The 4 best stocks to buy in October

Canadian investors will have something to be happy about in 2024 S&P/TSX composite index is approaching a 15% return per year, not even including dividends. In the last three months alone, the index has increased by approximately 10%.

But just because the market as a whole is rising doesn’t mean you have to wait for a pullback to start investing. The TSX is still full of top-quality stocks that are trading at bargain prices.

Here’s a list of four of Canada’s biggest companies currently trading at must-buy prices.

slippery

With shares up over 50% in the last 12 months, slippery (TSX:GSY) may not be trading at a discount for an extended period of time. Especially with further interest rate cuts likely on the horizon, this consumer-facing financial services provider could be on the verge of a surge in demand.

Goeasy is no stranger to delivering market-beating returns. Even with the stock down about 20% from all-time highs, the stock has surged 200% over the past five years, crushing the market.

These growth stocks can easily go unnoticed, but they deserve a spot on a growth investor’s watchlist.

Shopify

Shopify (TSX:SHOP) still has a long way to go to return to all-time highs, but technology stocks are loaded with positive momentum today.

Shares are up more than 200% from their 2022 lows, and yet they remain down more than 50% below all-time highs.

Despite all the volatility Shopify has experienced over the past five years, the stock is still up over 150%. That’s enough to easily outperform the broader market’s returns.

As one of the world leaders in the e-commerce space, this is not a company that should slow down anytime soon. However, I wouldn’t expect volatility to slow down much, but that’s a small price to pay if you’re a patient long-term investor.

Aviation Canada

The airline industry doesn’t have the best track record when it comes to market-beating returns. It is a cyclical space that is difficult to define in time. However, for investors with time on their hands, taking a chance on Canada’s current largest airline may be a smart idea.

Unlike most of his peers, Aviation Canada (TSX:AC) has historically been a market leader.

However, it has struggled to return to pre-pandemic peaks. Shares are down nearly 70% since the start of 2020. However, in the decade leading up to 2020, Air Canada consistently remained the market leader.

In a cyclical industry like the airline space, I might be hesitant to buy Air Canada if it was trading at an all-time high. But with a discount like this, it’s hard to ignore.

Power of the North

The renewable energy space is another market area where there is no shortage of discounts to choose from today. Additionally, there are plenty of impressively high dividend yields.

Like many others in space, Power of the North (TSX:NPI) has been declining since the beginning of 2021. Since then, the stock is down more than 50%, excluding dividends. On the positive side, however, the recent decline has pushed the dividend yield above 5%.

In the short term, renewable energy investors may need to continue to be patient. However, if you’re optimistic about long-term growth in renewable energy use, it’s time to bet on a company like Northland Power.