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3 TSX Penny Stocks With Market Caps Under CA$200M

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As the Canadian market experiences moderate growth, with the TSX up about 3% this year, investors are keenly observing economic indicators such as inflation and interest rates which have shown signs of stabilization. In this context, penny stocks—typically smaller or newer companies—offer intriguing opportunities for those seeking growth at lower price points. Despite being an outdated term, these stocks can present significant potential when backed by strong financials and sound fundamentals.

Top 10 Penny Stocks In Canada

Name

Share Price

Market Cap

Financial Health Rating

Alvopetro Energy (TSXV:ALV)

CA$4.83

CA$176.58M

★★★★★★

Mandalay Resources (TSX:MND)

CA$4.83

CA$453.58M

★★★★★★

Findev (TSXV:FDI)

CA$0.52

CA$14.9M

★★★★★★

PetroTal (TSX:TAL)

CA$0.69

CA$632.31M

★★★★★★

NamSys (TSXV:CTZ)

CA$1.20

CA$32.24M

★★★★★★

East West Petroleum (TSXV:EW)

CA$0.045

CA$4.07M

★★★★★★

Orezone Gold (TSX:ORE)

CA$0.90

CA$416.19M

★★★★★☆

New Gold (TSX:NGD)

CA$4.02

CA$3.18B

★★★★★☆

Foraco International (TSX:FAR)

CA$2.00

CA$197.39M

★★★★★☆

DIRTT Environmental Solutions (TSX:DRT)

CA$1.08

CA$208.88M

★★★★☆☆

Click here to see the full list of 934 stocks from our TSX Penny Stocks screener.

We're going to check out a few of the best picks from our screener tool.

Dundee

Simply Wall St Financial Health Rating: ★★★★☆☆

Overview: Dundee Corporation is a publicly owned investment manager with a market cap of CA$178.83 million.

Operations: The company generates revenue primarily from its Mining Services segment, which accounts for CA$1.73 million, and Corporate and Others segment, contributing CA$4.22 million.

Market Cap: CA$178.83M

Dundee Corporation, with a market cap of CA$178.83 million, has recently turned profitable after several years of growth, achieving an annual earnings increase of 44.6% over the past five years. Despite having limited revenue (CA$5 million), its low price-to-earnings ratio (2.8x) suggests it might be undervalued compared to the broader Canadian market. The company benefits from experienced management and board teams and boasts a strong financial position with short-term assets significantly exceeding both short-term and long-term liabilities. However, challenges remain as operating cash flow is negative, impacting debt coverage capabilities.

TSX:DC.A Financial Position Analysis as at Feb 2025
TSX:DC.A Financial Position Analysis as at Feb 2025

Payfare

Simply Wall St Financial Health Rating: ★★★★★★

Overview: Payfare Inc. is a financial technology company offering instant payout and digital banking solutions to gig economy workers in Canada, the United States, and Mexico, with a market cap of CA$192.67 million.