The Canadian stock market is currently near all-time highs, but there are still opportunities to find quality Canadian stocks at bargain prices on the TSX. For long-term investors, this is not the time to stay on the sidelines.
When it comes to maximizing returns in a Tax-Free Savings Account (TFSA), there are limitations compared to Registered Retirement Savings Plans (RRSPs). However, TFSA withdrawals can be made tax-free at any time, and investment gains can compound and grow tax-free for long-term investors.
With this in mind, there are four top Canadian stocks that could be valuable long-term additions to a TFSA, all of which are currently trading at discounted prices.
One such stock is a high-growth tech company that has experienced fluctuations in recent years. While the stock may not be cheap compared to other TSX stocks, it is currently trading at a discount of more than 50% from its all-time highs, presenting an opportunity for value capture.
Another stock worth considering is a consumer-facing financial services provider that has also seen recent growth trends. With the stock down less than 20% from its all-time highs, now may be a good time to invest in this under-the-radar growth stock.
Additionally, a well-known $80 billion bank is trading at a discount and offers a dividend yield of over 5%, making it an attractive option for investors seeking both value and income.
Lastly, in the renewable energy sector, there are market leaders trading at significant discounts with high dividend yields. One top choice in this sector is a company with an international presence and a diversified portfolio of renewable energy investments, offering long-term potential despite recent declines.
Overall, despite the current market highs, there are opportunities to find quality Canadian stocks at bargain prices for long-term investors looking to maximize returns in their TFSA portfolios.
