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        <title>Card Factory Plc (LSE:CARD) Share Price, History, &amp; News | The Twelfth Magpie</title>
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	<title>Card Factory Plc (LSE:CARD) Share Price, History, &amp; News | The Twelfth Magpie</title>
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                                <title>Want to retire early? Here’s how a weak stock market could actually help</title>
                <link>https://www.twelfthmagpie.com/2026/06/01/want-to-retire-early-heres-how-a-weak-stock-market-could-actually-help/</link>
                                <pubDate>Mon, 01 Jun 2026 14:17:57 +0000</pubDate>
                <dc:creator><![CDATA[Christopher Ruane]]></dc:creator>
                		<category><![CDATA[Investing Articles]]></category>
		<category><![CDATA[Live: Coronavirus Market Crash Coverage]]></category>
		<category><![CDATA[Retirement Articles]]></category>

                <guid isPermaLink="false">https://www.twelfthmagpie.com/?p=1699292</guid>
                                    <description><![CDATA[<p>Christopher Ruane demonstrates with a real-world example how a tumbling stock market could potentially help someone who wants to retire early to do so. </p>
<p>The post <a href="https://www.twelfthmagpie.com/2026/06/01/want-to-retire-early-heres-how-a-weak-stock-market-could-actually-help/">Want to retire early? Here’s how a weak stock market could actually help</a> appeared first on <a href="https://www.twelfthmagpie.com">The Twelfth Magpie</a>.</p>
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<p class="wp-block-paragraph">Lots of people would like to retire. For those that invest, one idea can be for a soaring stock market to boost the value of their portfolio and give them the financial means to do so.</p>



<p class="wp-block-paragraph">But what happens when there is a downturn? </p>



<p class="wp-block-paragraph">The <strong>FTSE 100</strong> has hit an all-time high already this year (it has since fallen back somewhat) – but what about when the next stock market crash hits?</p>



<h2 id="h-a-crash-can-be-a-brilliant-long-term-buying-opportunity" class="wp-block-heading">A crash can be a brilliant long-term buying opportunity</h2>



<p class="wp-block-paragraph">Nobody knows for sure when that may happen.</p>



<p class="wp-block-paragraph">Sooner or later, there will be a crash – but while it <a href="https://www.twelfthmagpie.com/investing-basics/understanding-the-market/is-the-market-going-to-crash/">could be tomorrow</a>, it could still be years away.</p>



<p class="wp-block-paragraph">So rather than using my time to try timing the market, my approach is to ignore the question of <span style="text-decoration: underline">when</span> and focus on <span style="text-decoration: underline">what</span>. In other words, when the next crash does come, will I be ready to act, with a shopping list of shares I would like to own for the long term if I can suddenly buy them at an attractive enough price?</p>



<p class="wp-block-paragraph">After all, a crash can provide the opportunity to buy into brilliant businesses at bargain basement prices. </p>



<p class="wp-block-paragraph">But such a window of opportunity can be short-lived, so preparation is key.</p>



<h2 id="h-want-to-retire-early-here-s-how-a-crash-can-help" class="wp-block-heading">Want to retire early? Here’s how a crash can help!</h2>



<p class="wp-block-paragraph">That buying opportunity can mean that a share is much cheaper than it had been before. If the price is attractive, that could be helpful in terms of long-term capital gain potential.</p>



<p class="wp-block-paragraph">But another interesting angle here is dividends.</p>



<p class="wp-block-paragraph">Why? Dividend yield is a function of two things – the dividend per share a company pays but also what you paid for the share.</p>



<p class="wp-block-paragraph">So, buying a share cheaper can offer a higher yield, even though the dividend per share is the same as for someone who pays more for it.</p>



<p class="wp-block-paragraph">As an example, let’s use my holding in <strong>Card Factory</strong> (<a class="tickerized-link" href="https://www.twelfthmagpie.com/tickers/lse-card/">LSE: CARD</a>). The share sells for pennies and has a <a href="https://www.twelfthmagpie.com/investing-basics/types-of-stocks/investing-in-high-dividend-stocks-in-the-uk/">7.5% dividend yield</a>.</p>



<p class="wp-block-paragraph">That yield sounds attractive already – but actually, some investors are earning much much more!</p>



<h2 id="h-always-keeping-the-long-term-in-focus" class="wp-block-heading">Always keeping the long term in focus</h2>



<p class="wp-block-paragraph">The Card Factory share price is still in pennies. </p>



<p class="wp-block-paragraph">But it was much lower after the 2020 stock market crash, when investors feared that lockdown would badly hurt retail sales.</p>



<p class="wp-block-paragraph">Back in May 2020, for example, it stood at 29p. So someone who bought then and held would now have comfortably more than doubled their money. </p>



<p class="wp-block-paragraph">But they would also now be earning a stonking dividend yield of around 17%.</p>


<div class="tmf-chart-singleseries" data-title="Card Factory Plc Price" data-ticker="LSE:CARD" data-range="5y" data-start-date="" data-end-date="" data-comparison-value=""></div>



<p class="wp-block-paragraph">Getting into the right shares at the right moment can transform the long-term returns, potentially giving someone the means to <a href="https://www.twelfthmagpie.com/personal-finance/share-dealing/guides/what-is-the-fire-financial-independence-retire-early-movement/">retire early</a>.</p>



<h2 id="h-the-janus-approach" class="wp-block-heading">The Janus approach</h2>



<p class="wp-block-paragraph">So, could Card Factory be one to watch in the next crash?</p>



<p class="wp-block-paragraph">Successful investing involves looking firmly forward, though ideally with an eye on learning from experience – like the Roman deity Janus.</p>



<p class="wp-block-paragraph">Card Factory has a large shop estate, well-known brand, and proven business model. It is profitable and could potentially use its scale to benefit from industry consolidation, as its acquisitions in recent years have demonstrated.</p>



<p class="wp-block-paragraph">But falling high street usage and rampant stamp price inflation both pose risks to demand. Product cost inflation can be hard to pass onto customers looking for a cheap card to send.</p>



<p class="wp-block-paragraph">Still, at the current price I see it as a share to consider.</p>



