Inside a Tax-Free Savings Account (TFSA), growth stocks can combine long-term capital appreciation with tax-free compounding. Three Canadian names—Savaria, Dollarama, and Celestica—offer exposure to aging demographics, discount retail expansion, and AI-driven data centre infrastructure. Their growth trajectories are clear, but they are best suited to investors with higher risk tolerance and longer time horizons.
Savaria (TSX: SIS), which provides accessibility and mobility solutions, reported a revenue increase of 8.4% in its latest quarter, driven by organic growth and recent acquisitions. Expanding gross margins and improved operating efficiency helped adjusted earnings per share rise 20.7% to C$0.35. The balance sheet also strengthened: net debt declined from C$191.5 million to C$172.8 million, and the net debt-to-adjusted EBITDA ratio improved from 1.03 at the start of the year to 0.87. Available liquidity stood at C$333.4 million at quarter-end.
An aging global population is expanding the addressable market for accessibility and mobility solutions. A diversified manufacturing footprint provides flexibility amid shifting geopolitical conditions, while product innovation and strategic acquisitions could widen market reach. Management expects revenue to grow at a 12% compound annual growth rate, reaching C$1.6 billion by 2030, with adjusted EBITDA margin above 20%. Savaria also pays a monthly dividend, with a forward yield of 1.9%.
Dollarama (TSX: DOL) operates 1,712 stores in Canada and 410 in Australia. Its direct-sourcing model and well-established logistics network help keep costs low, allowing the company to offer a broad range of products at attractive price points. That value-focused model has supported resilient same-store sales despite challenging macroeconomic conditions. The retailer plans to expand to 2,200 stores in Canada and 700 in Australia by the end of fiscal 2034. It also holds a 60.1% stake in Dollarcity, which operates 652 stores across five Latin American countries and plans to expand to 1,100 locations by the end of fiscal 2031. Dollarama has an option to increase its Dollarcity stake to 70%, leaving ample long-term growth potential.
Celestica (TSX: CLS) provides data centre infrastructure and advanced technology solutions. Broader adoption of AI by businesses, governments, and individuals is pushing hyperscalers to expand AI-ready data centre infrastructure, creating long-term growth opportunities. Following second-quarter results, Celestica raised its 2026 guidance and now expects revenue and adjusted earnings per share to grow approximately 65% and 87% year over year, respectively. Management expects growth to accelerate further in 2027 as demand visibility improves.
The three companies track different long-term trends. Within a TFSA, tax-free compounding can amplify returns from growth stocks, though their elevated volatility makes them more appropriate for long-term holders.
