ISA investors! I think now’s the time to buy this FTSE 100 6.5% dividend

first_img “This Stock Could Be Like Buying Amazon in 1997” Royston Wild has no position in any of the shares mentioned. The Motley Fool UK has no position in any of the shares mentioned. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors. ISA investors! I think now’s the time to buy this FTSE 100 6.5% dividend Royston Wild | Saturday, 9th May, 2020 | More on: SSE Renowned stock-picker Mark Rogers and his analyst team at The Motley Fool UK have named 6 shares that they believe UK investors should consider buying NOW.So if you’re looking for more stock ideas to try and best position your portfolio today, then it might be a good day for you. Because we’re offering a full 33% off your first year of membership to our flagship share-tipping service, backed by our ‘no quibbles’ 30-day subscription fee refund guarantee. I’m sure you’ll agree that’s quite the statement from Motley Fool Co-Founder Tom Gardner.But since our US analyst team first recommended shares in this unique tech stock back in 2016, the value has soared.What’s more, we firmly believe there’s still plenty of upside in its future. In fact, even throughout the current coronavirus crisis, its performance has been beating Wall St expectations.And right now, we’re giving you a chance to discover exactly what has got our analysts all fired up about this niche industry phenomenon, in our FREE special report, A Top US Share From The Motley Fool. Click here to claim your copy now — and we’ll tell you the name of this Top US Share… free of charge! Image source: Getty Images. center_img I would like to receive emails from you about product information and offers from The Fool and its business partners. Each of these emails will provide a link to unsubscribe from future emails. More information about how The Fool collects, stores, and handles personal data is available in its Privacy Statement. See all posts by Royston Wild Do you have some spare investment cash burning a hole in your pocket? Thinking of ways to use your new £20,000 annual allowance in your Stocks and Shares ISA? I can reflect on dozens of FTSE 100 shares that are worthy additions to any investment portfolio.Global share markets recorded some of their meatiest monthly gains in April. But the falls of late last month and early May indicate that investor confidence remains brittle as biscuits. Hopes and fears surrounding the Covid-19 crisis is causing buying and selling activity to oscillate wildly. It’s a subject that threatens to keep stock markets volatile for some time yet.5G is here – and shares of this ‘sleeping giant’ could be a great way for you to potentially profit!According to one leading industry firm, the 5G boom could create a global industry worth US$12.3 TRILLION out of thin air…And if you click here we’ll show you something that could be key to unlocking 5G’s full potential…It’s why an army of share investors prefer to sit on the sidelines rather than take the plunge. This is one of the worst things you can do. Firstly, the key to successful share investing is to take a long-term view on a stock’s profits potential. Possible price movements in the immediate future should have little to no impact on whether you choose to buy or not.And secondly, there’s a galaxy of great Footsie stocks that are trading on rock-bottom earnings multiples right now. A number of blue-chips are on my personal watchlist following recent heavy selling.A fallen FTSE 100 starOne of these fallen FTSE 100 shares is SSE (LSE: SSE). This is an equity that has fallen around 25% in value since selling fever gripped financial markets around 10 weeks ago. And it’s a fall that fails to reflect this company’s exceptional defensive characteristics which should enable it to ride out the pandemic-related economic collapse.A downturn in the local economy usually leads to a subsequent drop in electricity demand as business output drops. But of course, the UK’s need for power isn’t going to fall off a cliff. This puts SSE in better shape to ride out the consequences of the Covid-19 breakout. A fresh round of fundraising earlier this month has solidified the balance sheet over the more immediate term though.6% dividend yields!But as I say, let’s look past the near future and consider SSE’s position over a longer time horizon. The company’s moves to embrace ‘greener’ energy will make it essential in helping government plans to create a greener economy. Yet I don’t believe this Footsie firm and its brilliant profits opportunities for this decade and beyond are reflected at current prices.Right now, SSE sports a forward price-to-earnings (or P/E) ratio of 13.5 times. It carries a mighty 6.5% dividend yield too. Any sort of yield is welcome given that UK blue-chips continue to hack down their payout policies left, right and centre. But this yield would be impressive at any other time too (the Footsie average sat closer to 4% at the turn of 2020). With the business having finally hived off its troublesome retail operations, this is a stock I reckon is a top buy for the new decade. Enter Your Email Address Our 6 ‘Best Buys Now’ Shares Simply click below to discover how you can take advantage of this.last_img read more

