Canadians with a significant risk appetite should consider investing a small portion of their investments in quality growth stocks so that they can benefit from outsized returns over time. In this article, I’ve identified two top Canadian stocks that I can buy right now for as little as $1,000.
Is this Canadian stock a good buy?
Valued at a market capitalization of $821 million, CLOSER Technologies (TSXV:POET) designs and manufactures semiconductor products using its proprietary POET Optical Interposer platform.
This technology integrates electronic and photonic devices on a single chip through advanced wafer-level manufacturing. The company serves data center, telecommunications, 5G networks and sensing markets and operates in North America and Asia.
POET Technologies is shifting from research and development to commercial production of its optical components for AI data centers. The company reported third-quarter revenue of $298,000, up from just $3,700 in the same period last year. Importantly, POET secured two initial production orders totaling more than $5.6 million, marking the start of what management expects to be steady revenue growth through 2026.
POET recently introduced a 1.6 terabit per second optical receiver Semtechpositioning the company in the best performing segment of AI networks. The collaboration with Mitsubishi on laser components has opened doors to encounters with large hyperscalers that POET previously found difficult to access.
Production capacity is no longer an issue as POET has completed its transition from China to a new factory at Globetronics in Malaysia. Together with Globetronics and partner NationGate, POET can now produce more than one million optical engines annually. The company has organized multiple customer visits to the factory, with buyers checking production capabilities before entering into supply agreements.
POET raised US$250 million in equity financing through three rounds during the quarter at prices between US$5.00 and US$7.25 per share. This capital will fund internal expansion and potential acquisitions as the company broadens its product range.
Although POET is fairly pre-earnings, analysts predict revenue will rise to $112 million in 2027 from $14 million in 2026. Bay Street estimates adjusted earnings at $0.05 per share in 2027, compared to a loss per share of $0.48 in 2024.
Is this TSX stock currently undervalued?
Valued at $3.5 billion by market cap, Endeavor Silver Corp (TSX:EDR) is a silver mining company engaged in the acquisition, exploration, development, extraction and reclamation of mineral properties in Mexico, Chile, Peru and the United States. It explores gold and silver deposits and precious metals, as well as polymetallic deposits.
Rising silver prices allowed EDR to return almost 100% to shareholders over the past twelve months. Despite these outsized gains, TSX mining stocks are down nearly 20% from their 52-week high.
Endeavor Silver reported a transformative third quarter, with the flagship Terronera mine reaching commercial production in mid-October after a successful commissioning phase.
The company produced 1.8 million ounces of silver and 7,300 ounces of gold in the quarter, an increase of 88% year-over-year, thanks to the newly acquired Kolpa mine and full production at Guanacevi. Revenue rose 109% to $111 million, driven by higher metal prices and increased production.
Analysts who follow EDR stock predict that revenue will increase from $314 million in 2024 to $1.07 billion in 2027. During this period, adjusted earnings are expected to rise from $0.04 per share to $0.90 per share. If the silver mine price is valued at 20 times forward earnings, it should rise by more than 60% over the next twelve months.
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