<p class="wp-block-paragraph"><h2>Should you invest £5,000 in Card Factory Plc right now?</h2>
<p>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.</p>
<p>And right now, Mark thinks there are 6 standout stocks that investors should consider buying. Want to see if Card Factory Plc made the list?</p>
<div class="wp-block-custom-block-collection-cta-button">
	<a href="https://www.twelfthmagpie.com/int-free-best-buy-now/" style="background-color:#5fa85d; width:fit-content; display:inline-flex; cursor:pointer; justify-content:center; align-items:center; transition:all 0.3s ease;border-width:0px; border-style:solid; border-color:#000000; border-top-left-radius:4px; border-top-right-radius:4px; border-bottom-right-radius:4px; border-bottom-left-radius:4px; --hover-background-color:#358832; --pressed-background-color:#0cbf06; padding-top:12px; padding-right:24px; padding-bottom:12px; padding-left:24px; margin-top:0px; margin-right:auto; margin-bottom:0px; margin-left:0px" class="custom-cta-button" data-hover-background-color="#358832" data-pressed-background-color="#0cbf06" ><p class="has-white-color has-text-color" style="margin-bottom:0px;padding-bottom:0px;font-style:normal;font-weight:600">See The Six Stocks</p></a>
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<p class="wp-block-paragraph"><em>Christopher Ruane owns shares in Card Factory.</em></p>
<p>The post <a href="https://www.twelfthmagpie.com/2026/06/01/want-to-retire-early-heres-how-a-weak-stock-market-could-actually-help/">Want to retire early? Here’s how a weak stock market could actually help</a> appeared first on <a href="https://www.twelfthmagpie.com">The Twelfth Magpie</a>.</p>
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                                <title>Here’s how someone could start investing this June for under £1,000</title>
                <link>https://www.twelfthmagpie.com/2026/05/31/heres-how-someone-could-start-investing-this-june-for-under-1000/</link>
                                <pubDate>Sun, 31 May 2026 16:56:00 +0000</pubDate>
                <dc:creator><![CDATA[Christopher Ruane]]></dc:creator>
                		<category><![CDATA[Investing Articles]]></category>
		<category><![CDATA[Investing For Beginners]]></category>

                <guid isPermaLink="false">https://www.twelfthmagpie.com/?p=1697637</guid>
                                    <description><![CDATA[<p>Our writer busts three common myths that keep some people dreaming rather than following through on their goal to start investing!</p>
<p>The post <a href="https://www.twelfthmagpie.com/2026/05/31/heres-how-someone-could-start-investing-this-june-for-under-1000/">Here’s how someone could start investing this June for under £1,000</a> appeared first on <a href="https://www.twelfthmagpie.com">The Twelfth Magpie</a>.</p>
]]></description>
                                                                                            <content:encoded><![CDATA[
<p class="wp-block-paragraph">With the official start of summer arriving next month, New Year’s resolutions may seem like a distant memory. But when people decide to start investing or live more healthy lifestyles in the bleak midwinter, they typically do so for good reason. It can just be hard to turn the resolution into action!</p>



<p class="wp-block-paragraph">Why? Lots of people want to start investing but keep putting it off, for a variety of reasons. Here, I want to discuss three.</p>



<h2 id="h-reason-one-lack-of-money" class="wp-block-heading">Reason one: lack of money</h2>



<p class="wp-block-paragraph">A common justification for procrastination is a lack of funds. People think they cannot <a href="https://www.twelfthmagpie.com/investing-basics/getting-started-in-investing/passive-income-ideas/">start investing</a> until they have sufficient funds.</p>



<p class="wp-block-paragraph">In reality though, it <a href="https://www.twelfthmagpie.com/personal-finance/share-dealing/guides/how-much-money-do-you-need-to-start-investing-in-stocks-and-shares/">does not take much cash</a> to begin. Indeed, starting small can mean starting sooner and with the added bonus that beginner’s mistakes can be less costly than if waiting then putting bigger sums to work.</p>



<p class="wp-block-paragraph">Even with, say, between £500 and £1,000, it is possible to build a well-constructed portfolio suitably diversified across a range of shares.</p>



<p class="wp-block-paragraph">One thing to watch when making small trades though, can be the potentially disproportionate impact of minimum charges. It pays to compare options when choosing a <a href="https://www.twelfthmagpie.com/personal-finance/share-dealing/stocks-and-shares-isa/">Stocks and Shares ISA</a>.</p>



<h2 id="h-reason-two-lack-of-knowledge-and-understanding" class="wp-block-heading">Reason two: lack of knowledge and understanding</h2>



<p class="wp-block-paragraph">Another reason people do not start investing is because they feel they do not understand how the stock market works. How are shared valued? What moves their prices? What happens when a company is taken over?</p>



<p class="wp-block-paragraph">This strikes me as a very good reason not to invest. Fortunately though, it is easy to solve. There are plentiful resources available that help demystify the stock market.</p>



<p class="wp-block-paragraph">Once someone starts investing, they can also learn from possibly the best teacher – experience.</p>



<h2 id="h-reason-three-not-knowing-what-shares-to-buy" class="wp-block-heading">Reason three: not knowing what shares to buy</h2>



<p class="wp-block-paragraph">Another explanation for why people do not start investing even when they understand how the market works is that they do not know or cannot decide which shares to buy.</p>



<p class="wp-block-paragraph">This is always a personal decision – different investors have their own objectives and risk tolerance. But there are some helpful common principles I think I can illustrate with my own ongoing investment in <strong>Card Factory </strong>(<a class="tickerized-link" href="https://www.twelfthmagpie.com/tickers/lse-card/">LSE: CARD</a>).</p>


<div class="tmf-chart-singleseries" data-title="Card Factory Plc Price" data-ticker="LSE:CARD" data-range="5y" data-start-date="" data-end-date="" data-comparison-value=""></div>



<p class="wp-block-paragraph"></p>



<p class="wp-block-paragraph">I like to stick to businesses I feel I can understand. Retail is an area I know well and indeed I occasionally pop into my local Card Factory shop. The business strikes me as one I can relate to.</p>



<p class="wp-block-paragraph">Another factor is whether a business has a competitive advantage. Here, Card Factory may be a less obvious choice than a company that sells a unique bit of kit.</p>



<p class="wp-block-paragraph">Still, Card Factory does sell lots of unique products under its own name. It has its own production facilities and I see the large shop estate as a competitive advantage.</p>



<p class="wp-block-paragraph">I also consider risks. In Card Factory’s case they including declining numbers of people visiting high streets and rampant stamp price inflation sending down demand for physical cards. The company’s purchase of an online rival to <strong>Moonpig</strong> might help it on that front.</p>



<p class="wp-block-paragraph">Card Factory’s finances also appeal to me. Last year, revenue grew 7% and the company was solidly profitable (albeit less than the prior year).</p>



<p class="wp-block-paragraph">A chunky dividend yield of 7.3% offers me passive income.</p>



