Investing in the stock market can be daunting for beginners, but selecting the right stocks can pave the way for long-term wealth creation and financial success. With the aim of minimizing risks while maximizing growth potential, it's crucial for novice investors to focus on companies with solid underlying businesses and promising growth prospects. Here are three top Canadian stocks ideal for beginners to consider in 2024:


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1. Waste Connections (TSX:WCN)

Waste Connections (TSX:WCN) operates as a leading provider of waste management solutions in the United States and Canada. With a strategic focus on secondary and exclusive markets, the company enjoys less competition, positioning it for sustained growth. Over the past decade, Waste Connections has delivered impressive returns, with its stock surging by over 550% at a compound annual growth rate (CAGR) of 20.8%.


The company's recent acquisition of 30 waste treatment and disposal facilities underscores its commitment to expansion and growth. With an optimistic outlook for 2024, Waste Connections anticipates a 13% increase in adjusted EBITDA and a 120 basis points expansion in adjusted EBITDA margin. Given its essential business nature and robust growth projections, Waste Connections presents an excellent entry point for beginners.

2. Dollarama (TSX:DOL)

Dollarama stands out as a discounted retailer offering a wide range of consumer products at compelling prices. Leveraging its superior direct sourcing capabilities and efficient logistics, TSX:DOL has consistently delivered solid same-store sales performance. With an impressive track record of revenue and net income growth, Dollarama has returned over 635% in the last decade at a CAGR of 22.1%.


The company's expansion plans, including the addition of over 500 stores in the next seven years and the growth potential of its subsidiary, Dollarcity, further enhance its appeal. Despite its relatively high valuation, Dollarama's solid underlying business and promising growth trajectory make it an attractive investment option for beginners.

3. Fortis (TSX:FTS)

Fortis operates as a leading utility company, serving millions of customers with electric and natural gas services. With a focus on stable and predictable assets, TSX:FTS has consistently delivered value to shareholders, boasting an average annual total shareholder return of 10.7% over the past two decades. The company's impressive dividend track record, with uninterrupted dividend increases for the last 50 years, underscores its commitment to shareholder value.


Fortis's planned investments of approximately $25 billion from 2024 to 2028 in low-risk assets are expected to fuel its rate base growth, supporting its dividend growth objectives. With an attractive forward yield of 4.37% and an appealing valuation, Fortis emerges as an ideal choice for beginners looking to build a resilient investment portfolio.


In conclusion, Waste Connections, Dollarama, and Fortis offer beginners the opportunity to invest in companies with solid fundamentals and promising growth prospects. By strategically incorporating these stocks into their portfolios, novice investors can lay the foundation for long-term financial success and wealth creation.