3 On-Sale Stocks That Are No-Brainer Buys in 2021

Investors chasing after superior returns should consider three no-brainer buys in 2021. Barrick Gold stock, Ballard Power Systems stock, and Neptune Wellness stock are potential multi-baggers.

The Toronto Stock Exchange (TSX) is performing quite well in the first quarter of this year. Canada’s primary stock market index closed at 18,854 on March 19, 2021 — an 8% year-to-date gain. On the same day, the volume of transactions increased 126% from the preceding trading day to 602.5 million.

Investors can still find top stocks selling at depressed prices. If you want to take positions in the second quarter, Barrick Gold (TSX:ABX)(NYSE:GOLD), Ballard Power Systems (TSX:BLDP)(NASDAQ:BLDP), and Neptune Wellness (TSX:NEPT)(NASDAQ:NEPT) are no-brainer buys.

Golden opportunity

Warren Buffett may have influenced investors after Berkshire Hathaway sold its entire holdings in the Canadian gold producer in Q4 2020. Nevertheless, it opens a buying opportunity. The share price is down 9% year to date. Snag the gold stock now before the precious metal springs back to life.

Management is on a quest to make Barrick Gold the world’s most valued gold company. It has a five-year and 10-year plan to focus and attain the lofty objective. According to Barrick’s executive chairman John Thornton, the company has emerged even stronger from a difficult year. The progress since the transformational merger with Randgold is significant.

Another growth catalyst is the 2019 joint venture with Newmont. Barrick established the Nevada Gold Mines, because it could unlock the formed full potential of one of the world’s largest and most prospective gold endowments. For would-be investors, the gold stock trades at $26.17 per share and pays a 1.72% dividend.

Clean technology leader

Ballard Power trades at a bargain following the slide in price from $52.23 on February 8, 2021. You can purchase the industrial stock today at only $31.17. This $9.26 billion company from Burnaby, Canada, is the world’s leading provider of clean energy and fuel cell solutions.

The Canadian firm develops and manufactures proton exchange membrane fuel cell products. Ballard’s products cater to markets such as heavy-duty motive, portable power, and material handling. The cleantech leader also provides engineering services.

Besides the home country, Ballard has offices in China, Europe, and the United States. Ballard’s zero-emission proton exchange membrane (PEM) fuel cells enable electrification of mobility in passenger cars, buses, commercial trucks, trains, marine vessels, and forklifts.

In its latest press release, management announced that Ballard’s PEM fuel cell technology and products powers fuel cell electric vehicles. It has clocked 75 million kilometres on roads globally in commercial heavy and medium-duty motive applications.

Transforming the wellness industry

Neptune Wellness flies under the radar, although the forthcoming federal legalization of marijuana in the U.S. should favour the stock. The $335.95 million integrated health and wellness company builds a portfolio of lifestyle brands and consumer packaged goods products.

Private businesses and government customers avail of Neptune’s turnkey product development and supply chain solutions. It caters to various health and wellness verticals, including legal cannabis and hemp plus nutraceuticals and white label consumer packaged goods. Extraction and purification services are available, too.

Management believes cannabinoids and plant-based ingredients are the future of consumer-packaged goods. Neptune’s extraction, nutrition, and cannabis expertise are innovative and should transform the wellness industry. Buy the stock now at $2 before the share price doubles to $4 in the next 12 months.

Multi-baggers

Don’t miss the bargain deals on the TSX if you have free cash to spare. The three stocks in focus are potential multi-baggers in 2021.

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 Christopher Liew has no position in any of the stocks mentioned. The Motley Fool owns shares of and recommends Berkshire Hathaway (B shares) and recommends the following options: short January 2023 $200 puts on Berkshire Hathaway (B shares) and long January 2023 $200 calls on Berkshire Hathaway (B shares).

More on Dividend Stocks

Train cars pass over trestle bridge in the mountains
Dividend Stocks

Is CNR Stock a Buy, Sell, or Hold for 2025?

Can CNR stock continue its long-term outperformance into 2025 and beyond? Let's explore whether now is a good time to…

Read more »

coins jump into piggy bank
Dividend Stocks

The Smartest Dividend Stocks to Buy With $500 Right Now

These top dividend stocks both offer attractive yields and trade off their highs, making them two of the best to…

Read more »

Middle aged man drinks coffee
Dividend Stocks

Here’s the Average TFSA Balance at Age 35 in Canada

At age 35, it might not seem like you need to be thinking about your future cash flow. But ideally,…

Read more »

ETF stands for Exchange Traded Fund
Dividend Stocks

How to Invest Your $7,000 TFSA Contribution in 2024

Here's how I would prioritize a $7,000 TFSA contribution for growth and income.

Read more »

a man relaxes with his feet on a pile of books
Dividend Stocks

CPP Pensioners: Watch for These Important Updates

The CPP is an excellent tool for retirees, but be sure to stay on top of important updates like these.

Read more »

Technology
Dividend Stocks

TFSA Investors: 3 Dividend Stocks I’d Buy and Hold Forever

These TSX dividend stocks are likely to help TFSA investors earn steady and growing passive income for decades.

Read more »

four people hold happy emoji masks
Dividend Stocks

Love Dividend Growth? Check Out These 2 Income-Boosting Stocks

National Bank of Canada (TSX:NA) and another Canadian dividend-growth stock are looking like a bargain going into December 2024.

Read more »

An investor uses a tablet
Dividend Stocks

A Dividend Giant I’d Buy Over Enbridge Stock Right Now

Enbridge stock may seem like the best of the best in terms of dividends, but honestly this one is far…

Read more »