<p class="wp-block-paragraph"><h2>Should you invest £5,000 in Card Factory Plc right now?</h2>
<p>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.</p>
<p>And right now, Mark thinks there are 6 standout stocks that investors should consider buying. Want to see if Card Factory Plc made the list?</p>
<div class="wp-block-custom-block-collection-cta-button">
	<a href="https://www.twelfthmagpie.com/int-free-best-buy-now/" style="background-color:#5fa85d; width:fit-content; display:inline-flex; cursor:pointer; justify-content:center; align-items:center; transition:all 0.3s ease;border-width:0px; border-style:solid; border-color:#000000; border-top-left-radius:4px; border-top-right-radius:4px; border-bottom-right-radius:4px; border-bottom-left-radius:4px; --hover-background-color:#358832; --pressed-background-color:#0cbf06; padding-top:12px; padding-right:24px; padding-bottom:12px; padding-left:24px; margin-top:0px; margin-right:auto; margin-bottom:0px; margin-left:0px" class="custom-cta-button" data-hover-background-color="#358832" data-pressed-background-color="#0cbf06" ><p class="has-white-color has-text-color" style="margin-bottom:0px;padding-bottom:0px;font-style:normal;font-weight:600">See The Six Stocks</p></a>
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<p class="wp-block-paragraph"><em>Christopher Ruane owns shares in Card Factory.</em></p>
<p>The post <a href="https://www.twelfthmagpie.com/2026/05/31/heres-how-someone-could-start-investing-this-june-for-under-1000/">Here’s how someone could start investing this June for under £1,000</a> appeared first on <a href="https://www.twelfthmagpie.com">The Twelfth Magpie</a>.</p>
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                                <title>£500 buys 729 shares in this 7.3%-yielding income stock!</title>
                <link>https://www.twelfthmagpie.com/2026/05/24/500-buys-729-shares-in-this-7-3-yielding-income-stock/</link>
                                <pubDate>Sun, 24 May 2026 06:21:00 +0000</pubDate>
                <dc:creator><![CDATA[Zaven Boyrazian, CFA]]></dc:creator>
                		<category><![CDATA[Dividend Shares]]></category>
		<category><![CDATA[Investing Articles]]></category>

                <guid isPermaLink="false">https://www.twelfthmagpie.com/?p=1692697</guid>
                                    <description><![CDATA[<p>Card Factory's 7.3% yield looks mouth-watering. But with margins squeezed and consumers cautious, is this income stock a hidden gem or a dividend trap?</p>
<p>The post <a href="https://www.twelfthmagpie.com/2026/05/24/500-buys-729-shares-in-this-7-3-yielding-income-stock/">£500 buys 729 shares in this 7.3%-yielding income stock!</a> appeared first on <a href="https://www.twelfthmagpie.com">The Twelfth Magpie</a>.</p>
]]></description>
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<p class="wp-block-paragraph">Not every income stock worth owning is hiding in the <strong>FTSE 100</strong>. Some of the most compelling high-yield opportunities are sitting quietly in smaller indices, overlooked by the market and priced for pessimism. And right now,&nbsp;<strong>Card Factory</strong>&nbsp;(<a class="tickerized-link" href="https://www.twelfthmagpie.com/tickers/lse-card/">LSE:CARD</a>) might be one of them.</p>



<p class="wp-block-paragraph">At a current share price of 68.6p, shares of the speciality retailer are offering a pretty chunky dividend yield of 7.3%. And with just £500, I can snap up roughly 729 shares today. But the question is, is this even a good idea?</p>



<p class="wp-block-paragraph"><div class="tmf-chart-singleseries" data-title="Card Factory Plc Price" data-ticker="LSE:CARD" data-range="5y" data-start-date="" data-end-date="" data-comparison-value=""></div>
</p>



<h2 class="wp-block-heading" id="h-why-is-the-yield-so-high">Why is the yield so high?</h2>



<p class="wp-block-paragraph">Experienced income investors will know that when <a href="https://www.twelfthmagpie.com/investing-basics/how-to-value-shares/dividend-yield/">yield ventures beyond 7%</a>, it&#8217;s rarely an accident. And it&#8217;s often a reflection of genuine uncertainty and risk.</p>



<p class="wp-block-paragraph">Zooming in again on Card Factory, the company has faced a bruising combination of headwinds in recent years. This includes rising wage costs that have been amplified by increases in employer National Insurance contributions.</p>



<p class="wp-block-paragraph">At the same time, a cautious UK consumer, still navigating through an ongoing cost-of-living crisis, has kept discretionary spending under pressure.</p>



<p class="wp-block-paragraph">The result has been a share price that has drifted steadily lower, pushing the yield higher in the process. That&#8217;s a crucial point, given that it means the yield is being primarily driven by concerns of sustainability and not because the company has been aggressively hiking dividends.</p>



<p class="wp-block-paragraph">Yet when looking at the group&#8217;s latest results, shareholder payouts are still growing, albeit by mid-single-digits. So, is this market scepticism actually justified?</p>



<h2 class="wp-block-heading" id="h-the-contrarian-view">The contrarian view</h2>



<p class="wp-block-paragraph">Despite the challenging backdrop, there is a potentially compelling recovery thesis here.</p>



<p class="wp-block-paragraph">Card Factory is the UK&#8217;s largest specialist greeting card retailer, with over 1,000 stores. But it&#8217;s also one of the few businesses in this sector operating with a vertically integrated business model.</p>



<p class="wp-block-paragraph">By having the designing, manufacturing, and retailing of its products all under one roof, management has exceptional control over the firm&#8217;s cost structure, opening the door to superior <a href="https://www.twelfthmagpie.com/investing-basics/understanding-company-accounts/the-profit-and-loss-account/">profit margins</a> and flexibility against most of its direct competitors.</p>



<p class="wp-block-paragraph">Meanwhile, the rollout of its expanded gifting and celebration essentials range is broadening the basket size per visit. In other words, the company is maximising the value of its customers instead of simply trying to boost store footfall alone.</p>



<p class="wp-block-paragraph">Pairing all this with its international franchise partnerships, the group&#8217;s cash flows are proving far more resilient compared to the rest of the sector. And it&#8217;s one of the main reasons why management is seemingly comfortable raising shareholder payouts despite navigating through tough market conditions.</p>



<h2 class="wp-block-heading" id="h-the-bottom-line">The bottom line</h2>



<p class="wp-block-paragraph">Even with a compelling under-the-radar bull case, the risks remain real.</p>



