Highlights and insights from the 2024 TSX Venture 50

• The TSX Venture Exchange’s annual Venture 50 ranking is once again highlighting outperforming companies across energy, mining, clean technology and life sciences, diversified industries and technology
• The average share price appreciation from this year’s winners was 121 per cent, with an average market capitalization increase of 248 per cent
• TMX Group operates global markets, including the Toronto Stock Exchange and the TSX Venture Exchange
• TMX Group stock (TSX:X) has added 27.15 per cent year-over-year and 104.73 per cent since 2019

The TSX Venture Exchange’s annual Venture 50 ranking is once again highlighting outperforming companies across energy, mining, clean technology and life sciences, diversified industries and technology, guiding investors as to the nature of growth in these sectors.

The companies are ranked according to an equal weighting of their 2023 performance across market capitalization growth, share price appreciation, and trading value, the combination of which indicates favourable market sentiment backed by operational results.

The average share price appreciation from this year’s winners was 121 per cent, with an average market capitalization increase of 248 per cent. The TSXV’s market capitalization added more than C$7.5 billion in 2023 to a year-end total of C$23.1 billion.

Such significant growth makes the winners’ concentration in the energy transition particularly interesting, as it pervades all evaluated sectors, substantiating the value to be reaped by investing in green ventures such as critical minerals, electric vehicles or alternative energy, especially at the public venture capital level the TSXV provides access to.

Investors should also take note of the resurgence of mining companies, propelled by a strong gold price, including four winners focused on precious metals, and a noted preference for friendly jurisdictions such as Canada and Latin America. Winners in the category posted a standout average share price increase of 245 per cent.

Similarly, technology is also back in a big way, adding an average of 224 per cent in market capitalization and 178 per cent in share price appreciation, up from 20 per cent and 12 per cent last year, respectively.

The TSXV’s proven ability to nurture young companies towards greater market presences – as evidenced by this year’s three graduates, G Mining Ventures (TSX:GMIN), Patriot Battery Metals (TSX:PMET) and Satellos Bioscience (TSX:MSCL) – propelled 16 issuers onto this year’s Venture 50 list with operations outside of Canada, including Europe, Africa and South America, pointing to the global appeal of Canadian small and micro-cap stocks.

Notable winners

• Founders Metals (TSXV:FDR), a gold explorer in South America’s Guiana Shield, which saw a 1,570 per cent rise in market capitalization and a 772 per cent increase in share price in 2023.
• Sato Technologies (TSXV:SATO), a data centre company tailored to digital asset mining, high-performance computing and artificial intelligence, with a share price that added 367 per cent in 2023, while almost quintupling its market capitalization.
• Westaim (TSXV:WED), a holding company specialized in the financial services industry with a demonstrated track record of profitability, that saw a 43 per cent gain in share price and 33 per cent gain in market capitalization in 2023.
• New Stratus Energy (TSXV:NSE), a junior oil and gas explorer active in Latin America backed by an experienced management team, as well as the belief of the broader market, to the tune of a 339 per cent gain in share price and a 342 per cent gain in market capitalization in 2023.
• Gatekeeper Systems (TSXV:GSI), a smart video and data solutions provider to the transportation industry, whose significant growth over the past five years, reaching more than 50,000 installed mobile data collectors, has been achieved with overall profitability. Gatekeeper’s share price grew by 104 per cent in 2023, while its market capitalization grew by 105 per cent.
• Click here for the full list of 2024 TSX Venture 50 winners.

Management commentary

“The Venture 50 ranking is a true indicator of investor confidence in the capabilities of Canadian companies and our public markets,” Loui Anastasopoulos, CEO of the Toronto Stock Exchange and global head of capital formation at TMX Group, which operates the TSXV, said in a statement. “The majority of this year’s companies are based in Canada. Investors are especially drawn to Canadian companies that have international projects, reflecting the global reach of our public markets and the reputation of junior Canadian issuers from across a range of sectors and regions in providing strong returns for investors.”

About TMX Group

TMX Group operates global markets and builds solutions for the funding and growth of businesses, traders and investors. The company operates the Toronto Stock Exchange, TSX Venture Exchange, TSX Alpha Exchange, The Canadian Depository for Securities and the Montréal Exchange, among others.

TMX Group stock (TSX:X) last traded at C$34.19 per share. The stock has added 27.15 per cent year-over-year and 104.73 per cent since 2019.

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The material provided in this article is for information only and should not be treated as investment advice. For full disclaimer information, please click here.