Image source: Getty Images The average dividend yield of the FTSE 100 is 3.28%. So, for an investor who has a diversified portfolio of stocks from the index, I’d expect the passive income percentage to be around this level. However, with the UK base rate at 4.25%, some might feel that stocks aren’t the best way to generate a good yield. Yet if they just targeted high-yield shares instead, here’s how things could look. Making the numbers work When I’m talking about high-yield options, technically, I’m referring to any stock that yields above the average. But in reality, I’m focusing…
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Image source: Getty Images BP (LSE: BP) and Shell (LSE: SHEL) shares are prone to struggle when the oil price is falling, but that’s not the only factor affecting performance. If it was, their shares would bob up and down, in line with energy costs and each other. And they’re not. Brent crude has fallen from $76 to $68 a barrel in a year, a drop of roughly 10%, and that’s weighed on both stocks. Yet BP has struggled more, with its shares down 12%, while Shell has slipped a milder 4%. BP’s dividend has cushioned some of the blow. With a trailing…
Image source: Getty Images UK investors looking for passive income can get up to 5% a year by leaving their money in cash. But with interest rates set to fall, I’m not convinced this is a particularly good idea. Even with savings accounts offering some attractive rates, I think income investors should focus on the stock market. Especially shares in companies that return cash to investors as dividends. Saving and investing Getting 5% a year creates a strong temptation for investors. With £20,000, there’s the opportunity to leave the money in cash and collect £83 per month in interest. That…
The Washington PostTrump covets rare earth riches, but Greenland plans to mine its own businessInterest in Greenland’s minerals is soaring, driven in part by Trump, who has said the U.S. must “get” the island. But the rare earths will be hard to mine..1 week ago Source link
Image source: Getty Images If someone buys a share for a penny and it reaches a pound, their return will be 10,000%. Buying the same share at 50p and seeing it hit a pound means a return of a far more modest 100%. That logic has an attractive element to it. But it is also highly simplistic. Some penny shares turn out to be screaming bargains. Others though, fall until they are worthless. So, does being a price in pennies make a share cheap? How to value shares The answer is definitely ‘not necessarily’. A penny share may be cheap…
Image source: Getty Images While the FTSE 100 index is trading near record highs at the moment, there are lots of UK stocks that still look really cheap. Recently, I ran a screen on the market to identify stocks trading 30% or more below their average price targets and tons of names came up. Here, I’m going to highlight a stock that is currently trading 46% below its average analyst price target. If its target price was to be achieved, a £2,000 investment today could potentially grow to £3,760. A small-cap stock with potential The stock in focus here is…
Image source: The Motley Fool Billionaire investor Warren Buffett has made some brilliant stock market moves over the decades. But he has also made some pretty bad ones. His company Berkshire Hathaway announced over the weekend that it had written down the value of its investment a decade ago in Kraft Heinz by $3.8bn. That sounds like a very costly mistake. In reality, the picture is a bit more complicated. Berkshire has received over $6bn in dividends since investing in Kraft Heinz, for example. Still, investing in the baked beans giant was not one of the best moves Warren Buffet…
Image source: Getty Images Former Prime Minister Harold Macmillan once famously quipped that what derails governments isn’t policy, but “events, dear boy, events.” In other words, unpredictable stuff. Yet some of the FTSE 100’s biggest winners of the past five years have surged precisely because of external events. Here, I want to highlight five that have rocketed at least 250% since August 2020. Back then, few would have bet on them doing so. Interest rate shifts Five years ago, the UK was suffering from the pandemic, with minimal economic activity. Interest rates were slashed to near 0%, the lowest in…
More than 50 of Denver’s bridges for vehicle traffic are in worse condition than two viaducts chosen for sizable investment under the city’s proposed bond package, according to city records. Those two projects, for West Eighth and Sixth avenues, are next door to a potential site under consideration by the Denver Broncos for a new stadium. The city would allocate a combined $140 million for them, or nearly 15% of the “Vibrant Denver” bond package’s overall dollars, under a ballot measure voters may consider this November. After City Council members scrutinized the bridge projects near Burnham Yard, some community members…
Amazon reported strong second-quarter results for 2025, exceeding Wall Street expectations on both revenue and earnings. However, a lighter-than-expected guidance for the upcoming quarter and lukewarm growth in its cloud business triggered a sharp stock decline. Investors, while impressed with the current numbers, are showing concern over the company’s forward momentum, especially in light of increasing competition in the AI-driven cloud space. On the other hand, if we take a peek into its sustainability goals, the retail giants’ emissions are still challenging. Let’s study the revenue growth and the net-zero plans in the content below: Despite this strong showing. The…