I would like to buy these FTSE 100 bargains paying dividends in an ISA today

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After the stock market crash, I think these FTSE 100 Dividend-negotiated stocks should encourage investors to use their new ISA allocation for stocks and shares.

While other FTSE 100 companies have paid their dividends, these three companies are holding on for the moment. This reflects their solid balance sheets and their healthy cash generation. You can also buy them at bargain prices.

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Two FTSE 100 bargains

Like most FTSE 100 actions, the Anglo-American (LSE: AAL) The share price took an absolute hit at the start of the crash. He had warned of a drop in the production of iron ore and coal due to the global blockage. It also suspended its Woodsmith polyhalite project in the UK just days after finalizing the purchase of Sirius Minerals.

Despite this, it stands out with its dividend, which currently offers investors a 5.5% return, with generous coverage of 2.49 times earnings.

So far, the mining giants have been relatively successful in maintaining their dividends, Rio Tinto and BHP Group keep paying. It also makes them the best FTSE 100 deals. The natural resources sector appears to be under less political pressure to suppress payments than, say, the banks.

The next step in Anglo-American stock prices depends on how quickly the global economy begins to recover, particularly China. The country is still the main source of demand for products such as metals and minerals and is showing signs of recovery, according to the IMF.

The road to recovery will be bumpy. But even if the Anglo-American dividend is cut at some point, I still think it remains a solid long-term buy and hold. Especially since its shares are almost 40% cheaper than before the stock market crash.

South Africa’s mining specialist’s strong track record and relatively low net debt of £ 3.6 billion make it look like a real bargain from the FTSE 100 today.

A hero of the progressive dividend

the Diageo (LSE: DGE) The stock price also seems tempting at the moment. I am clearly not the only one who thinks so. This stock of dividends has increased 20% in the past two weeks, but I still think it’s a good FTSE 100 deal worth buying today’s higher price.

Diageo is exactly the type of company investors should target in the midst of a stock market crash. It has a strong position in the market, with a multitude of premium brands, including Baileys, Guinness, Smirnoff and Johnnie Walkerand loyal customers.

Net debt of around £ 11.5 billion, about 2.6 times EBITDA’s profit, is manageable for a company with a market capitalization of £ 64 billion. Sales can take a hit in the short term as some drinkers are feeling the financial pressure, but others will need a drink or three to survive the blockage.

Diageo’s yield seems weak at 2.7%, but it is well covered 1.76 times by the profits. The management policy is progressive, so you can expect strong dividend growth in the long term, once we get past the current crash.

I think every wallet could benefit from a Diageo plan. Especially at the bargain price today.

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Harvey Jones has no position on any of the actions mentioned. Motley Fool UK recommended Diageo. The opinions expressed on the companies mentioned in this article are those of the author and may therefore differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. At The Motley Fool, we believe that taking into account a diverse range of ideas makes us better investors.



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