Are you looking for the best Canadian stocks to buy? There are companies under $5 that offer investors some of today’s top market growth potential. As economies worldwide continue to recover rapidly from the pandemic, investors have many opportunities now since many of the best Canadian stocks are worth buying today.
While the potential is there in finding high-quality value and dividend stocks, you still need to be cautious while looking for some stocks to buy. So, when you find stocks that possess high-potential operations while trading at a low share price, you can have all the potential to earn significant gains. So, let’s go ahead and talk about five of the best stocks under $5 to buy in Canada today.
Top 5 Stocks Under $5 in Canada
Here are now five (5) of the best Canadian stocks under $5 you need to watch out for:
Considered one of the best Canadian gold stocks, B2Gold Corp. is also one of the cheapest stocks to buy today. That’s why it’s included in this list. B2Gold Corp. has reported earnings recently. With second-quarter numbers less ideal, it still expects a strong recovery by the second half of 2021.
This gold mining company has one of the lowest-cost producers in the gold industry. This trait allows them to become one major cash cow. In addition, they even return cash to investors, making it one of the most valuable Canadian stocks to date.
With B2Gold Corp. as an exploration company, this firm engages in mineral property acquisition and development. The company operates across these segments: Fekola Mine, Libertad Mine, Limon Mine, Masbate Mine, and Otjikoto Mine. This gold stocks company was founded by Mark Anthony Corra, Thomas A. Garagan, Clive Thomas Johnson, and Roger Thomas Richer back on November 30, 2006, and is based in Vancouver, Canada.
- Ticker Symbol: TSXV: BTG
- Industry: Gold
- Sector: Basic Materials/Resources
- Fiscal Year-End: 12/2021
- Revenue: $2.4B
- Net Income: $842.42M
- 2020 Sales Growth: 48%
- Employees: 6,120
Drone Delivery Canada Corp.
Being a high-potential drone stock, Drone Delivery Canada is your best option if you’re looking for a Canadian tech stock on top of its game and with massive growth potential.
This drone company has built a unique platform for drones ready for operation for the past seven years. Drone Delivery Canada was included in this list, from comprehensive flight plans to significant payload testing,, because they’ve done extensive work.
Partnered with several pilot partners, Drone Delivery Canada Corp. only strives and continues to find new opportunities that can help expand its business. They offer drones that you can readily use for delivery services, healthcare, mining, and even the industrial sector. In addition, they continue to take crucial steps, including a license obtaining from the Canadian Transportation Agency. The sky’s the limit for this penny shares stock. It is still considerably cheap. It is one of the best Canadian stocks to buy today.
- Ticker symbol: TSXV: FLT
- Industry: Consumer Finance
- Sector: Financial Services
- Fiscal Year-End: 12/2021
- Revenue: $2.39B
- Net Income: $704.22M
- 2020 Sales Growth: -9.82%
- Employees: 8,400
HIVE Blockchain Technologies Ltd.
HIVE Blockchain Technologies Ltd., or simply HIVE, is a high-quality crypto stock considered one of the best stocks in Canada. This would be an incomplete list without including this high-potential cryptocurrency stock. That is why it is usually recommended to investors who consider investments in the space.
This crypto stock company engages in building bridges from the blockchain sector down to traditional capital markets. They are also involved in producing mined cryptocurrencies such as Ethereum around the clock. Their projects include Iceland Cryptocurrency Mining. Its foundation day was on June 24, 1987, and it has its headquarters in Vancouver, Canada.
Being one of the top stocks in the cryptocurrency industry, HIVE gives a ton of growth potential. While HIVE has been trading rangebound for a few months already, it is still one of the highest-potential growth stocks you can buy with the rest of the cryptocurrency sector. Having a lot of potential reasons why their sector could be rallying soon, if you’re looking for exposure, now’s the best time to buy these cheap stocks.
And with a ton of high-quality stocks to choose from, HIVE stands out as one of the best Canadian stocks to buy today.
- Ticker symbol: TSXV: HIVE
- Industry: Software
- Sector: Technology
- Fiscal Year-End: 03/2022
- Revenue: $88.18M
- Net Income: $56.24M
- 2021 Sales Growth: 76%
- Employees: 19
A top Canadian retail stock, Roots Corp. is another excellent Canadian stock under $5 to consider. This iconic Canadian retailer has dramatically impacted the market scene over the last few years.
