2020 has proved to be a challenge for labeled investors. If you've been investing in UK stocks since the beginning of the year, chances are you've taken a dramatic step by looking at your earnings.
Statistics show that more than
three-quarters of companies that made a full fourth acquisition during the
second quarter of the COVID-19 lockdown have reduced or canceled profits. That
compares with only 40% after the banking crisis a decade ago. And it is
possible that shareholder payments will be reconsidered’ before the rate of
corona virus infection increases worldwide.
The UK still pays the profits that hit
inflation
It is clear that UK shareholders need to
be extremely careful before splitting their cash. But there is no reason for
them to pull the draw and stop buying stocks altogether. There are many UK
stocks that should keep their investors from making lucrative profits despite
the global economic downturn.
Defense companies such as utility
providers, food manufacturers, and general insurers can be expected’ to
continue to generate good revenue. Their basic lines remain strong during
economic downturns and recessions. And there are many revolving British stocks
that have enough balance sheet power to navigate existing flats and continue to
make huge profits.
According to Link Group, the UK's earnings
per share for the next 12 months is between 3.6% and 3.3%. Even at the bottom,
it surpasses the offer of cash products such as ISA. Even the best ISA payments
offer a small sub-1% interest rate.
I bought 3 highly profitable stocks in ISA
In fact, the stock market crash in early
2020 has pushed the production of many UK stocks ahead of the Link Group. Take
National Grid Operator National Grid, for example. This is an improvement of
5.8% over current prices. Meanwhile, fellow FTSE 100 Royalty and Telecom Titan
Vodafone Group have 8% growth. And food and beverage maker Tate & Lyle has
a lucrative 4.3% profit.
Investors also need not worry that these
products look a little bloated. Both of these UK stocks carry out notorious
defensive operations and can even claim to run rock solid balance sheets. They
are just a taste of the best profitable stock that shareholders can choose from
now. And a library full of Motley Fool and its standard special reports can
help you dig even deeper.
I have continued to buy UK stocks and
shares for ISA and I think you will continue to buy. The 2020 stock market
crash has created a great opportunity for you and me to buy standard shares at
rock-bottom prices. So do some research and keep buying dividend stocks for
your investment portfolio. Despite the global economic downturn, you still have
a terrible chance of becoming a stinking rich man.
Markets around the world are infected’
with the corona virus epidemic.
And with so many big companies trading in
what seems to be 'discount-bin' prices, now may be the time for sensible
investors to make potential deals.
But whether you're a newborn or an
experienced supporter, deciding which stock to add to your shopping list can be
a daunting task at such unprecedented times.
Fortunately, Motley Fool is here to help:
Our UK Chief Investment Officer and his team of analysts have shortlisted five
companies that they believe will stand out despite the global lockdown.
Increasing long-term growth prospects;
You see, here at Motley Fool, we don't
believe that "over-trading" is the right way to financial freedom in
retirement. Instead, we advocate buying and holding at least 15 or more
standard companies (for at least three to five years), with shareholder
management teams.
That's why we're sharing the names of
these five companies in a special investment report that you can download for
free today. If you're 50 or older, we think these stocks may be the perfect fit
for any kind of diversified portfolio, and that you might immediately consider
a position in the top five. ۔
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