They’re not your typical growth stocks, but these two could have explosive upside in 2026

Finding non-traditional ways to play long-term trends is one of the games I like to play. Stories around certain stocks can build up over a long period of time. Investors may view one company as purely an income or value play, while others are purely growth stocks. In certain cases this may be true.

That said, these two companies are, in my opinion, companies that need to think outside the predefined box. This is why I think these two Canadian companies could have explosive upside in the coming year, despite what many in the financial media say.

Restaurant brands

I usually play Restaurant brands (TSX:QSR) as one of my top defensive picks in the market, and that opinion still holds true. This company’s extensive portfolio of fast food banners protects the company from market downturns, with the brand still having growth potential in down markets as consumers trade less.

However, I would argue that given the current situation for 2026, Restaurant Brands has the potential to be a significant outperformer in the market. This is partly due to the company’s international expansion into Asia and strong growth in these core markets. Additionally, same-store sales have improved at some of the company’s underperforming banners in recent quarters. I expect this trend to continue in 2026.

With a solid 3.5% dividend yield, a robust balance sheet, and solid growth prospects, I wouldn’t be surprised to see a high-teens return for QSR stock in 2026. At least that’s my base case for now.

Enbridge

Another company I typically discuss in the context of its high yield as a top dividend stock to buy now is Enbridge (TSX:ENB). The company’s yield of 5.8% is among the best among Canadian large-cap stocks and positions it well for continued capital inflows from income-hungry investors.

That said, with the change of political guard in both Canada and the US, the likelihood of approval of pipeline expansion projects (or new pipelines) has changed dramatically. In this environment, I believe Enbridge’s extensive network of already constructed pipelines will position the company well for any future contracts.

I think 2026 could be a big year on this front, and we’ll ultimately have to see what’s announced. But from my perspective, this is a stock with the kind of durability and near-term upside potential that’s worth a look, especially considering this company currently trades at just 20 times forward earnings.