<p class="wp-block-paragraph">Any further deterioration in consumer confidence or another wave of cost inflation could quickly test management&#8217;s dividend commitment. And with discretionary gifts often being first on the chopping block during economic shocks, Card Factory&#8217;s earnings could come under even more pressure in the coming months.</p>



<p class="wp-block-paragraph">That&#8217;s why right now, I remain untempted. But for investors with a higher risk tolerance hunting for a high-yielding income stock with a genuine path to recovery, Card Factory may be difficult to ignore at today&#8217;s price.</p>



<p class="wp-block-paragraph"><h2>Should you invest £5,000 in Card Factory Plc right now?</h2>
<p>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.</p>
<p>And right now, Mark thinks there are 6 standout stocks that investors should consider buying. Want to see if Card Factory Plc made the list?</p>
<div class="wp-block-custom-block-collection-cta-button">
	<a href="https://www.twelfthmagpie.com/int-free-best-buy-now/" style="background-color:#5fa85d; width:fit-content; display:inline-flex; cursor:pointer; justify-content:center; align-items:center; transition:all 0.3s ease;border-width:0px; border-style:solid; border-color:#000000; border-top-left-radius:4px; border-top-right-radius:4px; border-bottom-right-radius:4px; border-bottom-left-radius:4px; --hover-background-color:#358832; --pressed-background-color:#0cbf06; padding-top:12px; padding-right:24px; padding-bottom:12px; padding-left:24px; margin-top:0px; margin-right:auto; margin-bottom:0px; margin-left:0px" class="custom-cta-button" data-hover-background-color="#358832" data-pressed-background-color="#0cbf06" ><p class="has-white-color has-text-color" style="margin-bottom:0px;padding-bottom:0px;font-style:normal;font-weight:600">See The Six Stocks</p></a>
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<p class="wp-block-paragraph"><em>Zaven Boyrazian does not hold any positions in the companies mentioned.</em></p>
<p>The post <a href="https://www.twelfthmagpie.com/2026/05/24/500-buys-729-shares-in-this-7-3-yielding-income-stock/">£500 buys 729 shares in this 7.3%-yielding income stock!</a> appeared first on <a href="https://www.twelfthmagpie.com">The Twelfth Magpie</a>.</p>
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                                <title>This 7.27%-yielding dividend stock is near a 52-week low! Time to consider buying?</title>
                <link>https://www.twelfthmagpie.com/2026/04/26/this-7-27-yielding-dividend-stock-is-near-a-52-week-low-time-to-consider-buying/</link>
                                <pubDate>Sun, 26 Apr 2026 11:31:00 +0000</pubDate>
                <dc:creator><![CDATA[Zaven Boyrazian, CFA]]></dc:creator>
                		<category><![CDATA[Dividend Shares]]></category>
		<category><![CDATA[Investing Articles]]></category>

                <guid isPermaLink="false">https://www.twelfthmagpie.com/?p=1679630</guid>
                                    <description><![CDATA[<p>Zaven Boyrazian has just spotted a dividend stock promising some big passive income for opportunistic investors. But is it too good to be true?</p>
<p>The post <a href="https://www.twelfthmagpie.com/2026/04/26/this-7-27-yielding-dividend-stock-is-near-a-52-week-low-time-to-consider-buying/">This 7.27%-yielding dividend stock is near a 52-week low! Time to consider buying?</a> appeared first on <a href="https://www.twelfthmagpie.com">The Twelfth Magpie</a>.</p>
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<p class="wp-block-paragraph">The UK stock market&#8217;s home to a vast number of generous dividend stocks. Yet among the hundreds of income opportunities, <strong>Card Factory</strong> (<a class="tickerized-link" href="https://www.twelfthmagpie.com/tickers/lse-card/">LSE:CARD</a>) currently stands out from the crowd. Apart from having a juicy 7.27% yield, management&#8217;s recent language suggests this payout&#8217;s on track to grow even further.</p>



<p class="wp-block-paragraph">So with the stock also trading at a dirt cheap price-to-earnings ratio of just 5.5, is this a no-brainer?</p>



<h2 class="wp-block-heading" id="h-an-incredible-dividend-opportunity">An incredible dividend opportunity?</h2>



<p class="wp-block-paragraph">On the surface, Card Factory looks like just another retailer of greeting cards and celebration essentials – a space filled with endless competition and low barriers to entry. But a look inside the envelope reveals a more complex ecosystem of products that spans multiple countries, all while having a vertically-integrated business model.</p>



<p class="wp-block-paragraph">If a product&#8217;s popular, the company can replenish it almost immediately. If a new design&#8217;s needed, it can be rolled out within a few short weeks. In other words, management has complete control and benefits from an optimised cost structure that competitors simply cannot match.</p>



<p class="wp-block-paragraph">The result? A high-cash generative business whose dividends remain comfortably covered by underlying earnings, with a payout ratio of 46.4%, according to its <a href="https://www.twelfthmagpie.com/investing-basics/understanding-company-accounts/annual-reports-and-accounts/">latest interim results</a>. And when looking at its full-year guidance for its 2026 fiscal year (ending in January), management explicitly said it <em>&#8220;…anticipates declaring a progressive full-year dividend in line with the Group&#8217;s capital allocation policy&#8221;.</em></p>



<p class="wp-block-paragraph">That&#8217;s a fancy way of saying it expects to not only maintain dividends but grow them further over time – a strong signal of confidence. And it suggests that today&#8217;s high yield could be on track to get even bigger.</p>



<p class="wp-block-paragraph">But if that&#8217;s the case, why aren&#8217;t more investors taking advantage of this dividend stock and its seemingly superb passive income opportunity?</p>



<h2 class="wp-block-heading" id="h-what-s-the-catch">What&#8217;s the catch?</h2>



<p class="wp-block-paragraph">Card Factory&#8217;s high yield is a relatively new phenomenon, and it was created by the <a href="https://www.twelfthmagpie.com/investing-basics/understanding-the-market/what-is-market-volatility/">share price tanking</a> by over 27% in December 2025 following a surprise and painful profit warning.</p>



<p class="wp-block-paragraph"><div class="tmf-chart-singleseries" data-title="Card Factory Plc Price" data-ticker="LSE:CARD" data-range="5y" data-start-date="" data-end-date="" data-comparison-value=""></div>
</p>



<p class="wp-block-paragraph">Weak consumer confidence and discretionary spending have been quite a headwind for this business, resulting in both sales and profits taking a considerable hit.</p>



<p class="wp-block-paragraph">The fact that management&#8217;s since reiterated its intention to declare a progressive dividend despite this is an encouraging sign. But that doesn&#8217;t mean this future passive income&#8217;s guaranteed. Even with strong cost controls, the firm remains exposed to increases in the UK Minimum Wage and Employer National Insurance contributions.</p>



