Discovering Canada's Undiscovered Gems for January 2025
Monday, Jan 6, 2025 3:36 am ET
As we step into the new year, investors are looking for opportunities to grow their portfolios. While many focus on well-known stocks, there are hidden gems in the Canadian market that offer undervalued opportunities. In this article, we will explore some of these undervalued stocks and discuss their potential for long-term growth.

1. Steppe Gold (STGO:TSE) - A Precious Metals Play
Steppe Gold Ltd is a precious metals exploration and development company focused on opportunities in Mongolia. The company's commercially producing mine is the Altan Tsagaan Ovoo Property (the "ATO Project" or "ATO Mine"), located in Eastern Mongolia. The Company generates revenue from the sale of gold and silver, with the majority of its revenue derived from gold sales in Mongolia at spot rates. Steppe Gold's valuation of $2.31 per share, compared to its close price of $0.64, suggests it may be undervalued (Source: Stockcalc valuation). The company's focus on Mongolia, a region with significant mineral potential, and its strong fundamentals position it for long-term growth.
2. Orezone Gold (ORE:TSE) - A Gold Mining Opportunity
Orezone Gold Corp is a Canada-based gold mining company mainly engaged in the exploration and evaluation and development of gold. The company operates the open pit Bombore Gold Mine in Burkina Faso. Orezone Gold's valuation of $2.01 per share, compared to its close price of $0.66, suggests it may be undervalued (Source: Stockcalc valuation). The company's focus on social responsibility, sustainability, and experienced team in project construction and operations could drive future growth. Additionally, the company's strong fundamentals and undervalued status make it an attractive opportunity for long-term investors.
3. Lithium Americas (LAAC:TSE) - A Pure-Play Lithium Producer
Lithium Americas is a pure-play lithium producer with two neighboring lithium brine resources in northwest Argentina: Cauchari-Olaroz and Pastos Grandes. Cauchari-Olaroz entered production in 2023, while Pastos Grandes is still in development. Lithium Americas plans for both resources to be fully integrated with onside downstream processing capabilities and will sell into the lithium chemical market. The company's valuation of $10.93 per share, compared to its close price of $4.03, suggests it may be undervalued (Source: Stockcalc valuation). Lithium Americas' strong fundamentals, undervalued status, and growth potential make it an attractive opportunity for long-term investors.
4. Western Resources (WRX:TSE) - A Potash Play
Western Resources Corp is a resource company focused on the development of its potash project in Canada owned by its wholly owned subsidiary, Western Potash Corp, located in Southern Saskatchewan. The company's valuation of $0.09 per share, compared to its close price of $0.04, suggests it may be undervalued (Source: Stockcalc valuation). Western Resources' focus on international markets and expansion of its product offerings could drive its sales growth rate. Additionally, the company's investments to improve manufacturing efficiency could boost its profitability, making it an attractive opportunity for long-term investors.
5. Century Glb (CNT:TSE) - A Diversified Company
Century Global Commodities Corp is a diversified company primarily engaged in exploration and mining activities with assets in the Provinces of Newfoundland and Labrador, and Quebec, Canada. The company also has operations in the distribution of food in China. Century Glb's valuation of $0.06 per share, compared to its close price of $0.03, suggests it may be undervalued (Source: Stockcalc valuation). The company's diversified business model and undervalued status make it an attractive opportunity for long-term investors.

In conclusion, Canada's undervalued gems offer investors the opportunity to grow their portfolios while taking advantage of the market's inefficiencies. By carefully analyzing these stocks' fundamentals, valuations, and growth prospects, investors can identify attractive long-term investment opportunities. As always, it is essential to conduct thorough research and consider multiple factors before making investment decisions.