With the TSX caught in a narrow band of uncertainty over the past two years, more investors are realizing the best stocks to buy right now are long-term holdings immune to short-term volatility.
Whether the rest of 2023 sees the index trending up or down, it remains the case that stocks need years to compound. This means it will benefit your future self, as well as your present quality of sleep, to ignore the market’s latest fit and leave your investments alone for as long as possible.
At the broadest level, there are two ways investors can set themselves up with a long-term stock portfolio tailored to their respective financial position, risk tolerance and future goals:
Implementing a couch-potato strategy with broad market index funds diversified across the globe, including Canada, the United States, Developed Markets and Emerging Markets. This approach offers exposure to the global public market, which has yielded a positive historical return going back over a century
Implementing an active stock-picking strategy that focuses on maximizing returns by owning the companies best positioned to deliver them through innovation, growth and profitability
Seeing as Market Herald readers fall squarely into the second camp, we wanted to leave you with three theses for stocks to buy right now and hold forever to consider over Thanksgiving weekend, understanding forever as your age of retirement, so you can minimize short-term market stress and fortify your nest egg with potentially outsized returns:
Thermal Energy International
Thermal Energy International (TSXV:TMG) offers proprietary energy efficiency and emission reduction solutions, in addition to process, energy, environmental and financial expertise to meet custom requests. Its clients include many Fortune 500 and other leading multinational companies across a diversity of industries.
Thermal Energy’s technology focuses on drying and heat recovery and has been proven to deliver low emissions, energy savings of 10-30 per cent, significant returns with paybacks of one to five years, and lifespans of more than 15 years, all while improving operational consistency at lower maintenance costs than its competitors.
The company’s standout value proposition, propelled by the more than US$600 billion environmental technology market’s global tailwind, led it to post an 84 per cent YoY revenue increase in Fiscal Q4 with almost C$1 million in net income and C$21.4 million in its order backlog as of September 26.
CEO Bill Crossland spoke with our Ryan Dhillon about the company’s Q4 results.
Management is expecting a strong Fiscal 2024 backed by numerous active project development agreements expected to convert into orders, a growing business development pipeline, and net income figures over the past four years on the edge of consistent profitability.
Considering that Thermal Energy is practically glowing with promise, it’s no surprise that TMG shares have added 118.75 per cent over the past five years.
Click here to read Thermal Energy International’s latest investor presentation.
Mullen Group (TSX:MTL), one of Canada’s largest logistics providers, is essentially a more industrials focused Berkshire Hathaway.
The company holds 40 independently operated businesses focused on less-than-truckload, truckload, warehousing, logistics, transload, oversized, third-party logistics and specialized hauling transportation. Each of these businesses benefits from a central corporate office that offers capital and financial expertise, legal support, technology and systems support, as well as shared services and strategic planning, while allowing each brand to pursue its unique vision for growth.
Mullen also provides specialized services in the energy, mining, forestry and construction industries of Western Canada, including water management, fluid hauling and environmental reclamation, granting shareholders a diversified presence across essential industries.
A focus on acquisitions with long-term viability, a culture of continual improvement, and the greatness that can arise from a self-managed business has allowed Mullen to achieve profitability over the past 18 quarters, with growth in net income of more than 100 per cent between 2019 and 2022. The company’s steady annual revenue growth, capital allocation expertise, and presence in thousands of Canadian and U.S. communities as a distributor of essential goods bodes well for this profitability trend continuing long into the future.
Mullen Group stock (TSX:MTL) looks undervalued at a 9 per cent loss since 2018 and only a 6.72 per cent gain since 2009.
Senior Corporate Officer Joanna Scott recently joined Ryan Dhillon to speak about Mullin’s annual insights conference, where executives gather to discuss their near-term outlooks.
Click here to read Mullin Group’s latest investor presentation.
Our final pick for a stock to buy right now and hold forever is Marizyme (OTCQB:MRZM), a biomedical technology company focused on filling critical market gaps in coronary artery bypass graft (CABG) surgery, pet health and chronic kidney disease.
The company’s flagship DuraGraft product received FDA approval this week, making it the only intra-operative vascular conduit storage and flushing solution for CABG surgeries to hold this distinction. DuraGraft is also the only product available for this indication in Europe and numerous other countries.
Studies have shown that saphenous vein grafts treated with DuraGraft have reduced graft wall thickening compared to standard treatment after 12 months, as well as reduced long-term mortality three years after CABG surgery.
The approval positions Marizyme to help hundreds of thousands of patients in the more than US$16 billion global CABG procedures market, while meaningfully reducing coronary heart disease’s more than US$200 billion in economic costs per year, according to the CDC.
Judging by shares’ almost 40 per cent gain on the day, investors are optimistic about DuraGraft’s granted patents and pending applications in more than 30 countries, and Marizyme management’s ability to apply its extensive background in medical devices toward commercialization.
CEO David Barthel sat down with Brieanna McCutcheon to discuss the FDA approval and DuraGraph’s revenue potential, which is already bearing fruit overseas.
Despite today’s gains, Marizyme stock (OTCQB:MRZM) is down by approximately 80 per cent over the past year, leaving an ample margin of safety for high-conviction allocations.
Click here to visit Marizyme’s official website.
Join the discussion: Find out what everybody’s saying about these stocks to buy right now on the Thermal Energy International, Mullen Group and Marizyme Bullboards, and check out Stockhouse’s stock forums and message boards.
This is sponsored content issued on behalf of Thermal Energy International, Mullen Group and Marizyme, please see full disclaimer here.
The post Three stocks to buy right now and hold forever appeared first on The Market Herald Canada.