Investors with a long-term view and a higher risk appetite might consider investing in top Canadian stocks. small cap stocks. These are shares of companies with market capitalizations ranging from 300 million to 2 billion dollars. As these companies are still in their early stages of development, they offer higher growth potential and could generate exceptional returns over time.

That said, small-cap stocks generally carry higher risk and are more volatile. Thus, investors should look for companies with solid fundamentals and the ability to generate long-term profitable growth. These small-cap companies are most likely to outperform over the long term.

With this in mind, let’s take a look at the top Canadian small-cap stocks to buy now.

CES Energy Solutions

CES Energy Solutions (TSX:CEU) manufactures advanced specialty chemicals for the oil and gas industry. The company’s asset-light business model and strong balance sheet enable it to generate substantial free cash flow in all market conditions. This financial strength and steady stream of recurring revenue from chemical production provides a solid foundation for long-term growth.

Demand for CES chemicals will likely increase as the complexity of drilling wells increases. Additionally, its exposure to the growing oil, gas and water production sectors in North America bodes well for growth.

The company is expected to benefit from higher upstream activity and increased demand for services. Low global oil and gas inventories and fewer high-quality drilling sites will likely support ongoing drilling and production activity, which, in turn, will support CES’s revenue. Additionally, its strong balance sheet positions CES well to accelerate growth through acquisitions.

GOOD Health

GOOD Health (TSX: GOOD) is a multi-channel healthcare provider that has the potential to generate tremendous growth due to its highly predictable revenue base and ability to generate positive cash flow. Additionally, its extensive clinic network bodes well for growth.

WELL Health continues to benefit from increased omnichannel patient visits. Additionally, its strategy of acquiring new clinics is expected to fuel revenue and profit growth. Notably, WELL Health has recorded record revenue growth for 22 consecutive quarters, underscoring the strength of its business model.

The company also focuses on profitability. By implementing cost-saving measures and exploring artificial intelligence (AI)-based healthcare innovations, WELL Health is improving margins while expanding its service offerings. Its strong cash flow supports these initiatives and helps fund future acquisitions. Additionally, WELL Health is actively working to increase cash flow, reduce debt, and improve leverage, which should support long-term growth and stability.

Storage chest

Storage chest (TSX:SVI) is Canada’s largest warehousing provider, with 219 locations and more than 12.4 million square feet of rentable warehouse space. In addition to storage, the company offers last-mile logistics services and professional records management, such as document, media and image storage.

StorageVault’s capital-light business model and constant store expansion have allowed it to maintain a strong financial position. This financial stability translated into higher dividend payouts for investors and boosted the company’s stock price.

As Canada’s population continues to grow, the demand for rentable storage space shows no signs of slowing, which should further strengthen StorageVault’s financial performance.

StorageVault is also accelerating its growth through acquisitions, which have strengthened its rentable space and market reach. By continually adding new locations, increasing rental rates, and managing costs, StorageVault strategically positions itself for long-term growth.