2 Unstoppable Canadian Stocks You Can Buy and Hold for the Next Decade (and Beyond)

These two Canadian growth stocks are some of the best businesses to buy now and hold in your portfolio for decades to come.

| More on:
grow money, wealth build

Image source: Getty Images

One of the most common mistakes that investors make is to focus on what stocks are hot now and have momentum in the short term. Instead, you are much better off finding the best businesses that can outperform for decades. These will be the best Canadian stocks to buy.

When you can find a high-quality company that enjoys significant competitive advantages over its peers and operates in an industry that will allow it to continue to grow for several years, these investments have the opportunity to drive significant portfolio growth.

So with that in mind, if you’re looking to add some stocks to your portfolio, here are two of the best Canadian growth stocks to buy now.

A top health care tech stock

There’s no question that WELL Health Technologies (TSX:WELL) is one of the top long-term Canadian growth stocks to buy. But considering how cheap it’s been lately, it’s one of the very best to buy now.

The company has built a high-quality portfolio of health care businesses that complement each other well. It started with physical health care clinics and a high potential technology portfolio. And in the last few years, that portfolio has grown rapidly by acquisition.

What’s so impressive about WELL, though, is that many of these acquisitions it’s made have tonnes of organic growth potential themselves.

So while WELL is predominantly a tech stock, the fact that it operates in and is disrupting the health care industry means that it offers investors significant growth potential for decades, which is why it’s one of the best Canadian stocks to buy.

And as I mentioned above, because it’s undervalued today, trading at a forward enterprise value to sales ratio of just 2.7 times, and a discount to its average analyst target price of more than 50%, it’s unquestionably one of the best Canadian stocks to buy today.

One of the best Canadian green energy stocks to buy and hold for decades

If you’re looking for high-quality growth stocks that you can own for years, it makes sense that green energy is one of the best industries to find investments in.

And while there are numerous high-quality Canadian green energy stocks to buy, one of the best has to be Brookfield Renewable Partners (TSX:BEP.UN)(NYSE:BEP).

Brookfield has a massive portfolio of renewable energy assets. In fact, it’s one of the largest publicly traded green energy companies in the world.

And not only is its portfolio large, but it’s well-diversified, owning hydroelectric assets, wind, solar, and even storage facilities. In addition, it’s diversified all over the world, with businesses in North and South America, Asia, and Europe.

Because green energy offers investors a decades-long opportunity, it makes sense that the best Canadian stocks to buy will be ones that can consistently perform over the long haul. And Brookfield has proven to do just that.

Furthermore, in addition to all the long-term potential it offers, it also has a tonne of opportunities to expand its assets and the funds from operations (FFO) its portfolio generates in the short term.

Management is already expecting to grow its FFO per unit organically at a compounded annual growth rate CAGR of 6%‒11% over the next five years. This is crucial because growth in FFO is what ultimately drives increases in the distribution each year.

Furthermore, this is the potential for growth before any acquisition activity, and typically Brookfield targets at least $1 billion in acquisitions each year.

So it’s clear that Brookfield continues to execute well, has an incredible portfolio of assets, and is one of the best Canadian growth stocks to buy for the long haul.

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 Daniel Da Costa owns WELL Health Technologies Corp. The Motley Fool has no position in any of the stocks mentioned.

More on Stocks for Beginners

Paper Canadian currency of various denominations
Stocks for Beginners

Here Are My Top 3 Stable Stocks to Buy Now

Stability isn't always exciting, but when you look back in 20 years, your portfolio will show you why these stable…

Read more »

RRSP Canadian Registered Retirement Savings Plan concept
Dividend Stocks

Here’s the Average RRSP Balance at Age 20 in Canada

It may seem like a long way away, but starting early and investing often can make retirement saving a breeze.

Read more »

Doctor talking to a patient in the corridor of a hospital.
Dividend Stocks

CRA Money: The Best Benefit to Claim in 2024

This benefit is one of the most broad ones you can claim from the CRA, yet many of us are…

Read more »

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

7.9% Dividend Yield? I’m Buying This TSX Passive-Income Stock in Bulk!

This passive-income stock is a strong buy for its dividend, especially for its consistency and growth thanks to the Keystone…

Read more »

customer uses bank ATM
Bank Stocks

Canada’s Big Bank Stocks: How to Find the Best One for You?

Considering an investment in Canada's big bank stocks? Here's a look at some of the best options to buy right…

Read more »

Start line on the highway
Stocks for Beginners

3 TSX Stocks to Hold for Long-Term Success

If you want some stocks for long-term success, here are three to look at holding.

Read more »

resting in a hammock with eyes closed
Stocks for Beginners

Beginning Investors: 1 Simple Strategy for a Lifetime of Security

These two ETFs focus on blue-chip Canadian and U.S. stocks with a history of growing dividends.

Read more »

A plant grows from coins.
Stocks for Beginners

3 Growth Stocks to Buy With $500 and Hold Forever

Growth stocks aren't all bad. In fact, many can be the sign of even more great news to come! Consider…

Read more »