5 Most Oversold Canadian Stocks to Invest In

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1. TRX Gold Corporation (NYSEAMERICAN:TRX)

Relative Strength Index Reading: 34.23

Stock Upside Potential: 106.14%

Number of Hedge Fund Holders: 4

TRX Gold Corporation (NYSEAMERICAN:TRX) is one of the most oversold Canadian stocks to invest in. On April 8, TRX Gold Corporation (NYSEAMERICAN:TRX) announced topline test results at its Buckreef Gold project in Tanzania. The company also plans to expand its processing plant at the project.

The expansion push comes as the company achieved solid recovery rates of 89%-92% at the project, exceeding the 88% rate assumed in the May 2025 Preliminary Economic Assessment. The solid recovery rates have prompted the company to specify a semi-autogenous grind/Ball mill combination processing 3,500+ tonnes per day. The company’s existing 2,000 tpd processing plant is poised for significant upgrades and will continue operating alongside a new 3,500+ tpd SAG mill processing plant.

The solid recovery rates and expansion plans align with the company’s record second-quarter fiscal 2026 results, with 7,453 ounces of gold. At an average realized price of $4,655 per ounce, TRX Gold ended up generating $34.1 million in revenues, gross profit of $21.1 million, and adjusted EBITDA of $20.2 million.

TRX Gold Corporation (NYSEAMERICAN:TRX) is a junior gold producer focused on exploring, developing, and operating the Buckreef Gold Project in Tanzania. It operates a high-margin, expanding gold mine in partnership with STAMICO. The company is currently scaling up production, upgrading plant capacity, and exploring ways to increase its mineral resource base in the Geita District.

While we acknowledge the potential of TRX to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than TRX and that has 100x upside potential, check out our report about the cheapest AI stock.

READ NEXT: 10 Best Stocks to Buy in 2026 According to Billionaire George Soros and Top 10 Undervalued REIT Stocks to Buy Now.

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