Best stocks to buy now: Top US stock picks

We update our list of the best US stocks to buy each month using Finder’s proprietary algorithm. This list of the best US stocks to buy now is a starting point for your own research and should not be taken as advice to buy any particular stock.

Stock trading platforms to buy the best US stocks

Dive deeper: How to buy US stocks

20 Best stocks to buy now in the US

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What you should know before buying the best US stocks

There’s no single winning strategy to finding what experts might call the best US stocks, because the most important considerations are your own goals and circumstances. It’s not personal financial advice, and your personal objectives and financial situation have not been taken into consideration. Do your own research, and speak with an investment professional if in doubt.

Whether you care more about short-term capital gains or long-term dividend growth, it’s important to know whether a stock is performing well, making a profit, paying dividends or going backwards. Always remember that past performance does not guarantee future results. Investments can increase and decrease in value.

• How did we pick the best US stocks to buy now?

  We used Finder’s proprietary algorithm to rate stocks listed on the NYSE and Nasdaq based on price, performance, profit, revenue and dividends. Our fundamental analysis filters stocks by taking into account historical prices, dividends, revenue growth, (low) price volatility and profit margins.

  This might indicate a quality stock, but we do not guarantee the performance or returns of any investment. To avoid smaller, more speculative stocks, we only include companies with a market cap of more than USD $1 billion. In order to better compare historical data, we filtered out stocks that have been listed for less than five years.

  This methodology no doubt filters out some good stocks, so our decision to include or exclude a stock from our list does not indicate whether it’s a good or bad investment. For more information about our algorithm, check out our stock ranking page.

This list and data was compiled June 3, 2023. The algorithm was last updated January 27, 2021.

Must read: Finder Stock Trading Platform Awards 2022

How are US stocks taxed in Canada?

Canadians who earn dividends from US stock investments must pay the US Internal Revenue Service (IRS) a 15% withholding tax on their earnings. The rate goes down to 10% for bonds and other interest-yielding US investments.

An exception is made for stock investments held in trusts designed to provide retirement income. This includes RRIFs, LIRAs, LIFs, LRIFs and Prescribed RRIFs. RRSPs that hold US stocks, bonds or ETFs are also exempt from US withholding tax. RESPs, TFSAs and RDSPs are not exempt.

Canadian and international investment income must be declared on your Canadian tax return. Unless your US earnings are exempt from withholding tax, this means you’ll be taxed by both the IRS and the CRA. The CRA may allow you to claim foreign tax credits for any taxes you’ve already paid to the IRS.

Speak with a tax professional to find out what rules and exceptions apply in your circumstances.

Buy the best US stocks through an online broker

To invest in any of these stocks, you’ll need a brokerage account. Compare online stock trading platforms below and click “Go to site” to get started. The figures in this table are in Canadian dollars.

Important information: Powered by Finder.com. This information is general in nature and is no substitute for professional advice. It does not take into account your personal situation. This information should not be interpreted as an endorsement of futures, stocks, ETFs, CFDs, options or any specific provider, service or offering. It should not be relied upon as investment advice or construed as providing recommendations of any kind. Futures, stocks, ETFs and options trading involves substantial risk of loss and therefore are not appropriate for most investors. You do not own or have any interest in the underlying asset. Capital is at risk, including the risk of losing more than the amount originally put in, market volatility and liquidity risks. Past performance is no guarantee of future results. Tax on profits may apply. Consider the Product Disclosure Statement and Target Market Determination for the product on the provider's website. Consider your own circumstances, including whether you can afford to take the high risk of losing your money and possess the relevant experience and knowledge. We recommend that you obtain independent advice from a suitably licensed financial advisor before making any trades.