Main UK actions for November 2020

0
24


We asked our freelance writers to share the top UK stocks they would buy in November. Here is what they chose:


Rupert Hargreaves: Relx

One of the largest London-listed tech stocks is the global provider of information and analytics for professional and business clients. Relx (LSE: REL).

This company offers its customers a highly specialized service, which the competitors have not been able to replicate. This is why earnings per share have more than doubled in the past five years.

As the group builds on these advantages, I believe that this growth can continue. Investors can also expect a 2.6% dividend yield, well covered by earnings per share.

If one was looking to add a blue chip growth and income stock to your portfolio, Relx ticks all the boxes.

Rupert Hargreaves does not own any shares in Relx.


Tom Rodgers: BP

BP (LSE: BP) is facing the biggest strategic shift in its 110-year history. A multi-year shift from Big Oil to Big Energy includes a 40% reduction in oil and gas production, and the loss of that fossil fuel revenue will be costly. The BP share price was hit hard in 2020, falling 59% to its lowest level in 26 years. But I think it’s overkill. And because of its investments in green power – including the Chargemaster and Lightsource electric vehicle charging network, the world’s third-largest solar energy developer – I consider BP to be the best in the long run, buy low. , sell a high opportunity.

Tom Rodgers does not own any shares in BP.


Royston Wild: B&M European Value Retail

There’s a good reason the city’s analysts believe B&M European Value Retail’s profits will climb 75% in this fiscal year (until March 2021). Retailers with a wide range of essentials at low prices make sense during tough economic times like this.

This is why the FTSE 100 new boy reported at the end of September that like-for-like sales climbed 23% between March 29 and June 27. I expect another bullish update when B&M releases semi-annual trading details on Thursday, November 12.

The B&M share price has climbed 55% since the start of 2020. And I expect it to add to those gains in the coming days. Trading on a price-to-earnings growth ratio (PEG) of 0.2, I think this top UK stock is too good and too cheap for me to run out in November.

Royston Wild détient des actions dans B&M European Value Retail.


Harshil Patel: Ashtead

With the US election on November 3, certain sectors could be particularly targeted in the months and years to come. Both sides have indicated their desire to increase infrastructure spending.

Ashtead (LSE: AHT) is well positioned to take advantage of this, with its US-focused Sunbelt Rentals brand. Ashtead is an FTSE 100 listed equipment rental company, supplying a range of construction equipment used in the construction of roads, buildings and other infrastructure projects.

With a high margin business model and double digit return on capital, I would say this quality industrial player is well positioned to take advantage of the growing growth in US infrastructure.

Harshil Patel does not own any shares in Ashtead.


Edward Sheldon: Hargreaves Lansdown

My best British part for November is Hargreaves Lansdown (LSE: HL).

Hargreaves released a very strong set of annual results in August, given the financial environment. For the fiscal year ended June 30, sales increased 15% while profit before tax increased 24%. The company increased its regular dividend by 11% and also declared a special dividend. This dividend activity indicates that management is confident about the future, in my opinion.

Since these results, however, the Hargreaves share price has fallen quite significantly. I see this weakness in stock prices as a buying opportunity. I think buying this high quality FTSE 100 stock now, while not favorable, might be a good decision in the long term.

Edward Sheldon owns shares in Hargreaves Lansdown.


Kevin Godbold: Unilever

I think Unilever (LSE: ULVR) is perhaps the strongest fast-growing consumer goods company listed on the London Stock Exchange. Brands such as Hellman’s, Domestos, Vaseline, Parsley and many others have generated record growth in cash flow and dividends over many years. Meanwhile, in the recent third quarter update, Unilever reported underlying sales growth of 4.4% and a positive outlook.

I would like to buy and hold the shares for the long term because I believe the company will continue to grow. The company is trading well during the pandemic so I would be looking forward to buying this top UK stock in November.

Kevin Godbold does not own Unilever shares.


Jonathan Smith: Aston Martin Lagonda Global Holdings

the Aston Martin Lagonda Global Holdings The share price (LSE: AML) has had a scorching year so far. Down by more than two-thirds, the temporary closure of the manufacturing site and rising debt levels have worried investors. However, I think the title seems undervalued. When you compare the market cap of around £ 900million to the enterprise value of £ 1.66 billion, the disparity is larger than normal.

Add to the mix the new DBX model, which is the first SUV produced by Aston Martin. Given the success observed in this market segment via Porsche, DBX could provide the catalyst to turn a profit in 2021.

Jonathan Smith has no position in Aston Martin Lagonda Global Holdings.


Andy Ross: Barclays

British bank stocks have not been the place to invest for some time. Still, I think that might change from this month. Shares in Barclays (LSE: BARC) started to climb in late October after the bank announced a positive set of third quarter results.

These results showed better than expected profits following the good performance of its consumer activities and the sharp decline in provisions for bad debts.

Overall, with Barclays shares now being so cheap, any good news like the virus or Brexit, for example, could keep the share price recovering.

Andy Ross does not own any shares in Barclays.


Roland Head: Tate & Lyle

I think FTSE 250 company Tate and Lyle (LSE: TATE) could be an overlooked boon at current levels.

The group, which makes sweeteners and ingredients used by food and drink producers, is expected to release its half-year results on November 5. While sales have suffered from lower restaurant and bar demand, I believe the 15% drop in the share price this year is more than enough to reflect this temporary weakness.

With TATE shares now trading at just 12 times expected earnings and offering a dividend yield of 4.6%, this is one of the top UK stocks I would buy in November and hold for 10 years.

Roland Head does not own any shares in Tate & Lyle.


Paul Summers: Moneysupermarket.com

The possibility of more lockdowns and a surprise U.S. election result could make November another volatile month for markets. Not that this should worry those who invest in quality companies for the long term. An example is the price comparison site Moneysupermarket.com (LSE: MONY).

Of course, recent exchanges have not been great thanks to the coronavirus pandemic. Revenue fell 16% in the third quarter due to ongoing travel restrictions and lower product availability from banks. However, with households looking to save money where they can in the coming months, I suspect opposites will eventually pay off.

In the meantime, Moneysupermarket has £ 5million in net cash and continues to pay dividends. A forecast P / E of 16 seems very interesting.

Paul Summers owns shares in Moneysupermarket.com.


GA Chester: BAE Systems

The actions of the defense giant BAE systems (LSE: BA) have remained in the doldrums since the fall of the pandemic market crash in the spring. I believe now might be a great time to buy this quality long term business.

A trusted partner of the British and allied governments, it has an order book of £ 46 billion. And despite difficult conditions this year, management expects profits to be only a single-digit percentage lower than last year.

The stock is trading at a modest 10.5 times guided earnings, while a potential dividend yield of over 5% adds to value benchmarks.

GA Chester has no position in BAE Systems.


Manika Premsingh: BHP

In its latest update, the FTSE 100 industrial metal miner, BHP (LSE: BHP), reported increased production of iron ore and copper equivalents. This is good news at a time when demand for metals is on the rise as the Chinese economy recovers.

Other FTSE 100 miners, like Rio Tinto and Anglo-Americanrecently released similar positive updates further confirming the trend. The fact that BHP’s stock price over the past month has been moderate is a good reason to consider buying the stock now. With a better global economic outlook for 2021, I don’t think this trend will last long, making this my first UK action for November.

Manika Premsingh does not hold any position within BHP.




LEAVE A REPLY

Please enter your comment!
Please enter your name here