10 Most Profitable Canadian Stocks to Buy Now

In this article, we will take a look at the 10 Most Profitable Canadian Stocks to Buy Now.

Volatility caused by the Iran war continued to weigh heavily on Canadian equities. The stock market has plummeted more than 4% in the last week, marking the third consecutive weekly loss, as the impacts of the conflict continue to hit a number of industries. The loss has been so severe that the Canadian market has gone from outperforming its US equivalent to significantly falling behind it.

Meanwhile, the Bank of Canada left its benchmark interest rate steady at 2.25% on March 18 as policymakers waited to see whether a rise in global oil prices caused by the Middle East conflict would lead to further inflationary pressures. Tiff Macklem, governor of the Bank of Canada, stated that the spike in energy prices will likely drive inflation upward over the coming months.

However, a number of analysts believe that the Canadian stock market’s existing underperformance is simply a temporary wartime phenomenon. Speaking on this, Philip Petursson, chief investment strategist at IG Wealth, stated the following:

“Canada is viewed as a ‘risk-on’ equity market. Investors looking for less volatility would likely shy away from the TSX. However, the market signals suggest the wider belief is a near end to the conflict in Iran, which should renew interest in the TSX from both an earnings and valuation perspective compared with the S&P 500.”

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Our Methodology

For this list, we used stock screeners to identify profitable US-listed Canadian stocks with the highest TTM net income and net income margins. These stocks are widely held by hedge funds and followed by analysts.

Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 498.7% since May 2014, beating its benchmark by 303 percentage points (see more details here).

10. Nutrien Ltd. (NYSE:NTR)

On March 13, Jefferies upgraded Nutrien Ltd. (NYSE:NTR) to Buy from Hold, raising its price target to $96 from $74. The revised price objective is 7.5x 2027 estimated EBITDA, compared to a five-year average of 6.6x. Jefferies expects $7.0 billion in EBITDA in 2026 and $7.3 billion the following year.

In addition, on February 20, BMO Capital boosted Nutrien Ltd. (NYSE:NTR)’s price target to $85 from $75, retaining an Outperform rating on the company’s stock. The firm used a valuation multiple at the low end of the previous 8-9x EBITDA range for its 2026 EBITDA forecast of roughly $6.2 billion.

Given the strength of the potash and nitrogen markets, the firm stated that it feels more comfortable using historical multiples. BMO Capital claimed that any rebound in weak broader agricultural trends would bring more upside to the stock.

Nutrien Ltd. (NYSE:NTR) operates as a global provider of crop inputs and agricultural services. The company operates a large network of production, distribution, and retail facilities across its Nutrien Ag Solutions, Potash, Nitrogen, and Phosphate segments.

9. Wheaton Precious Metals Corp. (NYSE:WPM)

On March 13, Wheaton Precious Metals Corp. (NYSE:WPM) reported fourth-quarter 2025 results, highlighting historic financial success and a significant billion-dollar streaming agreement.

The company’s revenue totaled $865 million, with net earnings of $558 million, reflecting a 533% increase from Q4 2024. Operating cash flow increased 134% year-over-year to $746 million, fueled by higher levels of production and notably higher material prices. Wheaton Precious Metals Corp. (NYSE:WPM) produced 690,000 GEOs in 2025, above the midpoint of its projection range by around 9%.

The company also mentioned a separate silver stream from BHP’s $4.3 billion shareholding in Peru’s Antamina mine. The transaction, completed on February 16, allows Wheaton Precious Metals Corp. (NYSE:WPM) to receive 33.75% of payable silver till 100 million ounces are delivered, followed by 22.5% for the mine’s life.

Wheaton Precious Metals Corp. (NYSE:WPM) is a leading precious metals streaming company, providing upfront financing to miners in exchange for long-term contracts to buy metals such as silver, gold, palladium, and cobalt at fixed costs.

8. Canadian Imperial Bank of Commerce (NYSE:CM)

On February 26, Raymond James boosted its price target on Canadian Imperial Bank of Commerce (NYSE:CM) to CAD148.50 from CAD135 while retaining a Market Perform rating on the company’s shares. The firm raised its target to reflect improved fiscal year 2027 EPS expectations.

