Investing in basically sturdy development shares that commerce at an inexpensive valuation is a confirmed technique to generate outsized good points over time. On this article, I’ve recognized two beaten-down TSX shares Canadian traders ought to contemplate shopping for with $5,000 proper now.
Is that this healthcare inventory an excellent purchase?
Valued at a market cap of $234 million, Profound Medical (TSX:PRN) is a commercial-stage medical gadget firm that develops and markets incision-free therapeutic techniques for the image-guided ablation of diseased tissue in Canada, Germany, america, and Finland.
In Q1 2025, Profound Medica reported income of $2.6 million, a rise of 82% yr over yr, pushed by sturdy adoption of its TULSA-PRO prostate remedy expertise.
Profound achieved a serious milestone with optimistic knowledge from the CAPTAIN trial, the primary randomized managed research evaluating TULSA-PRO to robotic radical prostatectomy. Outcomes confirmed TULSA sufferers skilled zero blood loss, no in a single day hospital stays, and statistically considerably much less ache in the course of the first week post-treatment. Sufferers recovered two weeks quicker than these present process conventional surgical procedure.
Profound launched its TULSA AI quantity discount module for benign prostatic hyperplasia (BPH), focusing on 60–90 minute procedures no matter prostate dimension. The module launches in restricted launch in June, with full deployment deliberate for This fall 2025.
The brand new turnkey TULSA-PLUS program combines MRI tools with TULSA expertise, making adoption possible for practices requiring solely two procedures weekly to justify prices. With Degree 7 Medicare reimbursement efficient January 2025, administration maintains confidence in reaching 70–75% income development for the complete yr.
Analysts monitoring the TSX inventory forecast income to rise from $15.2 million in 2024 to $250 million in 2029. The corporate is estimated to finish 2029 with free money stream (FCF) of $62.3 million, in comparison with an outflow of $32.5 million this yr.
If PRN inventory is priced at 15 instances ahead FCF, it may acquire roughly 300% over the subsequent 4 years.
The bull case for this small-cap TSX inventory
Valued at $230 million by market cap, Anaergia (TSX:ANRG) is a TSX inventory that has gained over 170% during the last 12 months. Nevertheless, it’s also down 90% from all-time highs, permitting you to purchase the dip.
Anaergia gives renewable power options via waste-to-resource conversion applied sciences, together with biogas manufacturing, wastewater remedy, and strong waste processing throughout international markets.
The corporate delivered a outstanding transformation in 2024, executing its “Anaergia 2.0” technique, which basically repositioned the renewable power firm for sustainable development. The natural waste-to-energy options supplier secured a $41 million strategic funding from Marny Investissement, strengthening its steadiness sheet.
Anaergia reported gross margins of 23% in 2024, up from 13.4% in 2023, showcasing the effectiveness of its capital-light technique centered on worthwhile initiatives.
Whereas full-year income declined 24.2% to $111.6 million resulting from mission completions and strategic divestitures, internet losses improved by 71% to $55.9 million, reflecting enhanced operational self-discipline and a 35% workforce discount.
Anaergia’s industrial momentum accelerated in This fall 2024 and early 2025, securing main contracts together with PepsiCo Colombia, Monterey One Water, and a number of Italian biomethane services.
It reported $103.3 million in income backlog with an extra $250 million in capital gross sales alternatives below negotiation. Strategic growth into high-growth markets, together with Japan, Latin America, and Europe, positions it to capitalize on beneficial regulatory tailwinds supporting renewable pure gasoline adoption.
Analysts monitoring the TSX inventory forecast gross sales to extend from $111.6 million in 2024 to $1.1 billion in 2029. Anaergia is forecast to finish 2029 with an FCF of $150 million, in comparison with an outflow of $7 million in 2025. If ANRG inventory is priced at 10 instances ahead FCF, it may surge over 500% over the subsequent 4 years.