<p class="wp-block-paragraph">Most businesses will seek to pass those costs onto customers. But with high street footfall in decline, and consumer confidence remaining subdued, Card Factory may simply lack the pricing power required to pull this off. And the pressure&#8217;s only being amplified by larger supermarket retailers trying to encroach on its territory.</p>



<p class="wp-block-paragraph">So where does that leave income investors today?</p>



<h2 class="wp-block-heading" id="h-the-bottom-line">The bottom line</h2>



<p class="wp-block-paragraph">Overall, Card Factory&#8217;s dividend appears to be well-covered and on track to continue rewarding shareholders for now. But the key word in management&#8217;s statement is <em>&#8220;anticipates&#8221;</em>, which creates a subtle escape hatch to change course if retail trading suddenly takes a turn for the worse.</p>



<p class="wp-block-paragraph">This uncertainty&#8217;s why this dividend stock has such a high yield and is trading at such a low earnings multiple. So is it a business worth buying? Personally, I think there are other, more attractive 7%+ yield opportunities to explore.</p>
<p>The post <a href="https://www.twelfthmagpie.com/2026/04/26/this-7-27-yielding-dividend-stock-is-near-a-52-week-low-time-to-consider-buying/">This 7.27%-yielding dividend stock is near a 52-week low! Time to consider buying?</a> appeared first on <a href="https://www.twelfthmagpie.com">The Twelfth Magpie</a>.</p>
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                                <title>2 bargain-basement income stocks to consider in an ISA</title>
                <link>https://www.twelfthmagpie.com/2026/04/02/2-bargain-basement-income-stocks-to-consider-in-an-isa/</link>
                                <pubDate>Thu, 02 Apr 2026 06:01:00 +0000</pubDate>
                <dc:creator><![CDATA[Royston Wild]]></dc:creator>
                		<category><![CDATA[Dividend Shares]]></category>
		<category><![CDATA[Investing Articles]]></category>

                <guid isPermaLink="false">https://www.twelfthmagpie.com/?p=1667426</guid>
                                    <description><![CDATA[<p>Looking for cheap last-minute shares for a Stocks and Shares ISA? These income stocks could be what investors have been searching for.</p>
<p>The post <a href="https://www.twelfthmagpie.com/2026/04/02/2-bargain-basement-income-stocks-to-consider-in-an-isa/">2 bargain-basement income stocks to consider in an ISA</a> appeared first on <a href="https://www.twelfthmagpie.com">The Twelfth Magpie</a>.</p>
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<p class="wp-block-paragraph">Looking for dirt cheap dividend stocks to buy this ISA season? If the answer&#8217;s &#8216;yes,&#8217; you&#8217;re in luck. Recent market volatility means many top income stocks now trade on rock-bottom valuations and have sky-high dividend yields.</p>



<p class="wp-block-paragraph">Here are two I think could be considered for a Stocks and Shares ISA.</p>



<h2 class="wp-block-heading" id="h-holding-the-cards">Holding the cards</h2>



<p class="wp-block-paragraph"><strong>Card Factory</strong>&#8216;s (<a class="tickerized-link" href="https://www.twelfthmagpie.com/tickers/lse-card/">LSE:CARD</a>) the first of these dividend shares I think investors should consider. Like any retail share, it&#8217;s exposed to a rapid downturn in consumer spending. With the Middle East crisis escalating, this is a serious risk right now.</p>



<p class="wp-block-paragraph">But then again, a focus on the value end of the market could stand Card Factory in good stead. After all, people don&#8217;t stop sending birthday cards and celebrating major occasions even when times get tough. The company&#8217;s revenues could remain largely stable if shoppers switch down from more expensive card sellers.</p>



<p class="wp-block-paragraph">What&#8217;s more, it could be argued that Card Factory&#8217;s shares are already at bargain-basement levels. Its forward price-to-earnings (P/E) ratio sits at 4.8 times, which some say fully reflects the challenges the retailer faces and may limit price downside.</p>



<p class="wp-block-paragraph">Today, Card Factory shares carry an enormous 8.4% <a href="https://www.twelfthmagpie.com/investing-basics/how-to-value-shares/dividend-yield/" id="https://www.twelfthmagpie.com/investing-basics/how-to-value-shares/dividend-yield/" target="_blank" rel="noreferrer noopener">dividend yield</a> for this financial year (to January 2027). The good news too is that the predicted 5.2p per share annual dividend is covered 2.4 times by anticipated earnings. So even if earnings get blown wildly off course, that expected shareholder payout still looks in good shape.</p>



<p class="wp-block-paragraph">Besides, management&#8217;s drive to slash costs should help protect profits and <a href="https://www.twelfthmagpie.com/investing-basics/how-shares-are-taxed-2/how-dividends-are-taxed/" target="_blank" rel="noreferrer noopener">dividends</a> if sales drop. Over the long term, I think returns here could fly as it expands into higher-margin gifts and celebration accessories, expands into more international markets, and invests in the high-growth online channel.</p>



<h2 class="wp-block-heading" id="h-another-top-income-stock">Another top income stock</h2>



<p class="wp-block-paragraph">In an age of streaming, it&#8217;s easy to see why <strong>ITV </strong>(<a class="tickerized-link" href="https://www.twelfthmagpie.com/tickers/lse-itv/">LSE:ITV</a>) shares might not be everyone&#8217;s cup of tea. Changing viewer habits could see traditional broadcasters like this eventually mowed down by <strong>Netflix</strong> and its peers.</p>



<p class="wp-block-paragraph">Could these fears be exaggerated? In the case of ITV I think so. This is for two reasons. First of all, the company&#8217;s making its own impressive inroads into the streaming market and even outperforming the US giants. The number of active users on the ITVX platform surged 12% year on year in 2025, reflecting the depth of its popular programming.</p>



<p class="wp-block-paragraph">The second reason is that, through its ITV Studios arm, the business has excellent sales opportunities as media companies battle it out for content. Last year, external revenues at the production unit rose 10% which it said &#8220;<em>reflected strong demand from global streaming platforms</em>&#8220;.</p>