Forget gold and buy-to-let! I’d buy cheap FTSE 100 shares to aim for a million

first_img Image source: Getty Images Renowned stock-picker Mark Rogers and his analyst team at The Motley Fool UK have named 6 shares that they believe UK investors should consider buying NOW.So if you’re looking for more stock ideas to try and best position your portfolio today, then it might be a good day for you. Because we’re offering a full 33% off your first year of membership to our flagship share-tipping service, backed by our ‘no quibbles’ 30-day subscription fee refund guarantee. With the price of gold trading near its all-time highs, I’d avoid speculating on the precious metal. Instead, I’d head for cheap FTSE 100 shares.Investors tend to see gold as a safe haven in times of economic uncertainty. But with lockdowns beginning to lift, there’s a chance that economies will recover well from where we are now.5G is here – and shares of this ‘sleeping giant’ could be a great way for you to potentially profit!According to one leading industry firm, the 5G boom could create a global industry worth US$12.3 TRILLION out of thin air…And if you click here we’ll show you something that could be key to unlocking 5G’s full potential…Cheap FTSE 100 shares could beat inflationIn theory, gold can behave in a way that protects our money from inflation. But so can shares in the FTSE 100, because the underlying businesses can raise their selling prices. And I reckon inflation may be a problem in the years following this crisis.But to me, there’s a risk that the price of gold could fall from its current level because of ongoing speculation. I think speculation is likely a bigger driver of the gold price than underlying fundamentals. So inflation may not be as big a boost to gold as we might expect.However, the fundamentals of often-strong businesses drive the prices of FTSE 100 shares. And that effect shows up most over longer periods of time. As businesses increase their earnings and assets, their share prices tend to rise to accommodate the progress.Yet speculation can still distort share prices. We often see valuations rise to unsustainable levels. But the coronaviruses crisis has knocked many share prices back down. And with the speculative froth blown off, many stocks could prove to be selling cheaply now.Property prices look vulnerableMeanwhile, the future state of the property market is uncertain. It seems clear that economies will emerge in a different shape to what they were before the crisis. And we could see pressure on property prices. If people can’t afford property, the market could weaken. Falling personal incomes could be one potential driver for lower real estate prices.For example, just last week airline operator eazyJet said in an update it expects reduced customer demand until 2023. In other words, it looks like the business will take around three years to recover to the pre-coronavirus levels of 2019. And with its statement, easyJet announced its intention to axe around 30% of its workforce – about 4,500 jobs.My guess is we could see many losing their jobs across several sectors in the months ahead. And such a scenario is not a good basis for sustaining property prices now, no matter how cheap money is to borrow for mortgages. We may even see a crash in property prices to match the one we’ve just seen in the stock market. So I’d avoid putting new money into a buy-to-let property directly right now.Of course, it never feels completely safe to be putting money into shares when the economic outlook is uncertain. But historically, the FTSE 100 has always recovered from its lows. And buying shares in times of uncertainty when prices are lower often works out better than buying when the outlook is rosy and prices are higher. I would like to receive emails from you about product information and offers from The Fool and its business partners. Each of these emails will provide a link to unsubscribe from future emails. More information about how The Fool collects, stores, and handles personal data is available in its Privacy Statement. Click here to claim your copy now — and we’ll tell you the name of this Top US Share… free of charge! Our 6 ‘Best Buys Now’ Shares Enter Your Email Address Forget gold and buy-to-let! I’d buy cheap FTSE 100 shares to aim for a millioncenter_img I’m sure you’ll agree that’s quite the statement from Motley Fool Co-Founder Tom Gardner.But since our US analyst team first recommended shares in this unique tech stock back in 2016, the value has soared.What’s more, we firmly believe there’s still plenty of upside in its future. In fact, even throughout the current coronavirus crisis, its performance has been beating Wall St expectations.And right now, we’re giving you a chance to discover exactly what has got our analysts all fired up about this niche industry phenomenon, in our FREE special report, A Top US Share From The Motley Fool. Kevin Godbold | Saturday, 30th May, 2020 “This Stock Could Be Like Buying Amazon in 1997” Simply click below to discover how you can take advantage of this. See all posts by Kevin Godbold Kevin Godbold has no position in any share mentioned. The Motley Fool UK has no position in any of the shares mentioned. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors.last_img read more