In this article, we will look at the 9 Best Up and Coming Canadian Stocks to Buy.
On November 19, IG Wealth Management released its 2026 Market Outlook for Canada. The report relied on four key macroeconomic indicators, including the easing monetary policy, fiscal expansion, AI supercycle, and the wealth effect, to conclude that 2026 would be a rebound year for the Canadian market as the recession fears have faded.
The report highlights that one of the key factors driving the Canadian market to record highs is an accommodating policy, which has led to a boost in liquidity, thereby supporting stock values, particularly in the technology sector. Moreover, the government is also leaning towards fiscal stimulus by prioritizing housing and productivity. The report suggests that investors with a focus on earnings, valuations, and strong fundamentals are well-positioned to benefit in 2026.
Later, on November 26, Reuters also released results from its polls suggesting that the S&P/TSX Composite Index would rise around 5% to 32,125 by the end of 2026. The report suggests that the Canadian stock index will hit all-time highs in 2026, driven by easing trade uncertainty and increased spending on AI.
With that, let’s take a look at the 9 Best Up and Coming Canadian Stocks to Buy.
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Our Methodology
To curate the list of 9 Best Up and Coming Canadian Stocks to Buy, we used the Finviz stock screener and Insider Monkey’s Q3 2025 database. Using the screener, we aggregated a list of Canadian stocks that have had their IPOs in the last 5 years. Next, we sorted the list by market capitalization and ranked the stocks in ascending order of the number of hedge fund holders sourced from Insider Monkey’s Q3 2025 database.
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 427.7% since May 2014, beating its benchmark by 264 percentage points (see more details here).
9 Best Up and Coming Canadian Stocks to Buy
9. Eupraxia Pharmaceuticals Inc. (NASDAQ:EPRX)
Number of Hedge Fund Holders: 6
Eupraxia Pharmaceuticals Inc. (NASDAQ:EPRX) is one of the Best Up and Coming Canadian Stocks to Buy. Analysts see more than 77% upside for Eupraxia Pharmaceuticals Inc. (NASDAQ:EPRX). This bullish sentiment comes after the clinical-stage biotechnology company reported promising results from its Phase 2b RESOLVE trial for eosinophilic esophagitis on November 13.
The additional 52-week follow-up data from the RESOLVE trial showed all patients in Cohort 6 maintained symptom improvement at week 52 with an average reduction in SDI scores of -3.7 (-58%). Management noted that patients reaching 52 weeks in the trial showed durable symptom relief, which is clinically meaningful.
Following the announcement, on November 14, Kristen Kluska from Cantor Fitzgerald reiterated a Buy rating on Eupraxia Pharmaceuticals Inc. (NASDAQ:EPRX) with a price target of C$15.38, reflecting more than 76% upside from the current level.
Eupraxia Pharmaceuticals Inc. (NASDAQ:EPRX) is a clinical-stage biotechnology company developing locally delivered, extended-release drug products using its proprietary DiffuSphere technology.
8. Allied Gold Corporation (NYSE:AAUC)
Number of Hedge Fund Holders: 7
Allied Gold Corporation (NYSE:AAUC) is one of the Best Up and Coming Canadian Stocks to Buy. On November 27, Allied Gold Corporation (NYSE:AAUC) reported significant progress in exploration at the Kurmuk mine in western Ethiopia. The stock price surged more than 8.9% by market close on Friday, November 28.
Management noted that this is the second of the three planned exploration updates. Kurmuk mine is a significant project for the company with an estimated average production of around 290,000 gold ounces in the first four years and 240,000 ounces annually afterwards. The production at this site is expected to start by mid-2026.
In addition, Allied Gold Corporation (NYSE:AAUC) posted strong performance during fiscal Q3 2025, announced on November 5. The stock price has surged more than 38% since the release. The company produced 87,020 ounces of gold and sold 92,099 ounces during the quarter. Management noted that the production and sales were in line with the expectations and supports the strong production guidance for the fourth quarter. The production for the fourth quarter is expected to be the highest of the year, driven by higher grades. Management anticipates annual gold production to surpass 375,000 gold ounces.
Allied Gold Corporation (NYSE:AAUC) is a gold producer operating three producing assets and development projects in Cote d’Ivoire, Mali, and Ethiopia.
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