The FTSE 100 rarely rewards patience as quickly as it had with Informa (LSE: INF) this spring. The stock’s recovered from a 719p low to around 866p – a 20% gain in a matter of months.

The big catalyst has been world leaders rediscovering the pleasures of signing memoranda, rather than exchanging missiles. And while that could change, there’s a lot to be optimistic about if things hold steady.

Trade shows

Informa’s the world’s largest B2B trade show organiser. The rise of video calls during Covid-19 was expected to be a big threat to these events, but that simply hasn’t materialised.

Instead, deals worth millions still get done over a below-average conference coffee. And Informa owns the leading gathering in any number of key industries, including: 

This is where industry participants meet and being the biggest and the best is everything. The largest buyers attend the largest show, which attracts the largest sellers.

The unit economics are quietly beautiful. Informa rents its venues rather than owning them, so it doesn’t have any of the associated costs of maintaining and repairing buildings.

Its real assets — brands, exhibitor relationships, decades of attendee data — are intangible. As a result, 106% of operating cash becomes free cash flow, which is expected to exceed $1bn this year.

The end of the war changes the maths

The conflict in Iran explains the 719p low. A Middle East-centred events business was never going to fare well with an ongoing conflict in the neighbourhood and the obvious risk right now is that this reignites. 

The memorandum signed by the US and Iranian leaders on 17 June changes the picture — at least for now. And it also shines a spotlight on inD, Informa’s newly finalised joint venture with Dubai World Trade Centre.

Informa holds a 52% stake in the business, which houses some of the biggest events in the world. The venture’s expected to generate revenues in excess of $650m in 2026, with margins above 30%.

There are reports that the partners are already eyeing a listing, with preparations for an early stock market launch said to be underway. That could be a big windfall for Informa.

Elsewhere, underlying revenues are up 6.4% in the first part of the year and this should translate to double-digit earnings per share growth. In other words, things are going well.

The risks… and the verdict

The obvious risk for investors is a restart of the Iran war. If the latest ceasefire proves as durable as conference Wi-Fi, things could look less a lot less certain for the inD IPO.

More generally, more friction in international trade’s a bad thing for the business. That means tariffs are also a threat worth paying attention to. 

At a forward price-to-earnings (P/E) ratio of around 15, however, shares in a growing FTSE 100 company still look reasonably priced to me. I own the stock in my portfolio and I think it’s worth considering.

Should you invest £5,000 in Informa Plc right now?

When investing expert Mark Rogers and his team have a stock tip, it can pay to listen. After all, the flagship Twelfth Magpie Share Advisor newsletter he has run for nearly a decade has provided thousands of paying members with top stock recommendations from the UK and US markets.

And right now, Mark thinks there are 6 standout stocks that investors should consider buying. Want to see if Informa Plc made the list?

Stephen Wright owns shares in Informa.

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The stock market has a habit of celebrating news it should probably be squinting at. And Meta Platforms (NASDAQ: META) jumping 9% this week on plans to sell its excess AI computing capacity is a fine example. 

In a week when World Cup organisers discovered what happens when demand meets a heatwave, Meta has quietly admitted $125bn-$145bn for 2026 might be more computing power than it needs.

What’s the news?

The positive view is that ‘Meta Compute’ is a shrewd new cloud business to rival Amazon’s AWS and Microsoft’s Azure. The less polite one is that Meta has overspent again. 

When a firm commits $600bn to US infrastructure through 2028 and then starts renting out excess capacity, the question becomes whether compute demand is sustainable. And that’s a huge question in today’s stock market.

The market has already hinted at an answer. Data centre names have been sliding for weeks, and Meta’s announcement accelerated things. CoreWeave fell 13.9% in a day and sits 38% below its May high, while Nebius dropped 17%. Awkwardly, both count Meta as a flagship customer.

CoreWeave has a $21bn commitment from the company, Nebius up to $27bn. A landlord whose biggest tenant starts subletting should worry.