Raymond James’ valuation is based on 13x 2026 expected earnings per share, consistent with the Big Six average. The firm stated that this multiple balances Canadian Imperial Bank’s near-term EPS growth, strong operating leverage, and rising return-on-equity projection against its smaller scope.

Meanwhile, Barclays raised Canadian Imperial Bank of Commerce (NYSE:CM) to Overweight from Underweight, citing the bank’s progress toward its medium-term goals. Analyst Brian Morton noted the bank’s improved return on equity and steady earnings performance over the previous two years as major reasons for the upgrade.

Canadian Imperial Bank of Commerce (NYSE:CM) is a diversified financial institution that provides a range of financial products and services to personal, business, public sector, and institutional clients in Canada, the US, and internationally.

7. Celestica Inc. (NYSE:CLS)

On March 11, CIBC reduced its price target for Celestica Inc. (NYSE:CLS) from $400 to $360 while retaining an Outperformer rating for the company.

The firm stated that the decrease indicates a lower-multiple environment rather than a decline in fundamentals.

According to CIBC’s prevailing scenario, the stock suggests a 15% increase in revenue above 2027 projections. The upside scenario assumes that the AI infrastructure cycle will continue, resulting in revenue that is 30% higher than estimated for 2027. Meanwhile, the downside scenario represents a significant risk if AI capex peaks in 2027.

CIBC further stated that, given increased visibility into Google, Meta, Amazon, and OpenAI’s capital expenditure plans, it continues to believe that Celestica’s guidance and estimates for Q1 and 2026 remain somewhat conservative.

Celestica Inc. (NYSE:CLS), together with its subsidiaries, provides supply chain solutions in Asia, North America, and internationally. It operates through two segments: Advanced Technology Solutions and Connectivity & Cloud Solutions.

6. Waste Connections Inc. (NYSE:WCN)

On March 13, Wolfe Research began coverage of Waste Connections Inc. (NYSE:WCN) with an Outperform rating and a price target of $199. The firm expects Waste Connections to uphold its margin premium and deliver significant operating margin expansion in the future. This year, the basic solid waste operating margin expansion is on track to reach 100 basis points.

Meanwhile, on March 11, Bernstein SocGen Group maintained its Outperform rating and $205 price target for Waste Connections Inc. (NYSE:WCN), with the firm rating Waste Connections as the highest quality name in its waste coverage.

According to the firm, Waste Connections Inc. (NYSE:WCN) continues to offer competitive margins and pricing power. Despite these advantages, the stock is now trading on par with peers such as WM and RSG for the first time. Bernstein believes this is primarily sentiment-driven instead of a decline in the core business.

Waste Connections Inc. (NYSE:WCN) is a solid waste management company providing integrated services including non-hazardous waste collection, transfer, disposal, and resource recovery (recycling and renewable fuels).

5. Bank of Montreal (NYSE:BMO)

On February 25, Raymond James reaffirmed its Outperform rating on Bank of Montreal (NYSE:BMO) with a CAD$214 price target. The bank reported a robust quarter, with ongoing growth in market-sensitive sectors.

Bank of Montreal (NYSE:BMO) reported adjusted earnings per share of CAD$3.48, exceeding the forecast of CAD$3.23. This sparked a 7.74% surprise for investors. Revenue also crossed expectations, reaching CAD$9.82 billion vs. a forecast of CAD$9.43 billion.

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BMO’s Canadian Personal & Commercial Banking segment achieved a 7% increase year-over-year in revenue, led by robust expansion in personal and commercial operating deposits and strong chequing account activity. Meanwhile, U.S. Banking reported revenue of $2.11 billion, up 2% amid currency challenges, owing to strong deposit growth and improved operating leverage.

Looking ahead, BMO expects earnings per share to range between $2.40 and $2.72 in the coming quarters, with full-year fiscal 2026 revenue of $27.88 billion and fiscal 2027 revenue of $28.93 billion.

Bank of Montreal (NYSE:BMO) is a Canadian financial institution that provides personal and commercial banking, wealth management, global markets, and investment banking products and services.

4. Cameco Corporation (NYSE:CCJ)

On March 2, Cameco Corporation (NYSE:CCJ) presented its outlook at the 47th Annual Raymond James Institutional Investor Conference, with the company pointing out the nuclear energy market’s solid long-term fundamentals.

