Growth stocks have a reputation for generating substantial wealth for investors over the long term. Moreover, one doesnât necessarily need a large capital to invest in these stocks and achieve above-average returns. Even a modest investment of $50 can be a starting point for investing in top Canadian growth stocks.

Despite the upward trend in many growth stocks over the past year, several high-quality Canadian stocks remain priced below $50.

While many growth stocks have trended higher over the past year, a handful of high-quality Canadian stocks are still under $50. These stocks are trading at attractive valuations with solid fundamentals and significant growth prospects.

In this context, letâs explore three Canadian growth stocks Iâd buy under $50.

Lightspeed Commerce

Lightspeed Commerce (TSX:LSPD) stock is one of the top stocks to buy now. Lightspeed stock has declined about 32% this year and is trading near its 52-week low. The fear of an e-commerce slowdown has weighed on the stock. While the selloff has driven Lightspeedâs valuation near an all-time low, the companyâs fundamentals are intact, with Lightspeed consistently generating durable revenues. Also, it is heading towards achieving profitability soon, which will likely significantly boost its share price.

The technology company is well-positioned to capitalize on the structural shift in selling models towards multi-channel platforms. Lightspeed is expected to witness higher demand for its products and services as small- and medium-sized enterprises (SMEs) upgrade their traditional payment systems and invest in advanced technology.

Further, Lightspeedâs strategic move to integrate payments into its software platform will likely enhance unit economics and improve margins. Additionally, its focus on growing its customer base with high gross transaction value (GTV) will boost its average revenue per user, reduce churn, and support margins. Furthermore, Lightspeedâs focus on accretive acquisitions will expand its customer locations and support new product development.

In summary, Lightspeed stock has solid growth prospects and is trading cheaply, providing an excellent opportunity for buying.

Aritzia

Investors seeking growth stocks under $50 could consider Aritzia (TSX:ATZ) stock. This luxury clothing company is known for delivering above-average growth, which drives its share price. Aritzia stock has grown at a compound annual growth rate (CAGR) of over 22% in the last five years, delivering an overall capital gain of about 173%.

Aritziaâs outperformance is driven by its solid performance. Its net revenue has increased at a CAGR of 19% since fiscal 2016. At the same time, its adjusted net income grew at a CAGR of 13%.

The companyâs net revenue is projected to grow at a CAGR of 15%-17% through fiscal 2027. Opening new boutiques, omnichannel offerings, and increasing brand awareness will likely support its growth. Further, the companyâs investments in supply chain, technology, and marketing will likely drive its top line. Also, Aritziaâs e-commerce revenue growth will likely accelerate, driven by investments in digital tools to enhance shopping experience, product optimization, and expansion of omnichannel capabilities.

Given multiple catalysts, Aritzia stock is poised to outperform the broader market and deliver above-average returns.

Well Health

WELL Health Technologies (TSX:WELL) stock could be a solid buy near the current levels. Even though the shares of this digital healthcare service provider have shown recovery, they are still trading at the next 12-month enterprise value-to-sales (EV/sales) multiple of 1.7, which is low and near an all-time low.

While the stock is trading cheap, WELL Health continues to generate solid sales fuelled by increased omnichannel patient visits. Further, its focus on consistently generating profitable growth is positive. WELL Healthâs predictable revenue base and comprehensive cost-cutting program to strengthen its operational efficiency augur well for long-term growth.

Moreover, the companyâs strategic focus on accretive acquisitions will likely support its top-line growth. In addition, WELL Health is solidifying its position in artificial intelligence (AI)-powered preventative care and is focusing on developing AI-advanced tools, which will likely accelerate its growth and support its share price.

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