<p class="wp-block-paragraph">I&#8217;m a big fan of ITV. And especially when adding the company&#8217;s exceptional value for money into the bargain. Its price-to-earnings growth (PEG) ratio of 0.5 for 2026 sits well inside value territory of 1 or below. The dividend yield&#8217;s a gigantic 6.7% as well, based on an expected 5p payout.</p>
<p>The post <a href="https://www.twelfthmagpie.com/2026/04/02/2-bargain-basement-income-stocks-to-consider-in-an-isa/">2 bargain-basement income stocks to consider in an ISA</a> appeared first on <a href="https://www.twelfthmagpie.com">The Twelfth Magpie</a>.</p>
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                                <title>After a 27% one-day crash, experts see an explosive recovery! Is this one of the best UK shares to buy now?</title>
                <link>https://www.twelfthmagpie.com/2026/02/21/after-a-27-one-day-crash-experts-see-an-explosive-recovery-is-this-one-of-the-best-uk-shares-to-buy-now/</link>
                                <pubDate>Sat, 21 Feb 2026 08:01:00 +0000</pubDate>
                <dc:creator><![CDATA[Zaven Boyrazian, CFA]]></dc:creator>
                		<category><![CDATA[Investing Articles]]></category>
		<category><![CDATA[Investing For Beginners]]></category>

                <guid isPermaLink="false">https://www.twelfthmagpie.com/?p=1649288</guid>
                                    <description><![CDATA[<p>After crashing almost 30% in less than 24 hours, could this once-loved retailer be among the best UK shares to buy in February 2026?</p>
<p>The post <a href="https://www.twelfthmagpie.com/2026/02/21/after-a-27-one-day-crash-experts-see-an-explosive-recovery-is-this-one-of-the-best-uk-shares-to-buy-now/">After a 27% one-day crash, experts see an explosive recovery! Is this one of the best UK shares to buy now?</a> appeared first on <a href="https://www.twelfthmagpie.com">The Twelfth Magpie</a>.</p>
]]></description>
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<p class="wp-block-paragraph">With the stock market reaching new record highs, finding cheap, quality UK shares is becoming tougher. But there are always opportunities for investors to explore. And one stock that some experts have flagged as a potential bargain buy is <strong>Card Factory</strong> (<a class="tickerized-link" href="https://www.twelfthmagpie.com/tickers/lse-card/">LSE:CARD</a>).</p>



<p class="wp-block-paragraph">Last December, the greetings card and gift retailer announced a pretty devastating profit warning, despite only a few months prior saying that the business remained on track. It was a nasty surprise that saw Card Factory shares crash almost 30% in a single day.</p>



<p class="wp-block-paragraph">Yet since then, optimism from experts seems to be creeping back in with hopes for an incoming recovery. Does that secretly make this business a top UK stock to consider buying right now?</p>



<p class="wp-block-paragraph"><div class="tmf-chart-singleseries" data-title="Card Factory Plc Price" data-ticker="LSE:CARD" data-range="5y" data-start-date="" data-end-date="" data-comparison-value=""></div>
</p>



<h2 class="wp-block-heading" id="h-card-factory-shares-are-dirt-cheap">Card Factory shares are dirt cheap</h2>



<p class="wp-block-paragraph">Even after management cut its earnings guidance for its 2026 fiscal year (ending in January), the utter collapse of its share price means that the business is currently being valued at just 5.5 times <a href="https://www.twelfthmagpie.com/investing-basics/investment-glossary/what-is-forward-p-e/">forward earnings</a>.</p>



<p class="wp-block-paragraph">That&#8217;s among the cheapest valuations on the entire <strong>London Stock Exchange</strong>. And it signals exceptionally low expectations coming from investors. But it also means that if management can deliver on even a modest profit improvement, Card Factory shares could be well-positioned for a rapid initial share price recovery.</p>



<p class="wp-block-paragraph">That seems to be what many institutional experts are betting on.</p>



<p class="wp-block-paragraph">With most having the opinion that the market has oversold this stock, the latest forecasts from Canaccord Genuity, <strong>UBS</strong>, and Berenberg have placed the <a href="https://www.twelfthmagpie.com/investing-basics/understanding-the-market/broker-forecasts/">consensus share price target</a> for Card Factory shares at 126p. And compared to where the shares are trading today, that represents a roughly 77% potential recovery gain!</p>



<h2 class="wp-block-heading" id="h-what-to-watch">What to watch</h2>



<p class="wp-block-paragraph">As a largely consumer discretionary business, Card Factory&#8217;s performance is strongly tied to consumer spending. A big challenge seen recently has been a decline in footfall to its high-street stores, particularly during peak trading periods like Christmas.</p>



<p class="wp-block-paragraph">But if the GfK Consumer Sentiment index continues to show steady signs of improvement, the business appears well-positioned to capitalise on this long-term tailwind.</p>



<p class="wp-block-paragraph">In the meantime, management continues to pursue its online diversification strategy with its recent acquisitions, including Funky Pigeon. Successful integration of these bolt-on businesses could help expand the group&#8217;s e-commerce presence and create new cross-selling opportunities.</p>



<p class="wp-block-paragraph">Of course, none of this is guaranteed. After all, low barriers to entry have seen some pretty fierce competition emerge over the years. In particular, supermarkets have started selling comparable greetings cards at lower prices as loss-leaders to drive higher footfall to their stores.</p>



<h2 class="wp-block-heading" id="h-the-bottom-line">The bottom line</h2>



<p class="wp-block-paragraph">There&#8217;s no denying that Card Factory is operating in a space facing continuous pressure from rivals and weakened macroeconomics. But to management&#8217;s credit, the business hasn&#8217;t been idle, implementing digital transformation to diversify and drive more efficiency, while simultaneously pursuing cost-saving initiatives.</p>



<p class="wp-block-paragraph">A successful turnaround is far from guaranteed. But with the market pricing Card Factory shares as if it&#8217;s already doomed to fail, the risk-to-reward ratio looks potentially quite favourable. That&#8217;s why I think it may be worth digging a little deeper. But there are also other discounted UK shares on my radar that show even more promise.</p>
<p>The post <a href="https://www.twelfthmagpie.com/2026/02/21/after-a-27-one-day-crash-experts-see-an-explosive-recovery-is-this-one-of-the-best-uk-shares-to-buy-now/">After a 27% one-day crash, experts see an explosive recovery! Is this one of the best UK shares to buy now?</a> appeared first on <a href="https://www.twelfthmagpie.com">The Twelfth Magpie</a>.</p>
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                                <title>Here are 2 cheap stocks that could turn red hot in 2026, according to experts</title>
                <link>https://www.twelfthmagpie.com/2026/02/15/here-are-2-cheap-stocks-that-could-turn-red-hot-in-2026-according-to-experts/</link>
                                <pubDate>Sun, 15 Feb 2026 07:31:00 +0000</pubDate>
                <dc:creator><![CDATA[Zaven Boyrazian, CFA]]></dc:creator>
                		<category><![CDATA[Investing Articles]]></category>
		<category><![CDATA[Value Shares]]></category>