Investors are watching the details

American investor Michael Burry has been sceptical of the data centre boom. His charge is that hyperscalers are inflating earnings by extending chip depreciation schedules in an unjustified way. 

His estimate: a collective $176bn understatement of depreciation between 2026 and 2028, with Meta’s earnings overstated by 20.8% by 2028. And it’s not just Meta – similar points are true of Amazon and Microsoft.

Is Burry right? The counterargument is that older chips are holding their value better than before, as evidenced by higher rental prices:

• H100 rental prices have risen roughly 40% since October 2025, from about $1.70 to $2.35 an hour — the opposite of depreciation.
• Memory prices have gone parabolic, with DDR5 contract prices tracking towards 5x year-on-year increases.

The trouble is that this effect can also happen in reverse. If compute demand falls, older chip prices fall, depreciation schedules suddenly look generous, and those flattered earnings deflate.

Extended depreciation schedules mean the stakes are high precisely because the accounting only works while the party continues. And Meta might be the first sign that it isn’t going to last forever.

A crash warning?

Meta’s view for some time has been that the risk of underinvestment is greater than the risk of overinvestment. So the latest news shouldn’t be a huge surprise.

It’s also worth noting that it has had some genuine success with its products. Over 4m advertisers now use its AI tools and its AI agents are showing real signs of progress. 

The latest news doesn’t mean a crash is coming. But it’s a reminder to be wary of stocks priced as though the good times last forever.

Meta isn’t on my Buy list right now – I’m focusing on other opportunities. And in most cases, those are businesses that don’t need an adjusted depreciation schedule for the numbers to stack up.

Should you invest £5,000 in Meta Platforms right now?

When investing expert Mark Rogers and his team have a stock tip, it can pay to listen. After all, the flagship Twelfth Magpie Share Advisor newsletter he has run for nearly a decade has provided thousands of paying members with top stock recommendations from the UK and US markets.

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Stephen Wright owns shares in Amazon and Microsoft.

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Dividend stocks rarely make the front pages. And in a week when a sitting Prime Minister prepares for his exit and Westminster unveiled a new defence spending plan, that might be their greatest charm. 

While politicians discovered that job security isn’t guaranteed, Tesco (LSE: TSCO) quietly paid its final dividend on 26 June. It tends to do that regardless of who is measuring the curtains in Downing Street.

Passive income

That reliability is the whole point of passive income investing. A dividend arrives whether markets are euphoric or despondent, and reinvesting it buys more shares, which generate more dividends in turn. 

The compounding process is slow, unglamorous, and devastatingly effective. The common mistake is to try and speed things along by looking for very high yields.

That can be risky — a 9% payout is often a warning sign of a cut to come. A 3%–4% yield growing at 7% a year is often the better long-term income engine.

Enter Tesco, with its 3.4% dividend yield. Could that be worth considering for income investors seeking stocks to think about buying in July?

What diligent investors will notice about Tesco

Tesco is the UK’s largest grocer, and its market share is now at its highest level in over a decade. And the firm’s scale is its big advantage.

More stores and the chance to reach more customers give the company buying power with suppliers. Smaller rivals just don’t match up.

The Clubcard scheme also gives the firm better data than rivals. Think about how Meta Platforms knows which ads you click on – but with food.

The Aldi price match scheme makes Tesco competitive against the toughest rivals. And people keep coming through its doors in recessions, pandemics, and everything else.

What about margins?

Retail is notorious for tight margins. This is especially true of groceries, where consumer choices are mostly driven by price and value.

It makes inflation a real challenge. And raising prices to offset cost increases risks alienating customers who can easily go elsewhere. 

One strategy for dealing with this is to try and offset higher costs with growth elsewhere. And Tesco has done this very effectively recently.

A combination of 4.3% revenue growth and a £1.45bn share buyback programme have boosted earnings per share. And there’s more to come on the buyback front.

 A dividend opportunity?

Tesco’s shareholder returns – both dividends and buybacks – are covered by the firm’s free cash flows. That’s a very positive sign.

