If there is one thing that we will always need, itâs food. No matter what, as the worldâs population grows we will only need more and more of it. So, thatâs why today, weâre going to look at food stocks — companies that provide stellar growth for long-term holders and should sincerely be considered among your TSX investments.

Today, letâs look at why Nutrien (TSX:NTR) and Loblaw Companies (TSX:L) belong on that list.

Nutrien stock

Nutrien is a leading provider of crop inputs and services, operating through four segments: Retail, Potash, Nitrogen, and Phosphate. This diversified operation enables Nutrien to maintain a strong market presence in distributing crop nutrients, crop protection products, seeds, and merchandise products through its Retail segment.

Despite some fluctuations, Nutrien's financial performance remains robust. In the first quarter of 2024, Nutrien reported net earnings of $165 million. It also reported adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) of $1.055 billion.

While these figures were lower compared to the same period in 2023, primarily due to decreased fertilizer prices, there were notable increases in retail earnings and higher fertilizer sales volumes. This financial resilience, combined with strong demand for crop nutrients and protection products, underscores Nutrien's ability to adapt and thrive in varying market conditions.

As the world transitions towards sustainable agricultural practices, Nutrien's emphasis on sustainability and efficient crop solutions positions it favourably within the industry. The company's strategic initiatives and strong financials make it a compelling investment choice in the agricultural sector.

Nutrien offers a competitive dividend yield of 4.09%, providing a reliable income stream for investors. The company declared a quarterly dividend of US$0.54 per share, payable on July 19, 2024. Additionally, Nutrien has announced a share-repurchase program, further demonstrating its commitment to returning value to shareholders. For all these reasons, it certainly deserves consideration.

Loblaw stock

Loblaw stock stands out as a robust investment choice due to its strong financial performance, consistent dividend growth, significant strategic investments, and market leadership. The company's continued focus on innovation and customer value, coupled with positive analyst outlooks, makes Loblaw a compelling addition to any investment portfolio.

Loblaw maintains its position as Canadaâs largest retailer and private sector employer, operating a vast network of 2,500 stores. The company continues to innovate with its popular private label brands and personalized PC Optimum offers, which have driven customer loyalty and higher store traffic. Additionally, Loblawâs commitment to reducing internal inflation and offering everyday value to customers strengthens its market position.

Loblaw began 2024 with impressive financial results. In the first quarter, the company reported revenue of $13.58 billion, a 4.5% increase from the previous year. This growth was driven by higher store traffic, market share gains in food retail, and increased e-commerce sales by 16.1%. The companyâs adjusted EBITDA rose by 6.6% to $1.544 billion, and net earnings available to common shareholders increased by 9.8% to $459 million.

Loblaw is committed to significant investments in the Canadian economy, with plans to invest over $2 billion in 2024. These investments are expected to create over 7,500 jobs, open more than 40 new stores, and expand healthcare services by introducing 140 new pharmacy care clinics across the country. Such strategic initiatives are aimed at enhancing the companyâs store network and improving accessibility to affordable food and healthcare services.

Bottom line

When it comes to investments, food is perhaps one of the easiest choices. And when it comes to food stocks, these two have strength behind and ahead of them. So, consider Nutrien stock and Loblaw stock today.

The post 2 Top TSX Food Stocks: What to Watch in July appeared first on The Motley Fool Canada.