3 Stocks With Jaw-Dropping Returns to Buy Now

Assuming the market doesn’t change quite radically, or specific industries don’t experience a major technological revolution, stocks can offer reasonably consistent returns.

| More on:

When you look through some of the best “post-pandemic” returns, the regret of not buying the right securities during the market crash becomes quite strong. But just because you missed the boat during the 2020 crash doesn’t mean you can’t take advantage of the growth some of these stocks have to offer.

Some might still go up, so you can at least enjoy part of the overall return potential.

A fibre optic company

Opsens (TSX:OPS) has been around since 2003. The company focuses on fibre optic sensing technologies and caters to a variety of industries, though healthcare is the company’s primary market. Its Fractional Flow Reserve, or FFR, sensors (fibre optic based) have been making up the bulk of the revenue since 2016, though the company is expanding the range of its other medical solutions as well.

After the 2020 crash, the stock started growing at a powerful pace and hit its peak in November. The stock returned over 580% to its investors in that time frame. But it’s not the only time the company has offered such phenomenal returns to its investors. Its growth between 2013 and 2016 went beyond 700%.

A lithium company

The craze and demand for batteries, thanks to the invigoration in the renewables and the EV market, has pushed the value of Lithium through the roof in the last few years. This is reflected in Lithium stocks like Sigma Lithium (TSXV:SGML), which has grown about 622% from its lowest point during the market crash.

If you had invested in the company at that time, it would have grown your capital six times by now. The stock showed a similar spike between 2013 and 2014 and grew more than 600% in that instant as well. While the stock has started to dip with the broader market, it might still climb before coming down for good. And if you want to take advantage of this growth, buy now to benefit from the current 12.5% discount from the peak.

A chemical and manufacturing company

AirBoss Of America (TSX:BOS) reached its all-time high price point in 2021. The company grew over 790% between the lowest point in 2020 and the highest price point in 2021, and it’s still trading at a price that’s 322% higher than its pre-pandemic peak. The valuation, which should have followed the price up, is at a very modest level right now.

The company is an industry leader in proprietary rubber-based products, and through its three companies, it caters to three different markets. Its rubber solutions company deals with rubber-based products, the Defense group creates survival/protection gear, and the engineered product division offers a wide variety of solutions/products to a range of industries.

Foolish takeaway

The ideal time to buy a spike is at the climb. Buying at the top is a recipe for disaster, but since you can’t predict the top with great certainty, or at least till a pattern is set, that’s the risk you will have to take for climbing on the growth that might still be underway.

Another good time to buy is when the stocks go through a correction, fall down to their usual depths, and are ready for a new spike (whenever it might come). Buying them in your TFSA and forgetting about them might help you take full advantage of the next spike.

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 Adam Othman has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned.

More on Investing

A data center engineer works on a laptop at a server farm.
Tech Stocks

3 No-Brainer Data Centre Stocks to Buy With $500 Right Now

Data centres are going to be a huge growth opportunity in the next decade. And these are the top buys.

Read more »

Paper Canadian currency of various denominations
Bank Stocks

1 Magnificent Canadian Dividend Stock Down 28% to Buy and Hold for Decades

This top Canadian dividend stock is underperforming its large peers this year, but a turnaround could be on the horizon.

Read more »

TFSA (Tax-Free Savings Account) on wooden blocks and Canadian one hundred dollar bills.
Dividend Stocks

Where to Invest Your $7,000 TFSA Contribution

The TFSA is attractive for investors who want to generate tax-free passive income.

Read more »

The TFSA is a powerful savings vehicle for Canadians who are saving for retirement.
Dividend Stocks

TFSA Investors: 3 Dividend Stocks Worth Holding Forever

These TSX stocks have the potential to grow their dividends over the next decade, making them top investments for TFSA…

Read more »

hand stacks coins
Investing

Secure a Wealthy Future With These 3 Canadian Stocks

These Canadian stocks have the potential to appreciate substantially over time and may also enhance returns through dividend payments.

Read more »

Tractor spraying a field of wheat
Dividend Stocks

Is Nutrien Stock a Buy for its Dividend Yield?

Nutrien is down more than 50% form the 2022 highs. Is NTR stock now oversold?

Read more »

analyze data
Investing

3 Blue-Chip Stocks Every Canadian Should Own

These blue-chip stocks are backed by large-cap companies with well-established businesses, solid fundamentals, and a growing earnings base.

Read more »

dividends grow over time
Stocks for Beginners

The Smartest Growth Stock to Buy With $2,000 Right Now

Do you have $2,000 to invest for the long term? These three TSX stocks have and will continue to deliver…

Read more »