At around 459p, a £10,000 investment would buy roughly 2,178 shares. That’s about £340 a year in dividends at the forecast payout. 

The real case for buying the stock has nothing to do with inflation, interest rates, or whoever ends up in No. 10. It rests on the firm’s key competitive strengths. 

Those include durable scale, dependable cash generation, and a management team committed to returning cash to investors. That was true last July and it’ll likely be true next year.

That’s exactly what dividend investors want from stocks. And it’s why right now looks to me like as good a moment as any to think about buying.

That being said, it’s not the only name worth considering. As we head into July, I’ve got a few growth and income stocks on my radar.

What income stock do we like better than Tesco Plc right now?

One of our Share Advisor analysts has just released a brand new stock report that we think is a must-read for any investor looking to try and generate potential income.

And the best bit is that you can see if for yourself, right now, absolutely free of charge!

No jargon. No hard sell. Just a clear look at an income share we think is worth your time.

Stephen Wright does not own shares in any of the companies mentioned.

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UK shares have spent the best part of the last 20 years asleep. But a couple of charts buried in JP Morgan‘s latest Guide to the Markets suggest the mood might be about to shift.

UK stocks are cheap right now

On a 12-month forward price-to-earnings basis, the FTSE 100 trades at around 12.6 times. Only China sits lower among the major markets JP Morgan tracks. 

The US, by contrast, is on 21.3 times. That’s not a rounding error, it’s a 70% premium for owning the same world, just with better tech stocks and a stronger sense of its own destiny.

Source: JP Morgan Guide to the Markets

A discount that size means either Britain is heading for the economic equivalent of a rain-soaked Wimbledon final, or the market has simply stopped paying attention. Or both.

Reading the manufacturing tea leaves

The other chart worth paying attention to is the UK’s Purchasing Managers’ Indices. It’s a key leading indicator of economic activity – and it looks interesting right now.

While Services has been losing momentum, Manufacturing has been doing the opposite. That’s a change from normal service. 

Source: JP Morgan Guide to the Markets

For most of the last 15 years, Services has been leading the way while Manufacturing has faltered. But the latest shift creates an interesting setup for value investors.

A factory sector that’s stopped shrinking, underneath a market this cheap, is worth a look. Don’t call it a comeback, but it’s the kind of thing diligent investors tend to notice.

Where to look?

What does the UK manufacture these days? One answer is bricks, but the housing market isn’t encouraging.

Another answer is defence stuff. With the likes of BAE Systems, Babcock, and Rolls-Royce, weapon-grade weapons are still a strong suit for British manufacturing.

As an additional boost, Keir Starmer just confirmed an extra £15bn for defence over the next four years. Exactly where that comes from might be Andy Burnham’s problem.

For a lot of investors, this kind of news is the cue to buy some of the names above. But I’ve been looking at a different stock.

Under the radar

Cohort (LSE:CHRT) is a defence tech company. It makes things like communication, sonar, and surveillance systems that go submarines and other vehicles.

The firm recently posted full-year revenue up 12% to £303m, with a record order book of £620m. That’s about 80% of next year’s expected revenue already locked in.

Here’s what I like about the company:

• Order intake of £313m outpaced revenue again, the third year running
• Communications and Intelligence margin jumped to roughly 20%, from 16.8%
• A €42.3m Portuguese Navy contract shows export demand isn’t just a UK story

Starmer’s package should provide a further boost. But it’s worth noting that a change of leader means the funding gap not being filled is a real possibility.

Even so, Cohort’s order book was built well before this week’s announcement. That means it’s a welcome boost, rather than a crucial requirement.

Buy in July?

Cohort shares are up 42% since the start of the year. But there’s a lot going the company’s way at the moment. 

I don’t think investors should be too quick to conclude that the time to buy this one has passed. I can still see a lot worth paying attention to.

Should you invest £5,000 in Cohort Plc right now?