                <guid isPermaLink="false">https://www.twelfthmagpie.com/?p=1647351</guid>
                                    <description><![CDATA[<p>Investing in quality, cheap stocks can supercharge portfolio returns, and here are two top picks from institutional experts that might double in 2026!</p>
<p>The post <a href="https://www.twelfthmagpie.com/2026/02/15/here-are-2-cheap-stocks-that-could-turn-red-hot-in-2026-according-to-experts/">Here are 2 cheap stocks that could turn red hot in 2026, according to experts</a> appeared first on <a href="https://www.twelfthmagpie.com">The Twelfth Magpie</a>.</p>
]]></description>
                                                                                            <content:encoded><![CDATA[
<p class="wp-block-paragraph">Even as UK shares reach record highs, there are still plenty of cheap stocks for investors to explore. And while cheap stocks are often discounted for a good reason, every once in a while, a rare buying opportunity can emerge, paving the way for some jaw-dropping recovery returns.</p>



<p class="wp-block-paragraph">Having surged over 1,000% in just three years<strong>, Rolls-Royce</strong> shares serve as a perfect example of the explosive gains investors can potentially earn. So the question now becomes, which company&#8217;s going to be the next Rolls-Royce in 2026?</p>



<p class="wp-block-paragraph">Well, right now there are two stocks experts have flagged as strong contenders.</p>



<h2 class="wp-block-heading" id="h-1-jd-sports-fashion">1. JD Sports Fashion</h2>



<p class="wp-block-paragraph">The last few years have been rough for <strong>JD Sports Fashion</strong> (<a class="tickerized-link" href="https://www.twelfthmagpie.com/tickers/lse-jd/">LSE:JD.</a>) shares, having tumbled over 60% from their 2022 peak.</p>



<p class="wp-block-paragraph"><div class="tmf-chart-singleseries" data-title="JD Sports Fashion plc. Price" data-ticker="LSE:JD." data-range="5y" data-start-date="" data-end-date="" data-comparison-value=""></div>
</p>



<p class="wp-block-paragraph">Thanks to a product innovation crisis from its key partner, <strong>Nike</strong>, the sports apparel retailer suffered through numerous profit warnings and downgrades. Yet, with these troubles potentially in the rear-view mirror, analysts at Peel Hunt have described JD Sports Fashion as <em>&#8220;chronically undervalued&#8221;</em>, reiterating a 200p <a href="https://www.twelfthmagpie.com/investing-basics/understanding-the-market/broker-forecasts/">share price target</a>.</p>



<p class="wp-block-paragraph">That&#8217;s 144% higher than where the stock trades today! While ambitious, Peel Hunt might be onto something.</p>



<p class="wp-block-paragraph">The firm&#8217;s latest trading update saw its largest market, North America, return to like-for-like growth. As such, management reiterated its target of delivering £400m in <a href="https://www.twelfthmagpie.com/investing-basics/understanding-company-accounts/the-cash-flow-statement/">free cash flow</a> for its 2026 fiscal year (ending in February). And according to Peel Hunt&#8217;s own estimates, JD Sports&#8217; shares currently trade at just seven times its projected 2027 fiscal year earnings.</p>



<p class="wp-block-paragraph">Having said that, economic headwinds and growing fears of a recession don&#8217;t bode well for premium consumer discretionary retailers. But even if market conditions prove stronger than expected, JD remains largely dependent on Nike to deliver popular new products – something the sports brand has struggled with lately.</p>



<p class="wp-block-paragraph">Nevertheless, with impressive recovery potential on the table, JD Sports definitely deserves a closer look, in my opinion.</p>



<h2 class="wp-block-heading" id="h-2-card-factory">2. Card Factory</h2>



<p class="wp-block-paragraph">Similar to JD Sports, <strong>Card Factory</strong>&#8216;s (<a class="tickerized-link" href="https://www.twelfthmagpie.com/tickers/lse-card/">LSE:CARD</a>) another retailer analysts have highlighted as a potential big winner. Following a pretty painful profit warning in December, the shares promptly crashed by over 20%. And while the gift and greeting card business has seen a small recovery, the stock remains dirt cheap at a price-to-earnings ratio of just 5.7.</p>



<p class="wp-block-paragraph"><div class="tmf-chart-singleseries" data-title="Card Factory Plc Price" data-ticker="LSE:CARD" data-range="5y" data-start-date="" data-end-date="" data-comparison-value=""></div>
</p>



<p class="wp-block-paragraph">So it&#8217;s no surprise <strong>UBS</strong> has issued a 120p share price target while Canaccord Genuity is even more bullish at 150p.</p>



<p class="wp-block-paragraph">That&#8217;s a potential recovery return of 115% over the next 12 months, driven by self-help initiatives and leveraging its unique vertical integration advantage. And with a recent trading update confirming the group&#8217;s on track to deliver on revised expectations, its recovery story might have just kicked off.</p>



<p class="wp-block-paragraph">Management&#8217;s strategy to pivot away from low-margin cards to high-margin gifts definitely seems prudent. But it nonetheless comes with significant execution risk. After all, the strategy involves store reconfigurations and the establishing of new supply chains, both of which entail their own set of complexities.</p>



<p class="wp-block-paragraph">Nevertheless, much like JD Sports, the recovery potential might make these risks worth taking. So in my mind, this is another cheap stock for investors to investigate further. But these aren&#8217;t the only opportunities I&#8217;ve got on my radar.</p>
<p>The post <a href="https://www.twelfthmagpie.com/2026/02/15/here-are-2-cheap-stocks-that-could-turn-red-hot-in-2026-according-to-experts/">Here are 2 cheap stocks that could turn red hot in 2026, according to experts</a> appeared first on <a href="https://www.twelfthmagpie.com">The Twelfth Magpie</a>.</p>
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                                <title>2 UK stocks tipped to grow 50%+ over the next 12 months</title>
                <link>https://www.twelfthmagpie.com/2026/02/11/2-uk-stocks-tipped-to-grow-50-over-the-next-12-months/</link>
                                <pubDate>Wed, 11 Feb 2026 10:00:00 +0000</pubDate>
                <dc:creator><![CDATA[James Beard]]></dc:creator>
                		<category><![CDATA[Investing Articles]]></category>
		<category><![CDATA[Value Shares]]></category>

