Just Released: 5 Top Stocks to Buy in July [PREMIUM PICKS]

Don’t let short‑term fear knock you off the path to long‑term prosperity.

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Premium content from Motley Fool Stock Advisor Canada

Fellow Fools,

The headlines have been tough to tune out this year, from Donald Trump’s tariffs to warfare in Ukraine and Iran, stubborn inflation and a Canadian federal election.

Against that backdrop, though, the stock market has marched higher. In fact, Canada’s benchmark S&P/TSX Composite Index finished at record highs Monday.

When markets hit new highs, investors often ask: “Isn’t this a bad time to invest?”

But we Fools at Stock Advisor Canada see things differently. Long-term investing is less about timing the next headline and more about positioning yourself for the world that emerges a decade from now.

Here are a few things to consider doing when headlines rage, volatility strikes, and, yes, when we’re investing at all-time highs.

1. Find Opportunity in Uncertainty

Tariffs will roil trade, wars will disrupt supply chains, and inflation may stubbornly persist. These are textbook conditions that reward patience and perspective. Canada’s resource and energy sectors, with their global reach and pricing power, are well‑positioned. And innovation remains alive here — from fintech to nuclear power, Canada’s best companies are building durable value.

2. Focus on What You Can Control

You can’t control geopolitics, but you can control how you build your portfolio. Businesses with strong balance sheets, good governance, and pricing power tend to outperform over time. We like the companies on this month’s Best Buys Now list for their long‑term trajectory.

3. Embrace Volatility as the Price of Admission

If the recent all‑time high makes you nervous, you’re not alone. Markets climb a “wall of worry.” As long as people participate in markets, markets will be volatile. But in the real world, people are also constantly working to create better technologies, create new products, and find the next big thing. That drive to innovate is what continues to power the market higher, even if it doesn’t make the headlines.

4. Anchor Your Horizon in Decades

If you’re investing for retirement, today’s political headlines will likely be just a chapter in your story. The best stocks are the ones you never feel compelled to sell because they keep evolving and innovating.

5. Keep Learning and Stay Curious

In a noisy world, the investor who studies, asks questions, and stays engaged gains an edge. Read quarterly reports, pursue diverse sectors, and ask what problems companies are solving. It’ll make you smarter, happier, and richer.

The next time you’re thinking, “Is now the right time to invest?” or “Shouldn’t I sell right now?”, consider another question instead: “Am I building a portfolio that reflects my best ideas, and my best, realistic vision for the future?” If yes, you have reason to be bullish—even when concern abounds. If not, let this be your invitation to reassess, reposition, and recommit.

Don’t let short‑term fear knock you off the path to long‑term prosperity. Markets won’t make all-time highs every day, and every headline won’t be positive. But over decades, economies grow, innovation wins, and disciplined investors are rewarded. Here are five stocks we think will shine.

Foolishly yours,
Nick Sciple
Senior analyst, Motley Fool Canada

“Best Buys Now” Pick #1:

Pulse Seismic (TSX:PSD)

This small-cap owner of seismic data has been the Rodney Dangerfield of stocks. For years, Pulse Seismic (TSX:PSD) went about executing well — without getting any respect. The downturn in commodity prices certainly obscured the company’s improved earning potential for a while. But it appears that investors are starting to take notice of the results Pulse is generating for shareholders. 

Over the past year, the stock is up 37%, but total returns are much higher than that. So far in 2025, Pulse has paid out total dividends of $0.2325. That includes two quarterly dividends and a $0.20 special dividend. With no debt on the balance sheet and exceptionally low operating costs, these special dividends are becoming very … well, almost regular. Here’s a list of special dividends since 2021 (note: that’s the year Pulse paid off all its debt from a timely acquisition that roughly doubled the size of its seismic library):

Special Dividends

  • $0.04 paid November 29, 2021
  • $0.15 paid August 22, 2023
  • $0.20 paid January 8, 2024
  • $0.05 pad August 21, 2024
  • $0.20 paid March 13, 2025

On April 22, 2025, Pulse boosted its regular quarterly dividend by 17% to $0.0175 per share. This higher quarterly dividend still only costs Pulse $889,000.

Pulse ended March with $14.3 million in cash on its balance sheet and no debt. On June 12, Pulse announced another sale of its seismic data for $13.5 million. That will leave Pulse’s balance sheet stuffed with cash again. Based on its current share count of 50,755,057 shares, a $0.20 special dividend will only cost Pulse just over $10 million. Pulse could do two of these and still be in fine shape.

Pulse’s management team has done everything right over the past few years, and shareholders have been rewarded. Pulse is in a position where business results will continue to drive stock results. The recent performance and announcement of that $13.5 million sale helped land Pulse on this month’s Best Buy list.

We fully expect more special dividends in the future, which will likely put yields well above 10%, based on the current prices. Keep in mind that Pulse’s future sales remain impossible to predict. We like that management doesn’t even attempt to do so. As Warren Buffett once quipped, “Charlie (Munger) and I would much rather earn a lumpy 15% over time than a smooth 12%.” Lately, Pulse has been doing much better than that.

“Best Buys Now” Pick #2

Redacted

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Fool contributor Buck Hartzell has no position in any of the stocks mentioned. The Motley Fool recommends Pulse Seismic. The Motley Fool has a disclosure policy.

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