The Canadian market has been characterized by ambiguity in central bank guidance, leading to potential volatility as investors navigate economic data and interest rate expectations. In such a fluctuating landscape, identifying promising investment opportunities requires a keen eye for stocks with solid financial foundations. Penny stocks, though an outdated term, still represent smaller or newer companies that can offer surprising value; we've identified three such candidates on the TSX that may present compelling opportunities with less risk than typically associated with this category.
Top 10 Penny Stocks In Canada
| Name | Share Price | Market Cap | Rewards & Risks |
| Westbridge Renewable Energy (TSXV:WEB) | CA$3.00 | CA$72.3M | ✅ 3 ⚠️ 4 View Analysis > |
| Canso Select Opportunities (TSXV:CSOC.A) | CA$4.80 | CA$23.16M | ✅ 2 ⚠️ 2 View Analysis > |
| Montero Mining and Exploration (TSXV:MON) | CA$0.32 | CA$2.67M | ✅ 2 ⚠️ 4 View Analysis > |
| CEMATRIX (TSX:CEMX) | CA$0.345 | CA$48.82M | ✅ 2 ⚠️ 1 View Analysis > |
| Thor Explorations (TSXV:THX) | CA$1.25 | CA$818.32M | ✅ 3 ⚠️ 2 View Analysis > |
| Automotive Finco (TSXV:AFCC.H) | CA$1.12 | CA$21.21M | ✅ 2 ⚠️ 3 View Analysis > |
| Amerigo Resources (TSX:ARG) | CA$2.43 | CA$403.73M | ✅ 3 ⚠️ 2 View Analysis > |
| Pulse Seismic (TSX:PSD) | CA$3.51 | CA$177.64M | ✅ 2 ⚠️ 1 View Analysis > |
| Hemisphere Energy (TSXV:HME) | CA$2.15 | CA$200.3M | ✅ 3 ⚠️ 1 View Analysis > |
| Matachewan Consolidated Mines (TSXV:MCM.A) | CA$0.70 | CA$8.71M | ✅ 2 ⚠️ 4 View Analysis > |
Click here to see the full list of 409 stocks from our TSX Penny Stocks screener.
Below we spotlight a couple of our favorites from our exclusive screener.
Dundee (TSX:DC.A)
Simply Wall St Financial Health Rating: ★★★★☆☆
Overview: Dundee Corporation is a publicly owned investment manager with a market cap of CA$368.85 million.
Operations: The company generates revenue from its Mining Services segment, which amounts to CA$1.46 million, and Corporate and Others, contributing CA$2.98 million.
Market Cap: CA$368.85M
Dundee Corporation, with a market cap of CA$368.85 million, exhibits characteristics typical of penny stocks, such as limited revenue streams—CA$1.46 million from Mining Services and CA$2.98 million from Corporate and Others—indicating it is pre-revenue. The company has shown significant earnings growth over the past five years at 52.3% annually but recent growth has slowed to 38.8%. Despite a low price-to-earnings ratio of 8.8x compared to the Canadian market average, its financial results are impacted by large one-off gains, and operating cash flow remains negative despite having more cash than debt.
- Unlock comprehensive insights into our analysis of Dundee stock in this financial health report.
- Gain insights into Dundee's past trends and performance with our report on the company's historical track record.
Hemisphere Energy (TSXV:HME)
Simply Wall St Financial Health Rating: ★★★★★★
Overview: Hemisphere Energy Corporation acquires, explores, develops, and produces petroleum and natural gas properties in Canada with a market cap of CA$200.30 million.
Operations: The company's revenue is derived entirely from its petroleum and natural gas interests, totaling CA$82.14 million.
Market Cap: CA$200.3M
Hemisphere Energy Corporation, with a market cap of CA$200.30 million, has demonstrated strong financial health and operational stability. It is debt-free and its short-term assets exceed both short- and long-term liabilities. The company has maintained high-quality earnings with an outstanding return on equity of 40.3%. Despite a recent decline in quarterly revenue to CA$19.45 million from CA$22.66 million the previous year, Hemisphere continues to reward shareholders through regular dividends and share buybacks, repurchasing 6.31% of shares for CA$11.44 million under its buyback program as of July 2025.
- Jump into the full analysis health report here for a deeper understanding of Hemisphere Energy.
- Gain insights into Hemisphere Energy's outlook and expected performance with our report on the company's earnings estimates.
Thor Explorations (TSXV:THX)
Simply Wall St Financial Health Rating: ★★★★★★
Overview: Thor Explorations Ltd., with a market cap of CA$818.32 million, operates as a gold producer and explorer through its subsidiaries.
Operations: The company generates revenue primarily from its Segilola Mine Project, which accounted for $252.80 million.
Market Cap: CA$818.32M
Thor Explorations Ltd., with a market cap of CA$818.32 million, is trading at 69% below its estimated fair value, suggesting potential undervaluation. The company has demonstrated significant earnings growth, with a 312% increase over the past year and an outstanding return on equity of 48.8%. Thor's financial health is robust, as it remains debt-free and its short-term assets significantly exceed liabilities. Recent strategic moves include acquiring full ownership of the Douta Gold Project in Senegal and reporting positive drilling results at both Segilola Mine in Nigeria and Guitry Gold Project in Cote d'Ivoire, indicating promising future prospects.
- Navigate through the intricacies of Thor Explorations with our comprehensive balance sheet health report here.
- Examine Thor Explorations' earnings growth report to understand how analysts expect it to perform.
Summing It All Up
- Take a closer look at our TSX Penny Stocks list of 409 companies by clicking here.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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