that is likely to deliver stellar returns on the back of steady improvement in energy demand. Notably, Suncor stock has seen good buying in the recent past and recovered some of its lost ground. However, it is still trading at a significant discount from the pre-COVID levels and offers further upside.
The expansion of the economy, sharp recovery in crude oil prices, expected improvement in production volumes, and Suncor’s integrated assets position it well to deliver solid financial and operating performance. Moreover, its lower cost base is likely to cushion its earnings and drive share buybacks and regular dividend payments.
WELL Health WELL Health Technologies (TSX:WELL) stock has jumped over 218% in one year, and I see further upside in the shares of the digital health company due to its ability to accelerate growth through accretive acquisitions. Meanwhile, the continued momentum in its base business and strength in the Canadian operations are likely to drive its financials and, in turn, its stock.
The continued growth in WELL health’s digital and in-person channels, growing global footprint, and strong acquisition pipeline provide a solid foundation for future growth and will likely drive its stock higher.
Cineplex Investors shouldn’t miss the opportunity to buy Cineplex (TSX:CGX) stock at the current price levels for the medium- to long-term horizon. It offers a massive discount at current price levels and is likely to gain big from the normalization of its operating activities and recovery in consumer demand.
Cineplex stock is trading cheap at current price levels. Besides, the recovery in consumer demand, reopening of its theatres and location-based entertainment venues, and its lower cost base are likely to boost its stock significantly.
The post 5 Top Under-$30 TSX Stocks to Buy Now With $1,000 appeared first on The Motley Fool Canada.
Fool contributor Sneha Nahata has no position in any of the stocks mentioned. The Motley Fool recommends CINEPLEX INC. and Goodfood Market.
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