Investing in high-quality progress shares is a confirmed technique for producing outsized returns over time. Whereas progress shares ship market-beating returns in a bull run, they underperform the broader markets when sentiment turns bearish.
Retaining this in thoughts, listed below are two worthwhile TSX tech shares you should purchase proper now for distinctive long-term returns.
Is that this TSX inventory a great purchase?
Shopify (TSX:SHOP) continues to increase past its roots as a small-business e-commerce platform, pushed by its aggressive push into enterprise prospects and worldwide markets. The Ottawa-based agency now wins roughly 4 out of each 10 enterprise offers it pursues, a powerful success fee given its single-digit general market share.
Black Friday weekend gross sales by means of Shopify retailers hit US$14.6 billion, up 27% from final 12 months. That determine has practically doubled from US$7.5 billion simply three years in the past. The expansion spans each small retailers and bigger retailers, with worldwide enterprise main the cost at excessive 30s to low 40s progress charges.
Chief Monetary Officer Jeff Hoffmeister stated the corporate is positioning aggressively for what it calls Agentic Commerce, the place synthetic intelligence brokers deal with procuring on behalf of customers.
Funds penetration reached 65% within the third quarter, that means Shopify processes practically two-thirds of all transactions flowing by means of its platform.
The enterprise technique focuses on a number of entry factors.
- Some massive retailers begin with simply the Store Pay checkout button earlier than adopting extra companies.
- Others start with point-of-sale programs for bodily shops.
- Current wins embrace Estée Lauder and Canada Goose, although the gross sales cycles can stretch for years from preliminary contact to full platform adoption.
Worldwide enlargement stays a precedence, with Europe delivering robust outcomes. The corporate added fee capabilities, capital lending, and installment choices throughout a number of new markets this 12 months.
Administration emphasised that progress is broadly distributed throughout service provider sizes, geographies, and product classes relatively than concentrated in any single space. The corporate maintains its technique of investing in know-how whereas maintaining headcount flat, a self-discipline it has sustained for over two years.
Given consensus value targets, Shopify inventory trades at a 30% low cost in January 2026.
Is that this TSX tech inventory undervalued?
CGI (Tsx:Gib.A) reported fiscal fourth-quarter income of $4 billion, up practically 10% from final 12 months, because the Canadian IT consulting agency expands its synthetic intelligence capabilities and pursues an aggressive acquisition technique. The Montreal-based firm posted adjusted earnings per share of $2.13, an 11% enhance from the identical interval a 12 months earlier.
The corporate’s adjusted working margin improved to 16.6%, up 20 foundation factors 12 months over 12 months. CGI generated $663 million in money from operations in the course of the quarter and deployed $491 million towards share buybacks. The board authorised a 13% dividend enhance to $0.17 per share quarterly.
CEO Francois Boulanger stated CGI closed 5 acquisitions throughout fiscal 2025, spending $1.8 billion in whole. The agency just lately agreed to amass Comarch, a Polish IT firm that can greater than double its presence in Poland.
- Bookings reached $4.8 billion within the quarter for a book-to-bill ratio of 119%.
- U.S. federal authorities bookings hit 185% whereas business and state authorities got here in at 136%.
- The corporate’s contracted backlog now stands at $31.5 billion, roughly double annual income.
CGI is betting closely on AI to drive progress and margins. The corporate has deployed over 165 AI brokers and greater than 2,000 automation workflows throughout consumer operations in retail, banking, communications, and vitality sectors. Administration stated its DigiOps platform is delivering productiveness features as much as 30% in some software administration work.
CFO Steve Perron stated CGI maintains $2.4 billion in obtainable capital sources with a net-debt-leverage ratio of 1 instances. Income per worker rose 5% 12 months over 12 months, a pattern administration expects to proceed as AI instruments enhance productiveness.
Given consensus value targets, CGI inventory trades at a 26% low cost in January 2026.