- Some TSXV stocks can garner significant returns in the short run.
- In the right market conditions, they can also become major players in their respective fields in future.
- IFOS stock gained by about 261 per cent year-over-year.
Some TSXV stocks can garner significant returns in the short run. In the right market conditions, they can also become major players in their respective fields in future, making them a healthy option to hold for the long term.
The TMX Group, for one, maintains a “Rising Stars” stocklist dedicated to emerging companies listed on the TSX Venture Exchange (TSXV) which have outperformed the market with the largest price gains (by dollar value) over the past three months.
Looking at the S&P/ TSX Venture Composite Index, which lost over 36 per cent year-to-date (YTD), many may want to play safe. However, investors with high-risk levels can explore the following five TSXV stocks.
1. Itafos Inc (TSXV: IFOS)
Fertilizer manufacturer Itafos saw its stock gain by about 261 per cent year-over-year (YoY). The fertilizer stock seems to have benefitted from supply disruptions in the global market, which caused fertilizer prices to surge higher.
IFOS stock recorded a new 52-week high of C$ 3.94 on April 11. According to data from Refinitiv, Itafos’s Relative Strength Index (RSI) value was at 43.07 as of May 9.
The Canadian fertilizer company expects its net profit to grow to US$ 65 to US$ 95 million in fiscal 2022. The agriculture company also expects to generate a free cash flow of US$ 135 million to US$ 16 million this year.
2. Arizona Metals Corp (TSXV: AMC)
Arizona Metals commenced central target drilling at its Kay Mine site upon receiving approval from the Bureau of Land Management (BLM) on April 26. In addition, the gold-copper explorer also increased its working capital to C$ 65 million through warrant exercises.
AMC stock shot up by over 80 per cent in the past one year and was about 25 per cent down from its 52-week high of C$ 6.98 (March 4).
3. Uranium Royalty Corp (TSXV: URC)
The firm purchased a one per cent GRR interest in the Lance Uranium project in April.
URC stock spiked by nearly 16 per cent in nine months, and as per Refinitiv findings, its RSI value was at C$ 28.78 as of writing.
4. IsoEnergy Ltd (TSXV: ISO)
IsoEnergy Ltd announced its 2022 exploration update for Larocque East (wholly owned), Geiger, Hawk and Ranger projects. ISO stock climbed over 46 per cent in the previous nine months. The uranium stock was down by nearly 51 per cent from a 52-week high of C$ 6.61 (September 15, 2021).
The stock recorded a price-to-book (P/B) ratio of 6.151 and a D/E ratio of 0.45.
1. Los Andes Copper Ltd (TSXV: LA)
The enterprise has a full ownership interest in the Vizcachitas Copper Project. The junior copper miner held a debt-to-equity (D/E) ratio of 0.06.
LA stock galloped by over 104 per cent in nine months and reached a 52-week high of 17.73 on March 11. As per Refinitiv data, LA stock had an RSI value of 45.86 at the time of writing this.
These TSXV stocks could grow considerably and become significant if market dynamics favour them. Investors can explore these TSXV stocks for the short term and long term, depending on their suitability and thorough stock analysis.
Please note, the above content constitutes a very preliminary observation based on the industry, and is of limited scope without any in-depth fundamental valuation or technical analysis. Any interest in stocks or sectors should be thoroughly evaluated taking into consideration the associated risks.