The Canadian market has shown solid earnings performance, with 64% of S&P/TSX companies exceeding estimates, suggesting a robust economic environment supported by resilient consumer spending and a steady labor market. In this context, identifying undervalued stocks like Cronos Group can provide investors with opportunities to benefit from potential growth while maintaining a diversified portfolio.
| Name | Current Price | Fair Value (Est) | Discount (Est) |
| TFI International (TSX:TFII) | CA$192.98 | CA$384.33 | 49.8% |
| SSR Mining (TSX:SSRM) | CA$40.33 | CA$72.38 | 44.3% |
| Medexus Pharmaceuticals (TSX:MDP) | CA$4.98 | CA$9.20 | 45.9% |
| Mattr (TSX:MATR) | CA$17.89 | CA$34.70 | 48.4% |
| Lumine Group (TSXV:LMN) | CA$25.05 | CA$49.53 | 49.4% |
| Groupe Dynamite (TSX:GRGD) | CA$62.08 | CA$117.20 | 47% |
| Gildan Activewear (TSX:GIL) | CA$81.60 | CA$147.64 | 44.7% |
| Cronos Group (TSX:CRON) | CA$4.32 | CA$8.32 | 48.1% |
| Constellation Software (TSX:CSU) | CA$3212.66 | CA$6259.48 | 48.7% |
| Chemtrade Logistics Income Fund (TSX:CHE.UN) | CA$16.29 | CA$29.08 | 44% |
Here we highlight a subset of our preferred stocks from the screener.
Overview: Cronos Group Inc. is a cannabinoid company involved in the cultivation, production, distribution, and marketing of cannabis products in Canada, Israel, and internationally with a market capitalization of CA$1.42 billion.
Operations: Cronos Group Inc. generates revenue through its operations in the cultivation, production, distribution, and marketing of cannabis products across Canada, Israel, and various international markets.
Estimated Discount To Fair Value: 48.1%
Cronos Group, trading at CA$4.32, is significantly undervalued compared to its estimated future cash flow value of CA$8.32. The company recently reported a strong turnaround in earnings, with net income reaching US$32.09 million for Q2 2026 from a previous net loss of US$39.71 million a year ago. Although revenue growth is modest at 2.1% annually, Cronos is expected to achieve profitability within three years and has initiated a share buyback program worth $50 million.
Overview: Timbercreek Financial Corp. offers shorter-duration structured financing solutions to commercial real estate investors in Canada, with a market cap of approximately CA$515.55 million.
Operations: The company generates revenue primarily through its financial services segment, specifically from mortgage activities, amounting to CA$43.32 million.
Estimated Discount To Fair Value: 25.7%
Timbercreek Financial, trading at CA$6.18, is undervalued with an estimated future cash flow value of CA$8.31. Despite a decline in net income to CA$7.81 million for Q2 2026 from CA$12.37 million the previous year, the company's revenue and earnings are projected to grow significantly above market averages over the next few years. However, its dividend yield of 11.17% isn't well covered by earnings or free cash flows, raising sustainability concerns amidst ongoing share buybacks.
Overview: Lumine Group Inc. develops, installs, and customizes software along with providing related professional and support services globally, with a market cap of CA$6.31 billion.
Operations: The company's revenue is generated from the development, installation, and customization of software, as well as offering related professional and support services worldwide.
Estimated Discount To Fair Value: 49.4%
Lumine Group, trading at CA$25.05, is undervalued with an estimated future cash flow value of CA$49.53. Despite a decrease in net income to US$15.44 million for Q2 2026 from US$23.55 million the previous year, its revenue and earnings are projected to grow faster than Canadian market averages, with revenue expected to increase by 26.3% annually. However, earnings growth forecasts remain below the significant threshold of 20% per annum.
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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