When investing expert Mark Rogers and his team have a stock tip, it can pay to listen. After all, the flagship Twelfth Magpie Share Advisor newsletter he has run for nearly a decade has provided thousands of paying members with top stock recommendations from the UK and US markets.

And right now, Mark thinks there are 6 standout stocks that investors should consider buying. Want to see if Cohort Plc made the list?

Stephen Wright does not own shares in any of the companies mentioned.

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Retiring early and living off dividend shares is the dream for a lot of us. And for some, it’s a genuine reality.

Earlier this week, the BBC profiled a couple who retired at 40 and 35, crediting home-made sandwiches for £40,000 worth of savings. But how realistic is this?

What social media said

Users on X, predictably, were not moved. “The higher your income, the earlier you retire,” went one popular reply – and they have a point.

An actuary and a life coach with no mortgage and no children should be in a decent financial position. But the underlying maths deserves better than a social media pile-on. 

It isn’t really about lunch and what people do or don’t spend on it. It’s about small, regular amounts invested for a long time.

This was also the week Segro shares jumped almost 19% on an unsolicited takeover approach. That’s a reminder that property income can be worth paying a premium for.

What can £8 a day achieve?

Consider £8 a day – roughly a supermarket meal deal for two – redirected into dividend shares rather than a bank account, with dividends reinvested:

The gap widens because compounding rewards patience, not sacrifice. And that’s the important thing, whether it’s £8 or £80 a day.

The key is putting excess cash to good use. And finding opportunities to invest is what it’s all about, regardless of how much you start with. 

Turning your meal deal into an asset

For an income-focused example, consider Supermarket Income REIT (LSE: SUPR). The business literally makes money from the supermarkets selling the sandwiches. 

The shares trade around 83p, yielding roughly 7.4%. And 98% of the FY26 target dividend of 6.18p is currently covered by earnings.

That’s a high payout ratio, but in the context of tax-advantaged real estate investment trusts (REITs) it’s not unusual (as Tom Jones might say).

Please note that tax treatment depends on the individual circumstances of each client and may be subject to change in future. The content in this article is provided for information purposes only. It is not intended to be, neither does it constitute, any form of tax advice.

Unlike other companies, REITs are required to return 90% of their income to shareholders as dividends. So low dividend cover is the rule, rather than the exception.

A closer look

One of the interesting things to look at with Supermarket Income REIT is inflation. If rising prices lead to interest rate increases, property valuations can fall.

That’s worth noting as a genuine risk. But the firm does get some protection from contracts with inflation-linked uplifts with the likes of Tesco and Sainsbury.

A concentrated tenant base can restrict scope for future rent increases. But a fully-occupied portfolio with relatively long leases should provide some stability.

The big question for investors is whether a 7.4% dividend yield is enough reward to offset the potential risks. In a market where REITs are proving popular, I think it’s worth a look.

Looking to retire early?

It goes without saying that not everyone’s financial situation is the same. But the best thing to focus on is your own situation  – not what someone else can or can’t do.

Whether it’s £8 or £80, finding the best opportunities is key. And I think anyone in the UK looking for an early retirement needs to at least know about dividend shares.

What income stock do we like better than Supermarket Income REIT Plc right now?

One of our Share Advisor analysts has just released a brand new stock report that we think is a must-read for any investor looking to try and generate potential income.

And the best bit is that you can see if for yourself, right now, absolutely free of charge!

No jargon. No hard sell. Just a clear look at an income share we think is worth your time.

Stephen Wright does not own shares in any of the companies mentioned.

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Shares in Space Exploration Technologies Corporation (NASDAQ:SPCX) – aka SpaceX – are 18.6% off their highs. But nothing has changed with the underlying business.

The company has a huge competitive position and the market it operates in is very real. But ultimately, that’s not the only thing that matters with investing.

What investing is (and isn’t)

Long-term investing, stripped of jargon, is one question. How much cash does a company hand back relative to what you paid? 

Put £10,000 into something with a genuine shot at 9% annual returns, and 10 years of compounding turns that into roughly £23,670. The hard part is the patience, not the maths.

