Why These 2 Canadian Stocks Might Dominate This Year

Key Factors for Success in the Current Market

Huge winners in today’s market often have two main advantages: a strong business trend and fresh numbers to back up the excitement. Investors are currently focusing on companies related to artificial intelligence (AI), data centers, critical metals, and precious metals. While these themes still show momentum, the best opportunities require more than just a compelling story. They need consistent revenue growth, improving earnings, and a clear path for future upside. Two stocks that meet these criteria are Celestica and Aya Gold & Silver, though each comes with its own set of risks.

Celestica: A Major Player in AI Infrastructure

Celestica (TSX:CLS) has become one of Canada's most discussed technology stocks, and for good reason. The company specializes in designing, manufacturing, and supplying hardware for major customers across data centers, cloud computing, aerospace, defense, health tech, and industrial markets. Its biggest growth driver right now is AI infrastructure. As companies invest heavily in servers, networking equipment, and high-performance computing, Celestica has positioned itself well in this growing sector.

The past year has marked a significant shift in how investors perceive the stock. Celestica no longer appears to be a quiet manufacturing name but rather a key player in AI infrastructure. The Connectivity and Cloud Solutions segment continues to drive growth, supported by demand from large cloud and data-center customers. Additionally, the company recently secured a program tied to a co-packaged optics Ethernet switch for a hyper-scaler customer, with production expected to ramp up in 2027. This development gives investors more reasons to look beyond this year's results.

The financial performance has been impressive. In the first quarter of 2026, revenue increased by 53% year over year to US$4.05 billion, while adjusted earnings per share (EPS) rose to US$2.16 from US$1.20. Adjusted operating margin reached 8%, a new milestone for the company. Celestica also raised its 2026 outlook to US$19 billion in revenue and US$10.15 in adjusted EPS. However, the stock's valuation has already climbed significantly, trading around 51 times trailing earnings. If AI spending slows down, shares could experience a quick pullback.

Aya Gold & Silver: A Unique Opportunity in Precious Metals

Aya Gold & Silver (TSX:AYA) offers a different kind of investment opportunity. It is a Canadian precious metals company focused on Morocco, with its primary asset being the Zgounder silver mine. Silver has gained attention as investors consider both precious metal demand and industrial demand from sectors like solar energy, electronics, and electrification. Aya is in a favorable position because it provides exposure to silver, along with production growth and a developing project pipeline.

The past year brought significant changes to the company's story. Aya successfully ramped up production at Zgounder, leading to record financial results. It also advanced the Boumadine project, which holds long-term potential. The company's 2025 preliminary economic assessment for Boumadine outlined a base-case post-tax net present value of US$1.5 billion and an internal rate of return of 47%. These figures can attract growth investors, especially if silver prices remain stable.

Financial progress is evident. Full-year 2025 revenue reached US$202 million, a fivefold increase from 2024. Net income came in at US$46 million, or US$0.32 per diluted share, compared to a loss the previous year. Operating cash flow hit US$72 million, and cash and equivalents reached US$136 million at year-end. Despite these positive signs, the stock isn't cheap, trading at 54.7 times earnings. Aya needs strong silver prices, smooth mine execution, and steady progress at Boumadine to justify investor optimism.

Final Thoughts

In summary, Celestica offers a direct way to invest in AI infrastructure growth, backed by surging revenue and stronger guidance. Aya provides silver exposure with improving earnings and a bigger development story. Both stocks could be significant winners this year if their trends continue positively. However, neither is a bargain. Investors should view them as exciting growth stocks rather than risk-free investments.