3 Stocks up Over 50% in the Past Year

Canada Goose Holdings Inc (TSX:GOOS)(NYSE:GOOS) and these two other stocks have soundly beat the TSX over the past year.

| More on:

Given the TSX’s recent decline, you may be losing hope that you’ll be able to earn a decent return from investing in the market. However, it isn’t all a lost cause. There are plenty of well-performing stocks that you can find on the TSX that can continue to produce strong returns going forward.

Before you give up on Canadian stocks, consider the three below that have been stars on the TSX over the past 12 months and that could still produce strong returns for investors that buy today.

^TSX Chart

Canada Goose Holdings (TSX:GOOS)(NYSE:GOOS) has struggled in the past few weeks, giving back some of the gains it has achieved this year, but so far in 2018 its share price is up around 60% and in the past 12 months it has risen by nearly 140%.

What makes the company an appealing buy for the long term is its focus on quality and producing handcrafted apparel that can generate strong margins, especially as Canada Goose sells more to its direct-to-consumer segment where it saw strong growth last quarter, as that can help the company avoid costs related to using an intermediary.

The company also announced plans to expand into China, which is hosting the next winter Olympics. Not only will that drive a lot of sales growth, but Canada Goose will also get a lot of advertising from seeing its products during the games as well.

I wouldn’t be surprised to see the stock not only recover from this recent dip, but continue on its previous ascent.

Canfor Pulp Products (TSX:CFX) is up 65% in the past year, and its success should come as no surprise as the company saw its sales grow by 40% last quarter. Canfor has also consistently been able to post strong profits and despite this it still trades at a very low multiple of just eight times its earnings. There’s still a lot of potential for the stock to climb, as it is very cheap and demand could continue to rise.

With pulp being used in many consumer products, as the economy continues to perform well it’s likely that we’ll see the demand for pulp products increase as well.

Aimia (TSX:AIM) is also up around 65%, and it’s a bit of a surprise given how hopeless the stock appeared to be after it was announced it would be losing Air Canada as a customer of its Aeroplan program.

However, after Aimia said that it would be entering the airline industry and could have potentially challenged the popular airline’s dominance there, Air Canada, along with other companies, sought to buy Aeroplan. Investors were bullish on the deal and that helped to lift Aimia’s stock.

With an influx of cash after the Aeroplan sale and strong management, I wouldn’t be surprised for Aimia to take on another big venture that could deliver value to its shareholders. Aimia has proven that it has strong leadership and a lot of great ideas, and it’s never a bad idea to invest in that.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium service or advisor. We’re Motley! Questioning an investing thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and richer, so we sometimes publish articles that may not be in line with recommendations, rankings or other content.

Fool contributor David Jagielski has no position in any of the stocks mentioned.

More on Investing

woman looks out at horizon
Investing

Is Sun Life Financial Stock a Buy for its 4% Dividend Yield?

Let's dive into whether Sun Life Financial (TSX:SLF) stock is a buy for its dividend yield alone, or if this…

Read more »

Pumpjack in Alberta Canada
Energy Stocks

1 Magnificent Energy Stock Down 17% to Buy and Hold Forever

Down over 17% from all-time highs, Headwater Exploration is a TSX energy stock that offers you a tasty dividend yield…

Read more »

Man data analyze
Investing

Want $1 Million in Retirement? 2 Simple Index Funds to Buy and Hold for Decades

Just invest in a S&P 500 index fund and do nothing.

Read more »

tsx today
Stock Market

TSX Today: What to Watch for in Stocks on Thursday, November 21

Escalating geopolitical tensions and U.S. economic data remain on investors’ radar today as the TSX continues to hover above the…

Read more »

think thought consider
Investing

Should You Buy Couche-Tard Stock Aggressively Before Nov. 25?

Here’s what could help Couche-Tard stock rebound after its upcoming earnings event.

Read more »

calculate and analyze stock
Bank Stocks

4% Dividend Yield? I Keep Buying This Dividend Stock in Bulk!

If you find the perfect dividend stock, you never have to worry about investing again. And that's what you get…

Read more »

Paper Canadian currency of various denominations
Dividend Stocks

Should You Buy the 3 Highest-Paying Dividend Stocks in Canada?

A few dividend stocks saw a sharp correction in November, increasing their yields. Are they a buy for high dividends?

Read more »

oil and natural gas
Investing

Is Imperial Oil Stock a Buy for its 2.3% Dividend Yield?

Imperial Oil (TSX:IMO) stock: A century of dividends, 30 years of growth, and a 2.3% yield that could evolve into…

Read more »