3 Top Canadian Stocks Proving They are Built to Thrive

Here’s why Cameco, Constellation Software, and another top Canadian stock are built to thrive in a retirement investment portfolio.

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Key Points

  • Cameco (CCO) stock is a direct bet on the global nuclear renaissance and the non-negotiable need for energy security as grids modernize and artificial intelligence (AI) data centers gobble up electricity.
  • Constellation Software (CSU) stock is a disciplined compounding machine, buying and holding "sticky," high-cash-flow niche software businesses. Shares have traded at a bargain since a key event in September.
  • Alimentation Couche-Tard (ATD) dominates global convenience and is expertly navigating the EV transition while using its scale to acquire and grow. Stock averaged a historical compound annual return above 20% per year over 24 years.

Investing feels too easy when the market is going up, and the TSX is printing new all-time highs this year. However, beyond the gold-supported bull market and the artificial intelligence hype, your personal investments should be able to retain value in retirement. To build a resilient nest egg, remember to consistently keep populating your portfolio with fundamentally great businesses and top Canadian stocks that have strong chances of thriving through economic cycles. These usually fortify portfolios and help individuals create generational wealth.

Investors looking for consistent winners and well-positioned top Canadian businesses built to actively thrive throughout economic cycles may check out Cameco (TSX:CCO), Constellation Software (TSX:CSU) stock, and Alimentation Couche-Tard (TSX:ATD) stock. These companies dominate their industries, benefit from massive, long-term tailwinds, and have a clear, proven path to generating more operating profits. Here’s why they are compelling long-term investment ideas for October 2025 and beyond.

Cameco: The energy security champion

Uranium mining giant Cameco successfully survived a decade-long nuclear winter with its asset base intact. As uranium prices rebound to confirm a super cycle this year, Cameco stock strikes me as a richly rewarding pure-play on the global shift toward energy security and decarbonization.

The world needs more nuclear power. Countries are scrambling for reliable, baseload, emissions-free energy as economies modernize and power-intensive artificial intelligence data centres trigger power shortages. Uranium is back in high demand, and Cameco is one of the largest Western suppliers, with its core assets safe in Canada. This makes it a go-to nuclear power partner for allied nations trying to diversify away from Russian supply chains.

Cameco is bringing idled assets back online to meet growing demand while signing new long-term supply deals at historically high prices. Its recent acquisition, Westinghouse, is harvesting unexpectedly higher cash flows, and this trend is only strengthening.

Cameco is a TSX stock built to thrive through the next decade. Shares trade at an expensive forward P/E of 77.5, but a forward price-earnings-to-growth (PEG) ratio of 1 suggests Cameco stock is fairly valued given its earnings growth prospects.

Constellation Software: The proven compounding machine

Constellation Software is a steadily growing Canadian technology stock that has been a disciplined compounding machine for decades. Its thriving business model is genius in its simplicity: it buys and holds hundreds of small, “vertical market software” companies. Think software that runs a specific factory, a municipal transit system, or a private golf club. These businesses are mission-critical and incredibly “sticky.” Customers rarely leave, which provides a predictable, recurring cash flow stream.

For decades, Constellation has used these cash flow streams to acquire more and more of these niche tech companies. Its acquisitions-led growth strategy is a rinse-and-repeat model that has delivered spectacular returns. This company’s profits are diversified across hundreds of industries, and its management team is masterful at allocating capital.

Most noteworthy, the recent departure of founder Mark Leonard due to health reasons triggered a temporary drop in CSU stock that long-term investors should pounce on in October. Mark entrenched a culture of autonomy across Constellation’s hundreds of subsidiaries, and his successor is a long-time lieutenant promisingly capable of maintaining CSU’s tempo, making it one of the most reliable top Canadian stocks to buy and hold for long-term growth.

Shares trade at a forward P/E of 28.5, which is significantly lower than Constellation Software stock’s five-year average of 36.5.

Alimentation Couche-Tard: The global convenience king

Finally, let’s look at a global convenience stores giant hiding in plain sight: Alimentation Couche-Tard, the owner of Circle K. Its business is built to thrive because it’s fundamentally resilient. People need gas, coffee, and snacks in good times and in bad. Couche-Tard is a financially stable convenience store operator that is a growth-focused acquirer. Its secret sauce is buying smaller, regional chains and transforming them with its global scale, superior logistics, and strong branding.

Worried about electric vehicles (EVs) destabilizing gas station cash flows? Couche-Tard is aggressively rolling out EV chargers, turning a potential threat into a new revenue stream. It’s also boosting margins by expanding its high-profit fresh food and private-label offerings.

Alimentation Couche-Tard stock trades at a forward P/E of 18.3, just slightly above its five-year average of 17.8. The consumer staples stock has historically generated 20.2% in compound annual total returns over the past 24 years.  

Fool contributor Brian Paradza has positions in Cameco. The Motley Fool has positions in and recommends Alimentation Couche-Tard. The Motley Fool recommends Cameco and Constellation Software. The Motley Fool has a disclosure policy.

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