Miss out entirely in Year 1, and the remaining nine years only need a touch over 10%, not 9%, to land in the same place. A blank first year barely moves the target.

That’s something I don’t think people pay enough attention to. Especially not in today’s market, where the big question seems to be how long stocks will keep going up.

Unfortunately, it’s the reality for anyone looking at stocks as serious investments. And from that perspective, SpaceX looks like a unique proposition.

SpaceX’s price tag

SpaceX launched on the stock market on 12 June. It went up and then down, but more buying is on the way. 

The company joins the Nasdaq 100 on 7 July. That will result in index funds buying regardless of price. 

The underlying business carried out more than 80% of the world’s mass to orbit last year. And demand from governments and satellite operators looks durable.

The issue is the price. Despite falling recently, the stock still has a roughly $2trn valuation. 

In that context, 2025’s adjusted EBITDA of $6.6bn implies a return of 0.33%. That means the company has to grow a lot — and quickly.

I’m not saying it can’t or won’t. But investing is about what’s likely, rather than what’s possible and I’ve got my eye on a cheaper – but less exciting – alternative.

Less expensive, less exciting

Like most companies, Broadridge Financial Solutions (NYSE: BR) is less high-octane than SpaceX. Then again, that’s true of most stocks.

The business handles proxy voting, shareholder communications, and trade processing for banks and asset managers. Not exciting, but important.

Deals are already in place for 93% of this year’s proxy positions, which removes a lot of uncertainty. And free cash flow comfortably covers a 2.8% dividend yield.

The stock is down 40% from its $270 highs, largely due to artificial intelligence (AI) fears. And the risk of disintermediation is worth taking seriously.

The question is whether the potential rewards are worth the risk. And $1.1bn in free cash flows translates to a 6.8% return on a $16bn business.

For shares in a near-monopoly, that’s unusually cheap. More importantly, it’s the kind of valuation that – left alone – does most of the work by itself.

Two very different ideas

SpaceX is an outstanding business. But it’s priced as though nothing is going to go wrong for years and that makes it risky.

By contrast, Broadridge is a less exciting one priced as though something already has. And that’s why it’s the one on my buy list in July.

Should you invest £5,000 in Space Exploration Technologies Corp. - Class A right now?

When investing expert Mark Rogers and his team have a stock tip, it can pay to listen. After all, the flagship Twelfth Magpie Share Advisor newsletter he has run for nearly a decade has provided thousands of paying members with top stock recommendations from the UK and US markets.

And right now, Mark thinks there are 6 standout stocks that investors should consider buying. Want to see if Space Exploration Technologies Corp. - Class A made the list?

Stephen Wright owns shares in Broadridge Financial Solutions.

The post Is SpaceX on my list of shares to buy in July? appeared first on The Twelfth Magpie.

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Workers on the National Living Wage need a £1,443 second income to maintain a decent standard of living. That’s according to the National Living Wage Foundation.

The stock market can’t fix everyone’s problems. But for those with spare cash, it might be able to help plug the gap. 

A sell-off worth examining

Unilever (LSE: ULVR) shares have had a rough few months. Investors reacted badly to its $44.8bn deal to combine the foods business with McCormick. 

The stock fell 5% on the news and various analysts expressed their disappointment. But I see an opportunity worth examining.

The critics make two main points. One is that Unilever brought in a new chief exec to turn the business around, not to sell it. Some investors thought the appointment of Fernando Fernandes as CEO was to reinvigorate growth in the food division. But what were they hoping for? 

Kraft Heinz posted a 3.4% organic sales decline in 2025 and guided for a further fall in 2026. Meanwhile, Campbell’s has ruled out 2026 sales growth entirely, with net sales down 4% this year. In short, foods businesses across the board are struggling. Unilever’s brands weren’t waiting to flourish — they were waiting in line with the rest of the industry.

Given this, getting rid of the foods unit doesn’t look like a bad move. At least this way it stops holding back the firm’s other divisions.

