2 TSX Stocks That Could Be Overdue for a January Jump

January has been quite a choppy month for new investors, with explosive moves made in both directions. Of course, volatility levels were intensified amid a drastic rise in geopolitical tensions. But investors panicked over the steep ups and downs shouldn’t yet think about bailing on stocks, even if valuations are a tad on the stretched side.

With the AI trade still in play and a number of TSX stocks that are still looking cheap despite their past year of gains, perhaps it’s time to add on strength rather than ring the register if you’ve already got way too much cash sitting on the sidelines. If you’re light on cash and can’t handle a 10% drawdown in the broad markets, though, definitely do consider taking some profits off the table, preferably with some of the names you deem as overpriced.

In this piece, we’ll look at two impressive stocks that might be poised to end the month of January with even more strength.

Agnico Eagle Mines

Shares of the $142 billion gold miner Agnico Eagle Mines (TSX:AEM) are already hitting the ground running, with a 22% gain in the books for 2026 already. Undoubtedly, the geopolitical tensions and the selling of the U.S. dollar have really added extra shine to the price of gold. And while it’s really hard to tell how high the asset can fly, I think that the shiny metal is proving itself as one of those must-have hedges against the unknown.

If you fear the Greenland situation and the impact on the U.S. dollar, perhaps gold is the new asset to stick with for the long haul. Either way, the miners look poised to keep cashing in on the gold rally as prices look to flirt with US$5,000 per ounce. I certainly think the stage is set for a run to such levels. Either way, AEM stock is a great buy at less than 30 times trailing price to earnings (P/E).

You’re getting one of the biggest winners in precious metals, and with enough drivers in place to power more momentum, I certainly wouldn’t want to stand in the way of the name as it looks to test the $300 per-share range. Sure, the stock may be up 326% in two short years, but the momentum might not reverse course anytime soon, especially if the geopolitical tensions soar further from here.

Royal Bank of Canada

Shares of Royal Bank of Canada (TSX:RY) seem to be worth sticking with, even if the multiple (16.5 times trailing P/E) leaves a lot to be desired. With a sub-3% dividend yield and a lot of heat running behind the stock, it feels like it’s time to hit that sell button. Still, with RBC CEO saying things like he’s “more excited” about Canada’s growth potential, I think it’s time to stick with the big bank as earnings look to march higher.

Though there are higher yields and lower multiples elsewhere in the banking scene, I must say that it’s hard to go wrong with shares of RY, especially in an environment where premium management could be key to further gains as the Canadian economy looks to heat up.

The post 2 TSX Stocks That Could Be Overdue for a January Jump appeared first on The Motley Fool Canada.

Should you invest $1,000 in Agnico Eagle Mines right now?

Before you buy stock in Agnico Eagle Mines, consider this:

The Motley Fool Canada team has identified what they believe are the top 10 TSX stocks for 2026… and Agnico Eagle Mines 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

• 7 Top-Tier Canadian Stocks That Just Bumped Up Dividends (Again!)
• 3 Top Canadian Stocks to Add to Your TFSA
• Want 20 Years of Passive Income? Start With These 2 Canadian Dividend Stocks
• Get Set for Success: My Top 2 Canadian Stock Picks for 2026
• Outlook for Agnico Eagle Mines Stock in 2026

Fool contributor Joey Frenette has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.