Cameco Corporation (NYSE:CCJ) stressed a tightening supply-demand balance, adding that 3.1 billion pounds of uranium demand will stay uncontracted through 2045, with substantial supply gaps. A lack of investment and dependence on Russian supply raises further risks, potentially supporting higher prices.

Moreover, the company’s MacArthur River mine is projected to produce 14.5-16 million pounds this year, with potential for an increase in critical assets. Cameco’s stake in Westinghouse Electric Company also has the potential to generate $400-600 million in EBITDA per reactor from new build projects.

Cameco Corporation (NYSE:CCJ) is one of the world’s largest uranium suppliers, with operations anchored by high-grade reserves and low-cost production. The company also maintains exposure across the nuclear fuel cycle through strategic investments, including stakes in Westinghouse Electric Company and Global Laser Enrichment.

3. Canadian Natural Resources Limited (NYSE:CNQ)

Scotiabank increased its price target for Canadian Natural Resources Limited (NYSE:CNQ) to CAD$62 from CAD$58, while retaining a Sector Outperform rating on the company’s shares. The firm noted solid results from the company’s mining and upgrading operations in Q4 2025, which resulted in the company producing 7% cash flow per share and beating production by 1%.

Moreover, the company recorded adjusted net earnings of CAD$7.4 billion for the fiscal year 2025, highlighting the efficiency of its integrated activities. This performance was aided by a considerable drop in net debt, which fell by CAD$2.7 billion to CAD$16 billion by the year’s end.

Looking ahead, Canadian Natural Resources Limited (NYSE:CNQ) has forecasted continuous growth in 2026. The company intends to sustain its production pace with an adjusted production range of 1,615,000 to 1,665,000 BOEs per day. In addition, Canadian Natural has restructured its capital program to focus on high-return projects, with a capital budget of CAD$6 billion for 2026.

Canadian Natural Resources Limited (NYSE:CNQ) is a Canadian energy company focused on the exploration, development, and production of crude oil, natural gas, and natural gas liquids.

2. Franco-Nevada Corporation (NYSE:FNV)

On March 12, H.C. Wainwright increased its price target for Franco-Nevada Corporation (NYSE:FNV) to $305 from $285, while keeping a Buy rating on the company’s shares.

The company generated $1.9 billion in revenue for the year, resulting in a net income of $1.1 billion. The company profited from high production at major properties such as Antamina and Antapaccay.

Franco-Nevada Corporation (NYSE:FNV) issued a positive outlook for the coming quarters, with FY2026 EPS expectations ranging from $1.67 to $1.75 each quarter and annual sales projections of $2.77 billion.

The mining company expects total GEOs of 510,000 to 570,000 in 2026, representing a 4% rise at the midpoint from the reported amount in 2025. Cote Gold, Porcupine, and Valentine Gold will make an impact for the first full year, driving the upside. Salares Norte and Greenstone’s continuous expansion, as well as recent acquisitions, will also help to drive growth.

Franco-Nevada Corporation (NYSE:FNV) is a Canadian mining company that specializes in gold royalties and streaming. The company’s business model is built on royalties and streams from mining activities, which provide stable, predictable revenue.

1. Lululemon Athletica Inc. (NASDAQ:LULU)

On March 18, Truist Securities reduced its price target for Lululemon Athletica Inc. (NASDAQ:LULU) shares to $170 from $200, keeping a Hold rating. The firm highlighted persistent uncertainty over the company’s CEO search as the main driver for the price target adjustment. The athletic gear retailer is under interim leadership for now as it looks for a new CEO.

Meanwhile, on March 17, Jefferies reiterated its Hold rating on Lululemon Athletica Inc. (NASDAQ:LULU) and set a $170 price target on the company’s shares. The company announced fourth-quarter comparable revenue growth of 3% and EPS of $5.01, exceeding estimates.

The company’s gross margin declined by about 550 basis points year-over-year, while inventory remained high at 18% above the previous year’s levels. The company provided revenue projections for fiscal 2026 of $11.35 billion to $11.5 billion, which exceeded the average estimate of $11.04 billion.

Lululemon Athletica Inc. (NASDAQ:LULU), a Canadian athleisure company founded in 1998, designs, develops, and distributes a variety of sportswear, accessories, and footwear.

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