The deal argument

On the other side, the deal isn’t what investors were hoping for. Those who wanted to be rid of the foods division find themselves still owning most of it. 

The deal is structured as a Reverse Morris Trust. Unilever retains a 9.9% stake, which it intends to sell down gradually, while its shareholders will own 55.1% of the combined entity.

That’s not a clean exit — and with it comes residual exposure to GLP-1 headwinds and consumers trading-down. Which might be exactly the risks the firm was trying to get away from.

But what was the alternative? The market for packaged food assets isn’t exactly thriving right now. I think management might have done as well as possible.

A stock to consider

What remains as Unilever is the more interesting business. Beauty & Wellbeing delivered underlying sales growth of 4.3% in 2025, with Personal Care growing 4.7%. 

Free cash flow hit €5.9bn in 2025 at 100% conversion, comfortably covering €4.3bn in dividends. The cash proceeds will also fund €6bn of share buybacks through to 2029.

Source: Fiscal.ai

The dividend yield is close to a 10-year high, but I don’t think it’s a high-yield trap built on deteriorating cash flows. It’s a quality business that’s temporarily out of fashion.

Income investing

Earning a second income through the stock market takes two things. One is cash up front and the other is stocks that can turn that into real returns. The first part is getting harder and harder, especially for workers on the National Living Wage. But for anyone who can find cash to put aside, I think Unilever’s worth a look.

Mechanically, 3,566 shares generate £1,443 in annual dividends. Income investors, in my view, could do a lot worse than considering this one.

Should you invest £5,000 in Unilever right now?

When investing expert Mark Rogers and his team have a stock tip, it can pay to listen. After all, the flagship Twelfth Magpie Share Advisor newsletter he has run for nearly a decade has provided thousands of paying members with top stock recommendations from the UK and US markets.

And right now, Mark thinks there are 6 standout stocks that investors should consider buying. Want to see if Unilever made the list?

Stephen Wright owns shares in Unilever.

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As data centre stocks come under pressure, where should investors look for potential buying opportunities in July? I have a few ideas on my own stocks to buy list that I think are worth checking out.

Croda International: watch for the recovery

Croda International (LSE: CRDA) has endured a rough few years. The pandemic-era lipid boom unwound sharply, leaving the stock nursing a painful hangover. 

The numbers, however, are genuinely turning. Sales and profits have been recovering over the last nine months and there are encouraging signs ahead.

Management has guided for organic sales growth of 3%-6% in 2026, with further margin expansion. And the next update is due at the end of July. 

The key risk is that Life Sciences – especially Crop Protection – remains susceptible to inventory channel cycles. And that’s hard to avoid. 

Long-term investors, however, can look to ride the waves a bit with this one. The company’s key competitive strengths are still firmly intact.

Source: Fiscal.ai

The stock isn’t far from its 52-week highs, but it’s near a 10-year low in terms of valuation multiples. So I think it’s definitely worth a look at today’s prices.

Renew Holdings: UK infrastructure

Andy Burnham is widely expected to become Britain’s next Prime Minister. And the Makerfield MP is focused on infrastructure. 

I think that could be a huge boost for Renew Holdings (LSE:RNWH). The stock market, however, doesn’t seem to be hugely positive.

Renew is Network Rail’s largest infrastructure services supplier (think HS2 expansion). And it’s also heavily involved in the water business (another key priority).

The point isn’t just that spending is set to increase. It’s that infrastructure investments should bring long-term maintenance contracts, which is where Renew specialises.

Operating margins are only around 5.3%, so delays to projects can have a disproportionate effect on profits. Unironically, investors have seen plenty of those recently.

Source: TradingView

The stock, however, is trading at a significant discount to analyst price targets. And I agree that it’s worth checking out in July.

MercadoLibre: Latin American fortress

MercadoLibre (NASDAQ: MELI) isn’t a traditional retailer. It’s the leading e-commerce marketplace, the largest digital payments network, and a growing logistics operator across Latin America.

