Two Canadian stocks will soar in 2026

Canadian stocks may look a little sleepy at the end of December, but January will make it feel like three cups of coffee have been had. That’s why ‘ready to soar’ is important. It usually means that a company has a clear growth engine, a catalyst that investors can actually point to in 2026, and enough financial strength to keep moving even as the economy falters. It also means that the valuation still leaves room for good news. When all the optimism is already in the stock price, the rise turns into a shrug. And right now, it seems ready to start over with these two Canadian stocks.

TOI

Topicus.com (TSXV:TOI) is in the quiet camp. It buys and runs software companies in the vertical market, mainly across Europe, and keeps the playbook simple. That is to own niche products, retain customers and reinvest money in more deals. The market likes this model when it is confident, and becomes impatient when growth stocks go out of fashion. Right now, Topicus looks like a classic “strong business, choppy chart” setup.

That graph was a bit of a rollercoaster. Over the past year, the shares are up about 3%, but they’re still down significantly, 28%, over the past six months. Those types of moves usually reflect sentiment more than fundamentals, and can create opportunities if the company continues to move forward.

On the earnings side, Topicus showed the kind of growth that’s hard to ignore. In its Q3 2025 release, it reported revenues of €387.9 million, up 24% year-on-year, and also reported operating cash flow of €48.4 million. The overall net income looked messy as a large net loss was recorded related to an associated accounting rule. This can confuse investors who only look at earnings per share (EPS). The most useful conclusion is that the engine is still running and management still has sufficient leverage to implement acquisitions and disciplined reinvestments.

WSP

WSP worldwide (TSX:WSP) feels like the other side of the 2026 wave story: less “hidden gem,” more “momentum machine.” It sells technical and professional services in the areas of infrastructure, environment, buildings and energy. It tends to benefit when governments and corporations spend money on large, unavoidable projects. And it has built scale through acquisitions, which is great because large customers want one company that can handle complex work across geographies.

In the third quarter of 2025, WSP reported revenues of $4.53 billion and net income of $3.46 billion, while adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) were $700.4 million, with a margin of 20.2%. Adjusted earnings were $2.82 per share, free cash flow was $314.9 million and backlog was $16.4 billion. That mix of margin expansion, cash generation and a large backlog typically indicates a company that can continue to grow even as parts of the economy slow down.

The catalyst for 2026 looks simple: deal-driven growth in areas where demand continues to rise. In mid-December 2025, WSP agreed to purchase TRC Companies in a $3.3 billion all-cash deal, with a target closing in the first quarter of 2026. The reason for this was related to rising data center power demand and associated load growth. In terms of valuation, it doesn’t look ‘cheap’ as it trades at 38 times earnings. The risk is execution risk, because integration, debt discipline and any surprise could slow customer spending, especially if financing conditions tighten.

In short

Put these two stocks together and the idea of ​​a ‘wave to 2026’ finds real balance. Topicus offers the classic rebound setup of a strong business model, solid growth, and a stock price that has already cooled from its peak. WSP offers the momentum building with strong results, a large backlog and a very clear catalyst for 2026 from sector demand and acquisitions. Neither stock is a guarantee, but both have a credible path to outperform if 2026 rewards execution over hype.