Roots Corp. do engagements provisioning leather goods, apparel, and accessories. Their operations segments through the Direct-to-consumer (DTC) and Partners and Other. The company’s Direct-to-consumer segment comprises sales through its corporate retail stores and e-commerce. At the same time, the Partners and Other segment consist mainly of Roots-branded products wholesale to its international operating partner. In addition, they earn royalties through retail sales of Roots-branded products by its partner. This penny share stock company was founded by Don Green and Michael Budman in 1973 and had its headquarters in Toronto, Canada.
Roots are among the strongest brands among Canadian consumers even though its stock trades are cheap, quickly becoming one of the best Canadian businesses to buy today. Moreover, they saw through some headwinds pre-pandemic as they tried improving the economics of its operations.
With their business revitalization and the Canadian economy recovering well from the pandemic, Roots Corp. provides investors tons of specific price values. So, if you’re looking for a Canadian stock to buy and hold for years, Roots is one of the best.
- Ticker symbol: TSXV: ROOT
- Industry: Clothing Retail
- Sector: Retail/Wholesale
- Fiscal Year-End: 01/2022
- Revenue: $240.51M
- Net Income: $13.08M
- 2021 Sales Growth: -27.09%
- Employees: 2,050
Sangoma Technologies Corp.
Sangoma Technologies Corp. is a top communications stock with high-potential communications as a service stock. It is one of Canada’s best stocks to buy today, mainly because it has high potential in terms of growth for stocks offering services with continuous development using popularity.
They engage in hardware and software component provisions, enabling or enhancing Internet Protocol Communications Systems for telecom and datacom applications. Their products include telephony cards, public branch exchange cloud, S-series internet protocol phones, session border controllers, VoIP gateways, and Zulu UC, SIPstation. Founded by David Mandelstam in 1984, this company’s headquarters is located in Markham, Canada.
Even during pre-pandemic times, there had already been a need for businesses to possess robust communications systems. Today, however, all are already paramount. And with Sangoma Technologies capitalizing on this increasing demand, this will undoubtedly become your significant investment.
With its growing sales rapidly making its mark on the penny shares scene and even having made high-potential acquisitions recently, Sangoma Technologies will only continue to expand its operations. So, are you looking for only the best Canadian stocks you can trade cheaply? Then, strongly consider investing in Sangoma Technologies.
- Ticker symbol: TSXV: STC
- Industry: Networking
- Sector: Technology
- Fiscal Year-End: 06/2022
- Revenue: $167.34M
- Net Income: $766.99K
- 2021 Sales Growth: 34%
- Employees: N/A
What are Stocks Under $5 on the TSX?
Also called penny shares, stocks under $5 are those companies that are ineligible for the list of some major stock exchanges. But most over-the-counter stocks never make it to meaningful interactions because specific rules need to be complied with to trade over-the-counter. So, buying Canadian penny shares requires assistance from expert brokers.
It is essential to note that many popular stocks, especially those not volatile in terms of market capitalization, are the best penny stocks that trade below $5. Many of the cheapest stores include dollar shares, penny shares, and stocks that sell fractions of a penny. Whatever stock trading strategy it may be, penny stocks are some of those that promise good growth because of their undervalued stock price when doing the right thing.
Many penny shares come from start-up companies belonging to risky markets and sectors, with some incumbents trading for $5 or less per share on typical markets. Cheap dividend stocks include company shares that sell chips, AI markets, big data and data analytics stock, SaaS shares, AI-only companies, etc. You can try buying these shares from commission-free trading platforms, burning your money on associated fees.
Why Choose Stocks Under $5?
Penny shares or stocks under $5 may seem like cheap stocks to buy, but these companies can be highly volatile and speculative by nature. As most trade through OTC exchanges or through pink sheets, where it is lax listing standards, penny stocks are susceptible to being manipulated and faked. But still, their potential in making significant returns is powerfully alluring, a driving force for risk-taking investors to position themselves with particular securities. Although many penny stocks go bust, once an investor exercises careful fundamental analyses and picks good management teams, they could see themselves coveting diamonds in the rough.
As economies recover from the pandemic, investors are given many options, including numerous good Canadian stocks worth buying. The potential for locating quality value stocks in Canada and dividend shares is abundant and good growth shares. Once you find growth stocks having high potential and trade at a low share price, grab on to that potential and make significant profits soon.
