In a well -diversified portfolio, it is essential to have exposure to shares with a higher risk with a major advantage. Although their place in a portfolio must be limited to less than 10%, the exact weighting depends on your age and risk tolerance, exposure to these shares provides exposure to large, life -changing returns.
In this article I want to discuss two TSX shares with a higher risk, higher reward profiles. This is why I think you should consider adding them to your portfolio.
Blackberry: a TSX stock with threatening growth grips and catalysts
The first TSX stock is Blackberry Ltd. (TSX: BB). While the Blackberry shares have been under $ 10 for many years, things are brewing below the surface. And recent results are starting to make up for the promise that I have always seen in the company.
Blackberry’s recently reported quarter (Q1, Fiscal 2026), for example, beat the expectations of both sales and profit lines. The turnover amounted to $ 121.7 million and the profit per share (EPS) was $ 0.02. Compared to a loss of 0.03 in the same quarter last year compared to a loss of 0.03. It is also compared to expectations for a profit per share of $ 0.00.
So what drives this? Well, an important part of the story is BlackBerry’s drive to lower costs and increasing efficiency. Last year, management actually reduced the costs by $ 150 million in his search to streamline the company and format the judge.
Nowadays BlackBerry has a very solid balance, is generating money and is profitable. As far as the balance is concerned, the debt-to-total capitalization ratio of Blackberry is only 21%. In terms of generated cash, cash of activities was $ 11 million. These are milestones that investors like me, who believed in Blackberry’s potential, have waited a long time.
Looking ahead, the QNX company of Blackberry is confronted with strong growth pie winds. The future of the connected car is here and Blackberry is at the front and in this revolution. The backlog for his QNX company is $ 865 million, a clear signal of growth we can expect. In 2025, the total turnover of the company was $ 535,000.
Peyto Exploration: a TSX share that benefits from a steadily increasing demand
The other shares that I think has a considerable upward potential is Peyto -Exploration and Development (TSX: Pey). Peyto is one of the greatest natural gas producers in Canada, with long service life, cheap reserves and a diversified set of markets and customers.
Peyto is a natural gas producer and as such it is highly exposed to the prices of natural. As you know, the raw material prices can be very volatile. Nevertheless, Peyto has done impressive work to keep the cash costs low, to keep the cash flow up and the margins high.
In the scenario where natural gas and raw material prices are large, Peyto shares has a very considerable advantage. And this scenario is probably in my opinion, because an analysis of the long -term prospects for the natural gas market is quite positive. In short, natural gas is popular as a replacement for coal in the electrification movement and on the markets for liquid natural gas (LNG).
Peyto is currently being traded on a price-to-cash flow multiple of 5.1 times, and the dividend yield is a very generous 7.22%. In my opinion, the shares are very undervalued in view of the strong outlook and the excellent operational and financial management record of the company.
The Bottom Line
The two TSX shares that I have touched in this article are both extremely good, and they are confronted with strong basic principles, both in their respective industries and in their company-specific outlook.
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