The first two weeks were hard on the S&P/TSX Composite Index, but it looks like earnings have rebounded the TSX today. We’re back to looking at all-time highs, up more than 150 points in this week alone as of writing. And there are Canadian stocks driving that growth.
So Motley Fool investors might actually have some extra cash lying around in your Tax-Free Savings Account (TFSA). This might be especially true if you invest in dividend stocks. With many paying out passive income dividends right now, check your balance! There may be tax-free income you can reinvest today!
If that’s the case, I would definitely check out these Canadian stocks on the TSX today!
Kinaxis Kinaxis (TSX:KXS) has been hit unnecessarily hard by supply-chain issues. And I do say unnecessarily. The company provides such great supply-chain solutions that it’s offering advice to other companies! The $5.2 billion company frankly has enough long-term contracts to see it running for several years. Yet it’s true; it’s expensive at $191 per share.
Still, analysts are bullish on Canadian stocks to rebound as supply-chain issues fall away. And now, the company has an earnings report around the corner. What’s more, the company gets its income from subscriptions from these major companies on an annual basis. So short-term movement shouldn’t affect long-term outcomes. Management is confident in its recovery, with sales up 18% year over year during the last report.
As the pandemic eases and supply-chain returns to normal, Kinaxis stock is a solid company to buy for an earnings boost.
Aritzia Aritzia (TSX:ATZ) is one of the Canadian stocks soaring in the retail sector. It took e-commerce growth to a whole new level, and its U.S. stores exploded during the last quarter. It’s since adjusted its annual revenue to see incredible growth, providing growth for investors as well.
Yes, again, Aritiza stock is expensive. The $5.42 billion-dollar company trades at $49 and is significantly higher than it was before earnings. But if Motley Fool investors wait for a slight pullback, the next earnings report should see returns rise yet again. And clearly, management has taken the current pandemic into consideration for future growth. Also, e-commerce revenue grew 49% year over year, with 82% growth in sales, all exceeding pre-pandemic sales.
“We are confident that e-commerce will continue to grow even on the back of 89% growth last year,” said Brian Hill, founder, chief executive officer and chairman. Retail has surpassed our most optimistic expectations and is continuing to trend above pre-pandemic levels, now and for the foreseeable future.”
Foolish takeaway As the market rebounds on the TSX today, it’s hard to find valuable Canadian stocks. But guess what: you don’t have to. If you’re a long-term Motley Fool investor, it’s enough to just pick strong Canadian stocks. Both Kinaxis and Aritzia have proven they can continue driving funds even during the pandemic. And both make a solid choice for your portfolio if you’re looking for returns for at least the next several years.
The post Got $500? Buy These 2 Canadian Stocks on the TSX Today! appeared first on The Motley Fool Canada.
Fool contributor Amy Legate-Wolfe owns shares of KINAXIS INC. The Motley Fool recommends KINAXIS INC.
This Article Was First Published on The Motley Fool
