- Canadian small-cap stocks on the TSX are gaining momentum in 2025, driven by favourable economic conditions and investor interest.
- Docebo, WELL Health, and 5N Plus are standout companies with innovative models in eLearning, digital health, and specialty materials.
- StorageVault and CES Energy Solutions offer strong cash flow and growth potential in defensive and cyclical sectors.
- These hidden gems combine scalability, recurring revenue, and sector leadership—making them top picks for growth-focused investors.
Introduction
The TSX is often mined for content by mainstream investors, yet it’s still a treasure trove of innovative, agile, and high-growth companies.
As we head into the latter quarter of 2025, Canadian small-cap stocks are poised for a breakout, driven by improving macroeconomic conditions, increased M&A activity, and a renewed appetite for risk among retail and institutional investors.
This article highlights five hidden gems on the TSXV that show strong potential for growth in 2025. These companies span diverse sectors—from tech to healthcare to materials—and offer compelling narratives for investors seeking outsized returns.
This article is a journalistic opinion piece which has been written based on independent research. It is intended to inform investors and should not be taken as a recommendation or financial advice.
1. Docebo Inc. (TSX:DCBO)
Sector: Technology – eLearning
Market cap: C$1.2B
Docebo is revolutionizing corporate learning with its AI-powered Learning Management System (LMS). With clients like Amazon and Walmart, Docebo has proven scalability and global reach. The company continues to expand its product suite, including Docebo Shape and Docebo Flow, which enhance content creation and integration.
Why it’s a gem:
- Strong recurring revenue model
- Global enterprise adoption
- Positioned to benefit from the digital transformation of corporate training
Docebo Inc. stock (TSX:DCBO) has gained 13.51 per cent over the past three months.
2. WELL Health Technologies Corp. (TSX:WELL)
Sector: Healthcare – Digital Health
Market cap: C$1.2B
WELL Health is Canada’s leading digital health platform, offering telehealth, EMR services, and clinic operations. Its aggressive acquisition strategy and integration of AI into healthcare workflows make it a standout in the sector.
Why it’s a gem:
- Omnichannel healthcare model
- Growing U.S. footprint
- Resilient revenue growth despite macro headwinds
WELL Health Technologies Corp. stock (TSX:WELL) has gained 15.69 per cent over the past three months.
3. 5N Plus Inc. (TSX:VNP)
Sector: Materials – Specialty Metals
Market cap: C$1.3B
5N Plus is a global leader in specialty semiconductors and advanced materials used in solar, medical imaging, and aerospace. With a focus on high-margin products and solid partnerships, the company is transitioning from commodity-based to value-added solutions.
Why it’s a gem:
- Exposure to clean tech and space industries
- Improved margins and operational efficiency
- Strong ESG profile
5N Plus Inc. stock (TSX:VNP) has gained 87.27 per cent over the past three months.
4. StorageVault Canada Inc. (TSX:SVI)
Sector: Real Estate – Self-Storage
Market cap: C$1.7B
StorageVault operates over 200 storage locations across Canada and is consolidating a fragmented industry. With high occupancy rates and recurring revenue, it’s a defensive play with growth upside.
Why it’s a gem:
- Asset-heavy model with strong cash flow
- Fragmented market ripe for consolidation
- Inflation-resistant business model
StorageVault Canada Inc. stock (TSX:SVI) has gained 11.48 per cent over the past three months.
5. CES Energy Solutions Corp. (TSX:CEU)
Sector: Energy Services
Market cap: C$1.8B
CES provides consumable chemical solutions to the oil and gas industry. Despite being in a cyclical sector, CES has built a resilient business with recurring revenue and strong client retention.
Why it’s a gem:
- Asset-light model with high margins
- Exposure to North American energy rebound
- Strong balance sheet and dividend potential
CES Energy Solutions Corp. stock (TSX:CEU) has gained 31.75 per cent over the past three months.
Investor’s corner
Canadian small-cap stocks offer a unique blend of innovation, agility, and growth potential. While they come with higher volatility, the upside can be substantial for investors who do their homework. The five companies highlighted here are in a stable position to capitalize on sector trends and macroeconomic tailwinds in 2025.
Whether you’re a seasoned investor or just starting out, keeping an eye on these hidden gems could be your ticket to outsized returns in the year ahead.
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