Foreign exchange rates are often a risk. But anyone who thinks it’s the same for all businesses hasn’t been paying attention to Argentina in the last few years.

Behind a fluctuating currency, the company has been making huge progress. The stock market, however, seems to be ignoring this.

MercadoLibre shares are down 37% over the last year and the big reason for this is margin compression. But I think that’s a feature, not a bug.

The firm’s infrastructure investments make it extremely hard to compete with. And shipping costs in Brazil fell 17% compared to the previous year.

In other words, the network is getting cheaper to run as it continues to clock 49% net revenue growth. That’s a powerful combination that I think deserves attention.

What I’m doing

It’s always possible that something dramatic happens in the stock market. And that could force other names onto my buying radar in July. 

As it stands, however, Croda International, Renew Holdings and MercadoLibre are all on my buy list. And I’m optimistic about all three over the long term.

Should you invest £5,000 in Croda International Plc right now?

When investing expert Mark Rogers and his team have a stock tip, it can pay to listen. After all, the flagship Twelfth Magpie Share Advisor newsletter he has run for nearly a decade has provided thousands of paying members with top stock recommendations from the UK and US markets.

And right now, Mark thinks there are 6 standout stocks that investors should consider buying. Want to see if Croda International Plc made the list?

Stephen Wright owns shares in Croda International.

The post 3 stocks I’m looking to buy in July appeared first on The Twelfth Magpie.

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The UK government just changed the rules around Stocks and Shares ISAs again. But do investors really need to worry? 

In most cases, I don’t think so. It’s unlikely to change the way most people invest, but it’s always important to be on top of the latest regulations.

What’s happened?

In 2025, the Chancellor reduced the annual Cash ISA contribution limit to £12,000 from April 2027, while the Stocks and Shares ISA limit stayed at £20,000. But there were still some gaps. This week the government closed them.

Three measures arrive in April 2027: 

• A flat 22% charge on interest earned on uninvested cash held inside a Stocks and Shares ISA.
• A ban on portfolios invested entirely in money market funds.
• A block on transferring funds from a Stocks and Shares ISA into a Cash ISA for the under-65s. 

Each rule directly plugs a route for anyone trying to shelter £20,000 in cash without actually investing. It’s a blow for anyone with uninvested cash but the logic makes sense.

The reforms are supposed to encourage investing in businesses. But why? When I bought Bunzl (LSE:BNZL) shares, the firm didn’t benefit – the cash went to the previous owner.

The answer is reflexivity. More buying bids up the stock, and a higher price is useful for things like acquisitions (more on that later), or defence against unwanted takeover approaches.

UK stocks have broadly traded at a discount to international peers, which weakens that currency. Higher retail participation helps close the gap.

What to buy right now?

I actually still like the look of Bunzl shares right now. I think it’s an impressive business, but the stock is around 27% off its all-time highs.

The firm sources products like packaging, cleaning supplies, and PPE – consolidates them, and distributes them. In doing so, it saves customers time and money.

Since 2004, the company has made over 220 acquisitions to boost its growth. These have been – and remain – a key part of Bunzl’s growth story.

That means the firm needs a steady supply of potential targets available at sensible prices. And in 2025, the committed spend was well below the five-year average.

I’m keeping a close eye on this. But with a pipeline of over 1,300 potential targets, I’m still optimistic about things picking back up.

More positively, I’m also watching the growth of the firm’s own-brand products. If Bunzl can get this right – and this isn’t guaranteed after a big error last year – it should boost margins.

What to buy right now?

Stocks and Shares ISAs are a hugely valuable asset. But they are not, the government has now made clear, a higher-limit Cash ISA in disguise. 

Bunzl is already a big part of my ISA, so I’m thinking carefully. But for anyone with cash to deploy, the stock is worth a look right now.

Should you invest £5,000 in Bunzl Plc right now?

