2 Growth Stocks Set to Soar Higher in 2026

Growth stocks typically grow their revenues and earnings faster than the industry average, enabling them to deliver superior returns. Given this higher return potential, investors are often willing to pay a premium, thereby driving up valuations. However, due to their relatively expensive valuations and the evolving nature of their businesses, these companies tend to carry higher risk. As a result, growth stocks are better suited for investors with a higher risk appetite who can hold them in anticipation of outsized returns.

Meanwhile, Canadian equity markets staged a strong rebound last week, with the S&P/TSX Composite Index rising 1.7%. A recovery in metal prices and the unemployment rate hitting a 16-month low in January appear to have boosted investor sentiment, pushing equities higher. Against this backdrop, let’s look at two top growth stocks that have the potential to deliver superior returns this year.

Celestica

Celestica (TSX:CLS) is one of the top growth stocks I remain bullish on, supported by its strong fourth-quarter performance and improving long-term growth outlook. In the recently reported quarter, the company’s revenue surged 44% year over year to $3.7 billion, comfortably exceeding management’s guidance range of $3.325–$3.575 billion. Robust demand for its Hardware Platform Solutions drove the Connectivity & Cloud Solutions (CCS) segment’s revenue up 64% to $2.9 billion. Meanwhile, the revenue from the Advanced Technology Solutions (ATS) segment declined marginally by 1% to $0.80 billion, offsetting some of the growth.

In addition to solid topline growth, margin expansion further boosted profitability. Celestica’s operating margin improved from 6.8% to 7.7%, while adjusted earnings per share (EPS) jumped 70.3% year over year to $1.89, surpassing management’s guidance of $1.65–$1.81. Encouraged by this strong execution and sustained demand momentum, management raised its 2026 revenue guidance from $16 billion to $17 billion and lifted its adjusted EPS outlook from $8.20 to $8.75.

Looking ahead, the shift from artificial intelligence (AI) pilot projects to full-scale deployment across core business operations is accelerating demand for advanced computing infrastructure. Hyperscalers have announced aggressive capital investments to expand data centre capacity, a trend that should meaningfully benefit Celestica’s products and services. Combined with its focus on developing innovative, higher-value solutions, the company appears well-positioned to capture this growth.

Despite these positives, Celestica’s stock is still trading at more than an 18% discount to its 52-week high, making it an attractive buying opportunity for growth-oriented investors.

5N Plus

Another growth stock I expect to outperform this year is 5N Plus (TSX:VNP), a producer of specialty semiconductors and performance materials that serve several high-growth end markets, including semiconductors and solar energy. The AI boom is accelerating semiconductor industry growth, unlocking attractive long-term opportunities for the company.

Adding to its growth prospects, 5N Plus recently secured a US$18.1 million grant from the U.S. government to scale its germanium recycling and refining capabilities using industrial residues and mining by-products. This funding could strengthen optics and solar germanium crystal supply chains in the United States, while enhancing the company’s ability to meet rising demand for germanium-based applications across advanced technologies.

Furthermore, 5N Plus plans to enhance the manufacturing capabilities of its subsidiary, AZUR SPACE Solar Power GmbH, which could increase solar cell production capacity by approximately 25% this year. Combined with its global sourcing network and well-established manufacturing footprint, these initiatives provide the company with a meaningful competitive advantage over its peers.

Considering these growth drivers and strategic investments, I believe 5N Plus is well-positioned to deliver solid returns and represents an attractive buying opportunity at current levels.

The post 2 Growth Stocks Set to Soar Higher in 2026 appeared first on The Motley Fool Canada.

Should you invest $1,000 in Celestica Inc. right now?

Before you buy stock in Celestica Inc., consider this:

The Motley Fool Canada team has identified what they believe are the top 10 TSX stocks for 2026… and Celestica Inc. 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 $21,827.88!*

Now, it’s worth noting Stock Advisor Canada’s total average return is 102%* – a market-crushing outperformance compared to 81%* 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 January 15th, 2026

More reading

• Where to Invest Your TFSA Contribution for Maximum Growth
• The 3 Stocks I’d Buy and Hold Into 2026
• Market on Fire: How to Invest When the TSX Refuses to Slow Down
• Top Canadian Stocks to Buy Right Away With $5,000
• Step Aside, Nvidia: This AI Stock is the Real Deal for Canadians in the Know

Fool contributor Rajiv Nanjapla has no position in any of the stocks mentioned. The Motley Fool recommends Celestica. The Motley Fool has a disclosure policy.