We have some exciting news to share! The Motley Fool UK has now become The Twelfth Magpie -- an independent, UK-owned company, led by our long-serving UK management team — Mark Rogers, Chris Nials and Heather Adlington. In practical terms, it’s the same team you know, now fully focused on serving our UK readers and members.

Just as importantly, our approach remains unchanged: long-term, jargon-free, and on your side. This site is our new home, and there will be extra tweaks made across the coming few days as we settle in. So if anything looks a little off, please bear with us!

2 FTSE 100 shares that could outperform this year regardless of geopolitics

Jon Smith notes the volatile market but explains how to pick FTSE 100 shares that can be fairly insulated to the external geopolitical winds.

| More on:
Shot of an young mixed-race woman using her cellphone while out cycling through the city

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Twelfth Magpie’s Premium Investing Services. Become a member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn more, and get a free 'Best Buy Now' stock!.

The geopolitical landscape is changing rapidly. The situation in the Middle East highlights that it is hard to keep up with the ongoing developments. Despite this, there are FTSE 100 shares that can be resilient in the current global environment, given their business operations. Here are two that are worth pointing out for investors looking for somewhere to shelter.

A consistent track record

First up is GSK (LSE:GSK). The global pharma giant is up 57% over the past year and 10% so far in 2026, despite recent market turmoil.

Should you buy GSK shares today?

Before you decide, please take a moment to review this report first. Despite ongoing uncertainties from US tariffs to global conflicts, Mark Rogers and his team believe many UK shares still trade at substantial discounts, offering savvy investors plenty of potential opportunities to learn about.

That’s why this could be an ideal time to secure this valuable research – Mark’s analysts have scoured the markets to reveal 5 of his favourite long-term ‘Buys’. Please, don’t make any big decisions before seeing them.

If the share price performance wasn’t enough to prove the company can do well even during volatile times, the business model should. It sells essential medicines and vaccines, so demand doesn’t fall during recessions or geopolitical shocks. Healthcare demand is structurally rising, primarily due to ageing populations the world over.

At the same time, it’s investing heavily in new products. Recent trading updates showed a strong pipeline in areas like HIV, oncology, respiratory and others. This should act to future-proof the company, as medical advances continue to play out.

From a valuation perspective, I don’t believe it’s overvalued. In fact, with a price-to-earnings ratio of 12.19, it’s well below the FTSE 100 average of 17.6. Therefore, it could be considered a value play along with its defensive attributes.

In terms of risks, it’ll always be at the mercy of the respective regulators around the world. If sentiment changes and certain drugs don’t get approved, it could present costly mistakes for the company.

UK-centric

Another firm to consider is J Sainsbury (LSE:SBRY). So far this year, the stock is up 3%, and up 48% over the past year. I’d argue that food retail is one of the most non-discretionary items for any consumer. No matter what happens with global wars or a struggling UK economy, people need to eat.

That puts supermarkets like Sainsbury’s in the same defensive bucket as GSK, but arguably even more so due to the frequent, habitual spending of foodstuffs. Further, Sainsbury’s revenue is overwhelmingly UK-based, with supply chains that are more localised than global industrial firms. So even though it may experience some supply chain disruption due to the conflicts, it is not as large as other sectors.

Importantly, the firm competes across price tiers (including things like Aldi price-matching strategies). It has its own strong-brand ranges, which offer higher profit margins than branded goods.

When I add it all together, I think the company could be considered by investors. Of course, the supermarket space is very competitive. It operates on low profit margins, meaning that only a relatively small cost increase can hurt the overall business. But even with this, I still think the outlook for the coming year is net positive.

Jon Smith has no position in any of the shares mentioned. The Motley Fool UK has recommended GSK and J Sainsbury Plc. 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.

More on Investing For Beginners

A retired couple review their investing portfolio
Investing Articles

How to avoid a retirement mistake 19m Brits are making with an ISA!

Royston Wild shows how you could target a comfortable retirement with a Stocks and Shares ISA -- and reveals a…

Read more »

pensive bearded business man sitting on chair looking out of the window
Investing Articles

Will axing this 174-year-old brand boost Lloyds’ share price?

Lloyds' wide brand portfolio has helped its share price take off in recent times. But could one of them be…

Read more »

A young woman sitting on a couch looking at a book in a quiet library space.
Investing Articles

Here’s how someone could start investing this June for under £1,000

Our writer busts three common myths that keep some people dreaming rather than following through on their goal to start…

Read more »

Abstract 3d arrows with rocket
Investing Articles

Should I buy SpaceX stock for my ISA after the June IPO? 

SpaceX stock offers exposure to a huge growth market and a stake in a generational company. But is it an…

Read more »

View of Lake District. English countryside with fields in the foreground and a lake and hills behind.
Investing Articles

How much is needed in a Stocks and Shares ISA for a £1,000 weekly passive income

Harvey Jones shows how investors can use their Stocks and Shares ISA to build a large pot of wealth and…

Read more »

Sunrise over Earth
Investing Articles

Here’s the top share on the London Stock Exchange over 5 years

This space share on the London Stock Exchange has left Earth's orbit and headed to the stars in recent years.…

Read more »

Front view of a young couple walking down terraced Street in Whitley Bay in the north-east of England they are heading into the town centre and deciding which shops to go to they are also holding hands and carrying bags over their shoulders.
Investing Articles

These 2 income shares yield over 5.7% and are up over 20% in the last year!

Jon Smith talks through two income shares that boast strong price gains over the past year, potentially offering the best…

Read more »

British Airways cabin crew with mobile device
Investing Articles

IAG shares have slumped over 10%, but is this a buying opportunity?

IAG shares are wobbling again as war-driven fuel costs soar. But with profits still strong, is the market overreacting? And…

Read more »