It is crucial to know that trading strategies exist in different markets, and investments in undervalued yet emerging companies could be the one strategy for you. Hopefully, with today’s article, you are enlightened on your decision-making on which Canadian stocks under $5 to buy and invest in and be successful soon.
Canadian Stocks Under $5
Penny shares are companies that do not meet the requirements to be listed on a major stock exchange. However, most over-the-counter stocks do not make it to a major exchange because of the rules they have to comply with to trade over-the-counter. Therefore, you won’t be able to buy Canadian penny shares without a broker like Wealthsimple Trade.
Such penny shares have a small market capitalization and stringent requirements. Although different investors may have other answers to your question, the consensus is that a penny share is a stock that trades for less than $5. Thus, Penny shares are, at the very least, shares traded for a cheap fraction of a penny.
It is important to note that many popular stocks, especially those that do not have volatility in market capitalization, are penny stocks that trade below $5. Many of the cheapest stocks you can buy are available for less than $5 a share, including dollar shares, penny shares, and stocks that sell for a fraction of a penny. Whichever stock trading strategy you choose, some penny stocks are good growth stocks due to their undervalued costs if you do the right thing.
Many penny shares belong to start-up companies in risky markets and sectors, but many incumbents trade for less than $5 a share on the standard market. Cheap dividend stocks include shares of companies that sell chips, AI markets, big data and data analytics stock, SaaS shares, AI-only companies, etc. Be sure to buy these shares on commission-free trading platforms so you can burn your money on fees.
The company signed fifteen office leases with five new tenants for $10 each share in the first quarter of 2021. Dividend shares are popular with income investors who receive a cash payment from several companies every three months. Shares with a 7% or more dividend yield have increased their dividend for 25 consecutive years. Low-cost dividend shares are attractive to investors buying large amounts of shares.
The $10 share price is an affordable asset to add to your portfolio. The company suffered from the crisis and had to accept a fall in prices in the low single digits. A share at $20 could reap huge profits and rise by just $1 per share, adding $5 to a portfolio.
Investors appear to be putting their money into the Canadian cannabis stock market. Many investors find it difficult to find shares at reasonable prices that have not been appreciated over the past decade. However, some companies have delivered in the last quarter, and many biotechs and penny stocks have benefited.
We are giving a free copy of our 5 Canadian small-cap growth shares whose net proceeds were $153.6 million in the last quarter, an increase of 64% year-on-year, and whose companies are listed on the Nasdaq or New York Stock Exchange if the share price falls below $1 over a prolonged period (many microcap shares are traded on exchanges off-listed. The remaining shares in the table are dividend-paying energy stocks with a market capitalization of $5 billion and a beta value of $1.2. All stocks are traded on the NYSE, Nasdaq or AMEX and are sorted according to percentage gains so that traders can see the top stocks below $5 today.
We are giving a free copy of our 5 Canadian small-cap stocks below $5: Oil & Gas ($3.60) and R & C O Enercom Inc. ($4.10) (17th Street). Save this article for the Canadian crypto stocks on our list that are expected to benefit from a rise in the Bitcoin price. The Canadian Solar Trust expects total module shipments between 18 and 20 GW and revenues to be between $1.8 and $2.8 in 2021 (Top TSX Stock Picks for April 2021).
As the economy continues to recover, investors have many options, and there are several good Canadian stocks worth buying. There is potential for finding quality value and dividend shares and good growth shares. If you find growth stocks with high potential and trade at a low share price, you have the potential to make significant profits.
It is important to remember that many stock market trading strategies exist, and investing in undervalued, emerging companies is just one strategy. For example, investors may prefer to focus on stocks that pay dividends or those that pay dividends to companies that benefit from many shares and generate solid cash flows. NEE pays a dividend of $1.40, yielding 1.9% at the current share price.
Despite soaring oil and gas prices, Crescent Point Energy is the last TSX stock below $5. Since 2016, oil, gas, solar, and coal have been liquid, trading on an excellent cent between $50 and $10, and some of the best energy stocks have outperformed the market. This likely volatility makes conservative and risk-averse investors in these stocks attractive.
In recent months, CPG stock has gained in value and is a solid buy below $5 traded on the Nasdaq. This stock is considered a stock that trades at less than $5.00 per share, which is well below the price of Crescent shares. At $4.81 apiece, the top 10 TSX stocks to buy have the right to rise to $6.7 by 2021. The best growth stocks and companies with a low market capitalization today are those with a value of 0.01% or less, reputable companies that are starting to do what Canadian investors want.