Yahoo Finance 2 Soaring Stocks I’d Buy Now With No Hesitation
Written by Jed Lloren at The Motley Fool Canada
When the stock market rises, investors tend to become hesitant to buy shares. That’s a bit counterintuitive, in my opinion. Wouldn’t you want to continue buying shares of companies you see are doing well? It seems like a lot of investors think stocks have a certain limit that they can reach, and by investing in a stock that has already risen in value, it’s like they’ve “missed the boat.” In this article, I’ll discuss two soaring stocks that I’d buy now with no hesitation.
Invest in this great company
Shopify (TSX:SHOP) is the first stock that investors should consider buying right now with no hesitation. Earlier this week, the stock gave shareholders a bit of a scare, falling 13% after its earnings call. However, it seems as if those fears have quickly disappeared. I think that’s about what I expected.
Yes, Shopify’s stock fell as a result of that earnings call. However, it wasn’t Shopify’s actual performance that spooked investors. It was the company’s forecasts moving forward. It seems as though the market wanted more ambitious targets from the company. However, despite that, you can’t dispute that Shopify is continuing to grow nicely.
In that earnings presentation, Shopify reported US$7.1 billion in revenue in 2023. That represents a 26% year-over-year increase. In addition, Shopify’s gross profit was reported as being US3.5 billion. That’s astronomical compared to 2019 when the company reported a mere US$866 million in that metric.
This year, Shopify stock has done well so far, gaining 13%. I believe the stock has a lot more room to run, and I’d be happy to pick up shares at these prices.
A top stock for the future
Topicus (TSXV:TOI) is a stock that I’ve been covering for a while now, but I stopped writing about it over the past year or so. However, it’s becoming a stock that I think would intrigue a lot of growth-minded investors. For those who aren’t familiar with this company, you should know that it used to be a subsidiary of Constellation Software. If that’s not a name you recognize, then you should look it up right now. Constellation Software is one of Canada’s most successful stocks in history.
That being said, Topicus now operates as its own entity. Like Constellation Software, it acquires tech businesses but focuses specifically on the European tech market. This is a great opportunity for Topicus for a number of reasons. Mainly, it provides the company with a chance to become an expert in acquiring businesses in that space. That could help Topicus during negotiations when discussing the benefits of being acquired by Topicus with smaller businesses.
Looking at Topicus’s most recent earnings, I think investors should be very pleased. The company reported €1.12 billion in revenue for fiscal year 2023. That represents a year-over-year increase of 23%. In addition, Topicus reported a net income of €71.8 million. Again, this is a massive improvement over 2022, with that metric jumping 36% year over year.
Topicus is a great, small stock that has a lot of room to grow. This stock has already gained 26% this year, but don’t let that scare you from buying shares.
The post 2 Soaring Stocks I’d Buy Now With No Hesitation appeared first on The Motley Fool Canada.
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Fool contributor Jed Lloren has positions in Constellation Software, Shopify, and Topicus.com. The Motley Fool has positions in and recommends Shopify and Topicus.com. The Motley Fool recommends Constellation Software. The Motley Fool has a disclosure policy.
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