3 Popular Stocks Hitting New 3-Month Highs

Tired of declines? This trio of momentum stocks, including BCE Inc. (TSX:BCE)(NYSE:BCE), might have the rocket fuel you need.

Hi there, Fools. I’m back to call your attention to three stocks trading near their three-month highs. Why? Because after a given stock rallies over a short period of time, one of two things tends to happen:

Buying and holding stocks is still the most reliable way to build wealth. But knowing how to play short-term swings can also help maximize your returns.

Let’s get to it.

Swinging Bell

Leading off our list is telecom behemoth BCE (TSX:BCE)(NYSE:BCE), which is up 5% over the past three months and trading near its three-month high of nearly $63 per share.

BCE’s Q1 results last month came in below expectations, but that didn’t stop Bay Street from bidding up the shares. Despite missing EPS and revenue estimates, BCE still managed to grow total wireless and internet customers 3.1% and 24.9%, respectively.

“With a favourable profile for all our operating segments as we move forward in 2019, we expect continued free cash flow generation to enable our capital investment plans while fully supporting the increased BCE common share dividend for 2019,” said CFO Glen LeBlanc.

BCE shares currently offer a healthy dividend yield of 4.9%.

Runaway train

Next up we have railroad giant Canadian Pacific Railway (TSX:CP)(NYSE:CP), whose shares are up 13% over the past three months and trade near their three-month highs of about $314.

CP’s recent Q1 results also missed analyst estimates, but as is the case with BCE, the near-term outlook remains favourable. Despite falling short on profit and revenue expectations, management said it expects to grow volumes in the mid-single digits and produce double-digit adjusted EPS growth in 2019.

Due to that confidence, management raised the quarterly dividend 27.5% to $0.83 per share.

“As we look forward, we remain confident in our ability to deliver record financial and operating results in 2019,” said President and CEO Keith Creel.

CP shares currently trade at a forward P/E of 21.

Shop till it drops

Finally, we have e-commerce technologist Shopify (TSX:SHOP)(NYSE:SHOP), which is up a whopping 59% over the past three months and trading near its three-month highs of $309 per share.

The stock soared after posting blowout Q1 numbers in late April, and it’s been on fire ever since. During the quarter, subscription revenue spiked 40% to $141 million, while merchant solutions revenue shot up 58%.

Looking ahead, management sees Q2 revenue of $345 million and full-year revenue of $1.48 billion.

“We’re off to an incredible start this year, as more merchants around the globe choose Shopify to start, grow, and manage their businesses,” said CFO Amy Shapero.

Shopify shares are now up 115% so far in 2019 and sport a price-to-sales of 29.

The bottom line

There you have it, Fools: three red-hot stocks worth checking out.

As always, they aren’t formal recommendations. Instead, look at them as a starting point for further research. Momentum stocks are especially fickle, so plenty of your own due diligence is required.

Fool on.

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.

Brian Pacampara owns no position in any of the companies mentioned. The Motley Fool owns shares of Shopify and Shopify. Shopify is a recommendation of Stock Advisor Canada.

More on Investing

four people hold happy emoji masks
Dividend Stocks

1 Great TSX Dividend Stock Down 10% to Buy and Own for Decades

Bank of Nova Scotia is down 10% in 2025. Is the stock now oversold?

Read more »

Person holds banknotes of Canadian dollars
Investing

Where I’d Invest $2,000 in The TSX Today

The TSX is ripe with long-term opportunities. Here are two stocks to add to your watch list today.

Read more »

social media scrolling on phone networking
Investing

Where Will Telus Stock Be in 6 Years?

Telus (TSX:T) is a fantastic dividend beast that's looking way too cheap to pass up in May 2025.

Read more »

tsx today
Stock Market

TSX Today: What to Watch for in Stocks on Monday, May 5

After soaring nearly 8% over the last four weeks, the TSX Composite Index is currently at its highest level in…

Read more »

Investing

May the 4th be with you – Motley Fool Edition

Celebrate May the 4th with timeless investing lessons from the Star Wars universe—The Motley Fool way. Patience, compounding, and clarity…

Read more »

Hourglass and stock price chart
Investing

Where I’d Allocate $10,000 in Canadian Value Stocks for Future Growth

Here's where I'd allocate $10,000 in Canadian value stocks for future growth.

Read more »

Canadian dollars are printed
Dividend Stocks

Beat the TSX With These Cash-Gushing Dividend Stocks

Learn how recent macro events have affected stocks on the TSX, and find out which stocks are thriving despite challenges.

Read more »

dividends grow over time
Dividend Stocks

How I’d Build a $15,000 Portfolio Around These 3 Blue-Chip Dividend Stocks

Dividend stocks are one thing, but blue-chip dividend stocks are some of the top options out there.

Read more »