When investing expert Mark Rogers and his team have a stock tip, it can pay to listen. After all, the flagship Twelfth Magpie Share Advisor newsletter he has run for nearly a decade has provided thousands of paying members with top stock recommendations from the UK and US markets.

And right now, Mark thinks there are 6 standout stocks that investors should consider buying. Want to see if Bunzl Plc made the list?

Stephen Wright owns shares in Bunzl.

The post How do the government’s latest changes affect your Stocks and Shares ISA? appeared first on The Twelfth Magpie.

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Warren Buffett is a once-in-a-generation investor. But there’s another company that I’ve been looking at that has a lot in common with his investment vehicle Berkshire Hathaway (NYSE:BRK.B).

The stock is Danaher (NYSE:DHR). It operates in very different industries, but a closer look reveals some deep similarities.

From mortgages to microscopes

Berkshire Hathaway began life as a struggling New England textile mill. It was bought by Buffett, who turned it into one of the greatest conglomerates of all time.

Danaher’s journey is a similar one. It began life as a Massachusetts real estate investment trust (REIT), before being bought by Mitch and Steve Rales in 1984.

Since then, the company’s been on an acquisition journey. It started with manufacturing, then shifted into instruments and, most recently, life sciences and diagnostics.

The crossover however, goes beyond origin stories. In 1985, the Rales brothers made a bid for Scott Fetzer Company – and lost out… to Berkshire Hathaway.

Disciples of the same religion

Nowadays, both companies are serial acquirers with decentralised business models. Neither can be accused of wasting money on office sofas or unnecessary support staff.

There are however, some meaningful differences. Beyond the industries they operate in, they have contrasting acquisition styles.

Buffett’s approach was to buy businesses and leave them alone. Danaher implements its own principles – the Danaher Business System – and looks to improve its subsidiaries.

Interestingly, I think this might be the direction Berkshire’s heading in. Chief exec Greg Abel’s known for being much more involved than Buffett, so change might be on the way.

Acquisitions

Acquisitions are a key part of Danaher’s growth story. But they inevitably bring risks, whether that’s overpaying or challenges with integration.

Last year, the firm recorded its largest asset impairment in over 20 years. This was the result of a $9.6bn deal to buy Aldevron during the 2021 mRNA euphoria.

Including Buffett, even the best investors have deals that don’t work. What separates the great from the good is what they do next. Danaher’s been disciplined in divesting businesses that don’t perform as anticipated. So in some ways, the write-down is a sign of a strong culture, not just a mistake.

What do the numbers say?

Danaher shares are unusually cheap right now. At a price-to-book (P/B) ratio of 2.5, the stock’s close to a 10-year low. 

Source: Fiscal.ai

A big reason for that is the decline in demand for bioprocessing equipment after the end of the pandemic. But signs of a recovery are on the way.

As they say in sports, form is temporary but class is permanent. And Danaher’s long-term strengths – its culture and strategy – seem firmly intact to me.

This is why I’ve had the company on my watchlist for some time. But is it finally time for me to make a move and buy the stock?

The next Berkshire Hathaway?

Berkshire Hathaway’s the largest single investment I own. And I don’t expect that to change any time soon.  I am however, always mindful of portfolio diversification. So the opportunity to add another company that shares a lot of Berkshire’s key strengths is an attractive one.

My price target for Danaher is around $163 – a 2.2 price-to-book multiple, in line with the 10-year lows. At that price, I’ll be looking to buy in July.

Should you invest £5,000 in Berkshire Hathaway right now?

When investing expert Mark Rogers and his team have a stock tip, it can pay to listen. After all, the flagship Twelfth Magpie Share Advisor newsletter he has run for nearly a decade has provided thousands of paying members with top stock recommendations from the UK and US markets.

And right now, Mark thinks there are 6 standout stocks that investors should consider buying. Want to see if Berkshire Hathaway made the list?

Stephen Wright owns shares in Berkshire Hathaway.

The post The company that almost beat Warren Buffett to one of his best deals appeared first on The Twelfth Magpie.

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