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Stock Symphony: Murray Conducts Amazon, Hammond, and Tourmaline

Bruce Murray’s August 2025 stock picks highlight the AI revolution, electrification boom, and energy security with Amazon (AMZN), Hammond Power (HPS/A), and Tourmaline Oil (TOU).

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Stock Symphony: Murray Conducts Amazon, Hammond, and Tourmaline

Global equity markets are surging on the back of artificial intelligence. From oil exploration in Brazil to e-commerce logistics, AI is no longer a speculative theme — it’s a productivity engine reshaping industries. Bruce Murray, CEO and CIO of Murray Wealth Group, sees the coming years as a golden period for companies that can marry innovation with scale, and he’s betting big on three names that fit the bill: Amazon.com (NASDAQ: AMZN), Hammond Power Solutions (TSX: HPS/A), and Tourmaline Oil (TSX: TOU).

Murray’s market outlook is anchored in the view that the industrial economy has regained its footing after the pandemic’s turbulence. Skilled labour shortages have largely eased, although certain sectors like aerospace still face parts supply delays. Canada, he argues, is well-positioned to thrive, with resource-driven activity offsetting the impact of tariffs. Despite the noise, 90 per cent of Canada–U.S. trade remains protected under USMCA. For Murray, tariffs are a speed bump, not a brick wall.

With the Bank of Canada potentially cutting rates later this year, income stocks also look appealing. But his focus remains on businesses capable of sustaining high growth, leveraging AI, and riding long-term macro trends.

Amazon.com (NASDAQ: AMZN)

Amazon hasn’t been front and centre in the AI race like Nvidia, but Murray sees plenty to like. The tech giant’s 31 per cent operating income growth last quarter shows its fundamentals are firing. Retail sales are growing more than 10 per cent annually, Amazon Web Services is expanding in the high mid-teens, and advertising revenue is climbing over 20 per cent per year.

AWS remains the world’s leading outsourced provider of digital storage and web services, and its customer base will only deepen its AI integration in the years ahead. Murray believes Amazon’s total sales could approach US$1 trillion by the end of the decade.

As its non-retail businesses — with higher margins — become a larger share of revenue, profitability per dollar of sales will increase. With an EV/EBITDA multiple near 14.5 and expected growth in the high teens for the next five years, Murray sees Amazon’s share price tracking that growth rate.

Hammond Power Solutions (TSX: HPS/A)

Hammond Power has been manufacturing dry-type transformers for over a century, serving industries from mining to renewable energy. These transformers are essential for reducing voltage or filtering electrical induction, and the company’s reach spans oil and gas, steel, waste and water treatment, and more.

With AI’s infrastructure demands soaring and EV adoption accelerating, the need for more electrical power is obvious. Component makers like Eaton and GE are already trading at premium valuations. Hammond offers Canadian investors a direct, publicly traded gateway to this massive capital cycle.

The company trades at about 20 times trailing earnings, factoring in the costs of bringing a new plant online and recent expense increases. Murray believes earnings could top $10 a share before the decade is out, potentially pushing the stock toward $200 as electrification demand peaks.

Tourmaline Oil (TSX: TOU)

Founded by Mike Rose in 2008, Tourmaline has grown into Canada’s largest natural gas producer and a major owner of midstream processing assets, with a steadily expanding natural gas liquids business. Murray sees the company as a direct beneficiary of the coming global LNG buildout.

Natural gas will remain a critical bridge fuel as countries expand power generation capacity to meet AI-driven electricity demand. Both Canada and the U.S. are constructing new LNG export facilities, opening new markets for producers. As the lowest-cost operator with large reserves and top-tier emissions performance, Tourmaline is ideally positioned to capture that demand.

The company plans to grow production by 10 per cent from 2024 levels by the end of 2026 and more than 20 per cent by 2030. Its dividend policy rewards shareholders when prices rise, currently delivering $0.50 per quarter plus a $0.35 special payout, equating to a 5.5 per cent yield. Murray believes improving fundamentals could lift the share price into the mid-$70s, delivering both yield and capital appreciation.

Conclusion

Bruce Murray’s August 2025 picks — AMZN, HPS/A, and TOU — reflect his conviction in companies that combine scale, innovation, and sector dominance. Amazon brings growth and profitability from multiple high-margin business lines, Hammond Power offers a pure play on electrification, and Tourmaline stands at the intersection of energy security and global demand. For Murray, these are not just stocks to own — they’re strategic positions in the next wave of global economic expansion.

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