Having $40,000 in Tax-Free Financial savings Account (TFSA) money to spend money on 2025 is a fairly thrilling scenario to be in. With markets nonetheless discovering their footing after a uneven yr, there’s a window right here to scoop up some robust shares at affordable costs. And since your TFSA shelters any beneficial properties from taxes, the long-term payoff will be even sweeter. If it had been my $40,000, I’d divide it between three strong TSX shares. These are Whitecap Sources (TSX:WCP), Nutrien (TSX:NTR), and TFI Worldwide (TSX:TFII). Every supply one thing totally different, from earnings to progress to international publicity.
WCP
Whitecap Sources is an oil and gasoline producer that has made main strikes in the previous few years to develop its asset base whereas changing into extra shareholder-friendly. It’s one of many few power firms that not solely pays a excessive dividend, but additionally actively repurchases shares. That’s excellent news for traders targeted on worth and earnings. As of Could 2025, Whitecap is buying and selling round $8.75 per share with a dividend yield at 8.4%. The corporate’s manufacturing is diversified throughout Alberta and Saskatchewan, and it stays worthwhile even in a reasonable oil value setting.
In its most up-to-date earnings report for the fourth quarter of 2024, Whitecap posted funds movement of $363 million and manufacturing of over 160,000 barrels of oil equal per day. Internet earnings got here in at $181 million. It additionally accomplished its $15-billion merger with Veren, increasing its footprint and including synergies that might unlock extra effectivity going ahead. Regardless of the robust numbers, the inventory remains to be buying and selling at a reduction to friends, probably due to broader weak spot in power shares.
Nutrien
Subsequent up is Nutrien, a worldwide fertilizer large and a key participant within the agriculture provide chain. Whereas the final couple of years have been rocky because of fluctuating potash and nitrogen costs, the long-term thesis stays robust. We have to feed a rising inhabitants, and Nutrien is likely one of the best-positioned firms to provide farmers all over the world with the instruments to just do that.
Nutrien lately reported first-quarter 2025 earnings that got here in a bit softer than analysts hoped. Adjusted earnings had been $0.11 per share versus the anticipated $0.31. However the firm maintained its full-year steerage and pointed to enhancing fundamentals for the remainder of the yr. It sees international potash demand hitting between 71 and 75 million tonnes, with tight provide from Russia and Belarus probably holding costs elevated. Nutrien’s retail community, particularly within the U.S., additionally continues to ship secure income and margins.
TFI
Lastly, TFI Worldwide rounds out this trio. This can be a delivery and logistics powerhouse with a giant presence in each Canada and the USA. TFI has been on a tear over the previous decade, gobbling up smaller gamers and increasing into key verticals like truckload and less-than-truckload freight. And whereas its share value has pulled again barely from 2024 highs, it’s nonetheless a constant performer.
TFI lately reported fourth-quarter 2024 earnings of $88.1 million, or $1.03 per share, on $2.1 billion in income. The corporate missed a bit on earnings, but it surely stays worthwhile, well-capitalized, and continues to return money to shareholders by way of dividends and buybacks. It’s additionally shifting its company registration to the U.S., which can assist it faucet into extra American capital and investor consideration over time.
Silly takeaway
So, how would I break up the $40,000? I’d go $10,000 into Whitecap for regular earnings and publicity to power, $15,000 into Nutrien for agriculture-linked progress and an inexpensive dividend, and $15,000 into TFI for long-term logistics upside. Collectively, these three shares may present critical dividends, all protected against tax inside your TFSA. That’s not dangerous for a portfolio that additionally offers you publicity to among the largest drivers of the Canadian financial system.
