The Absolute Best Canadian Stocks to Buy and Hold Forever in a TFSA

Building wealth over time can feel like a slow, uncertain climb – especially when markets swing and headlines shift very quickly. But for Canadian investors, the Tax-Free Savings Account (TFSA) quietly changes the game as it offers the ability to grow investments without worrying about taxes eating into their gains.

This way, you don’t need to take huge risks or be a market expert. Because when you buy a great company, you’re becoming a part-owner – and that’s where real wealth is created. In this article, I’ll highlight two of the best Canadian stocks with strong business models, consistent profitability, and a history of rewarding TFSA investors.

Loblaw stock

Loblaw Companies (TSX:L) is far more than just a grocery chain. It’s a diversified retail powerhouse with operations spanning grocery, pharmacy, health and beauty, apparel, financial services, and wireless services.

The stock currently trades at $63.09 per share with a market cap of $73.8 billion. Over the past year, it has delivered a solid 28% return. It also pays a quarterly dividend with an annual yield of 0.9%.

Despite macroeconomic and geopolitical uncertainties, Loblaw continues to focus on strong execution. In its latest earnings report, the company posted a 10.9% YoY (year-over-year) increase in its adjusted earnings per share. Meanwhile, its revenue rose more than 11% from a year ago to $16.4 billion, driven mainly by growth in both food and drug retail segments.

At the same time, its e-commerce sales climbed nearly 20% YoY, showing its continued push into digital. The company is also expanding its store network and investing in automation to improve efficiency.

Loblaw is making strategic moves for the future as well, including the sale of PC Financial to EQB, which will streamline its operations and strengthen its partnership with the PC Optimum program. Overall, its focus on sustainability and operational efficiency further supports its long-term outlook.

Mullen Group stock

Mullen Group (TSX:MTL) may not be as widely known, but it plays an important role in North America’s transportation and logistics industry. The company provides services such as less-than-truckload shipping, warehousing, specialized transportation, and environmental solutions.

MTL stock currently trades at $16.75 per share with a market cap of $1.6 billion and has gained 29.8% over the past year. One of its biggest attractions is its dividend. Mullen pays a monthly dividend with a 5% yield.

In the fourth quarter, Mullen reported revenue of $533.8 million. However, its operating profit before depreciation and amortization (OIBDA) declined to $73.4 million, due mainly to weakness in its Specialized & Industrial Services segment.

That said, the company has been actively offsetting these pressures through acquisitions like Cole International and Pacific Northwest Moving, which have supported its revenue growth.

Going forward, Mullen is focused on expanding its services, improving efficiency, and benefiting from long-term demand for logistics. Its diversified operations help provide stability, even in a cyclical industry.

Given these solid fundamentals, these stocks could be solid long-term options for TFSA investors looking to build wealth over time.

The post The Absolute Best Canadian Stocks to Buy and Hold Forever in a TFSA appeared first on The Motley Fool Canada.

Should you invest $1,000 in Loblaw Companies Limited right now?

Before you buy stock in Loblaw Companies Limited, consider this:

The Motley Fool Canada team has identified what they believe are the top 10 TSX stocks for 2026… and Loblaw Companies Limited wasn’t one of them. The 10 stocks that made the cut could potentially produce monster returns in the coming years.

Consider MercadoLibre, which we first recommended on January 8, 2014 … if you invested $1,000 in the “eBay of Latin America” at the time of our recommendation, you’d have over $16,000!*

Now, it’s worth noting Stock Advisor Canada’s total average return is 87%* – a market-crushing outperformance compared to 76%* for the S&P/TSX Composite Index. Don’t miss out on our top 10 stocks, available when you join our mailing list!

Get the 10 stocks instantly #start_btn6 { background: #0e6d04 none repeat scroll 0 0; color: #fff; font-size: 1.2em; font-family: 'Montserrat', sans-serif; font-weight: 600; height: auto; line-height: 1.2em; margin: 30px 0; max-width: 350px; text-align: center; width: auto; box-shadow: 0 1px 0 rgba(0, 0, 0, 0.5), 0 1px 0 #fff inset, 0 0 2px rgba(0, 0, 0, 0.2); border-radius: 5px; } #start_btn6 a { color: #fff; display: block; padding: 20px; padding-right:1em; padding-left:1em; } #start_btn6 a:hover { background: #FFE300 none repeat scroll 0 0; color: #000; } @media (max-width: 480px) { div#start_btn6 { font-size:1.1em; max-width: 320px;} } margin_bottom_5 { margin-bottom:5px; } margin_top_10 { margin-top:10px; }

* Returns as of March 24th, 2026

More reading

• How Much Canadians Typically Have in a TFSA by Age 55
• 2 Brilliant Growth Stocks to Buy Now and Hold for the Long Term
• Invest $30,000 in 3 Stocks for $1,350 in Passive Income
• Oil Prices Are Rewriting Canada’s Inflation Outlook: Here’s How to Adjust Your Portfolio
• 4 Canadian Stocks That Look Strong Even in a Slow-Growth World

Fool contributor Jitendra Parashar has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Mullen Group. The Motley Fool recommends EQB. The Motley Fool has a disclosure policy.