                <guid isPermaLink="false">https://www.twelfthmagpie.com/?p=1647083</guid>
                                    <description><![CDATA[<p>Could these two UK stocks really grow by more than 50% over the next year? James Beard considers whether this forecast is too good to be true.</p>
<p>The post <a href="https://www.twelfthmagpie.com/2026/02/11/2-uk-stocks-tipped-to-grow-50-over-the-next-12-months/">2 UK stocks tipped to grow 50%+ over the next 12 months</a> appeared first on <a href="https://www.twelfthmagpie.com">The Twelfth Magpie</a>.</p>
]]></description>
                                                                                            <content:encoded><![CDATA[
<p class="wp-block-paragraph">With UK stocks coming back into fashion at the moment, it’s tempting to think that the best opportunities have been missed. But city experts reckon there are two stocks that have huge growth potential over the next year or so.</p>



<p class="wp-block-paragraph">Unlikely? Let’s try and find out.</p>



<h2 class="wp-block-heading" id="h-a-gift">A gift?</h2>



<p class="wp-block-paragraph"><strong>Card Factory</strong> (<a class="tickerized-link" href="https://www.twelfthmagpie.com/tickers/lse-card/">LSE:CARD</a>) is a common sight on the UK high street. But in December 2025, the card and gift retailer issued a profit warning. Even with the group positioning itself at the value end of the market, it doesn’t seem to have escaped the impact of reduced disposable incomes. Higher employment costs, stubborn inflation and intense competition haven’t helped either.</p>



<p class="wp-block-paragraph">But analysts reckon the group’s shares are currently (11 February) 57% undervalued. And with a forward <a href="https://www.twelfthmagpie.com/investing-basics/how-to-value-shares/pe-ratio/">price-to-earnings (P/E) ratio</a> of just 5.7, I can see why they might hold this view. The stock also offers an attractive dividend. Based on amounts paid over the past 12 months, it’s yielding 6.7%. Of course, given the profit warning, there’s a possibility this might be cut. And the group has a relatively short history of paying dividends, so the past isn’t a good guide here.</p>



<p class="wp-block-paragraph">To try and capture more profit, the group designs, manufactures, distributes, and sells its cards. It also claims this helps it react more quickly to changing tastes.</p>



<p class="wp-block-paragraph">But the business feels a little old-fashioned to me. It recently bought Funky Pigeon to boost its online offering but sending cards does feel like a thing of the past.</p>



<p class="wp-block-paragraph">The stock’s also one of the most volatile around. With a five-year beta of 3.1, it means if the stock market moves up (or down) by 10%, Card Factory’s share price will change, on average, by 31%.</p>



<p class="wp-block-paragraph">Despite its attractive valuation and the impressive 12-month share price targets, I think there are better opportunities to consider elsewhere, in markets with healthier <a href="https://www.twelfthmagpie.com/investing-basics/getting-started-in-investing/foolish-investing-taking-the-long-term-approach/">long-term growth prospects</a>.</p>


<div class="tmf-chart-singleseries" data-title="Card Factory Plc Price" data-ticker="LSE:CARD" data-range="5y" data-start-date="2021-02-11" data-end-date="" data-comparison-value=""></div>



<h2 class="wp-block-heading" id="h-such-as">Such as?</h2>



<p class="wp-block-paragraph">One example is <strong>Gamma Communications</strong> (<a class="tickerized-link" href="https://www.twelfthmagpie.com/tickers/lse-gama/">LSE:GAMA</a>).</p>



<p class="wp-block-paragraph">With the world moving away from copper phone lines to cloud-based communications, the telephone group’s likely to be one of the biggest beneficiaries. Its Unified Communications as a Service (UCaaS) offering is currently available in the UK, Netherlands, Spain, and Germany.</p>


<div class="tmf-chart-singleseries" data-title="Gamma Communications Plc Price" data-ticker="LSE:GAMA" data-range="5y" data-start-date="2021-02-11" data-end-date="" data-comparison-value=""></div>



<p class="wp-block-paragraph">Analysts reckon its shares are 67% undervalued. With a P/E ratio of only 9.6, there’s strong evidence to support this view. And as an added bonus, the group also pays a modest dividend. The stock’s currently yielding 2.3%.</p>



<p class="wp-block-paragraph">But the group’s profit has been impacted by a lack of economic growth and a loss of confidence among its target customer base of small and medium-sized businesses. Also, there’s plenty of competition out there.</p>



<p class="wp-block-paragraph">And the UK’s plans to shut down its Public Switch Telephone Network (PSTN) in early 2027, is a double-edged sword. Some customers are moving to fibre solutions as a cheaper alternative to UCaaS. Although Gamma does provide this service, it earns a lower margin than on its cloud offering.</p>



<p class="wp-block-paragraph">However, it operates in an industry where the direction of travel is clear. Of course, the PSTN switch-off might be delayed (it has been before) but, eventually, everything will be in the cloud.</p>



<p class="wp-block-paragraph">I think the recent pullback in the group’s share price – it’s fallen 33% since February 2025 – could be an excellent buying opportunity. I reckon Gamma Communications is a stock to consider.</p>
<p>The post <a href="https://www.twelfthmagpie.com/2026/02/11/2-uk-stocks-tipped-to-grow-50-over-the-next-12-months/">2 UK stocks tipped to grow 50%+ over the next 12 months</a> appeared first on <a href="https://www.twelfthmagpie.com">The Twelfth Magpie</a>.</p>
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                                <title>A 7.3% dividend yield at a 5.5 P/E! Should I buy this cheap stock?</title>
                <link>https://www.twelfthmagpie.com/2026/01/25/a-7-3-dividend-yield-at-a-5-5-p-e-should-i-buy-this-cheap-stock-2/</link>
                                <pubDate>Sun, 25 Jan 2026 08:01:00 +0000</pubDate>
                <dc:creator><![CDATA[Zaven Boyrazian, CFA]]></dc:creator>
                		<category><![CDATA[Investing Articles]]></category>
		<category><![CDATA[Value Shares]]></category>

                <guid isPermaLink="false">https://www.twelfthmagpie.com/?p=1637026</guid>
                                    <description><![CDATA[<p>With a dirt cheap P/E ratio and a surging yield, could this high street retail stock offer impressive long-term growth potential at a massive discount?</p>
<p>The post <a href="https://www.twelfthmagpie.com/2026/01/25/a-7-3-dividend-yield-at-a-5-5-p-e-should-i-buy-this-cheap-stock-2/">A 7.3% dividend yield at a 5.5 P/E! Should I buy this cheap stock?</a> appeared first on <a href="https://www.twelfthmagpie.com">The Twelfth Magpie</a>.</p>
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<p class="wp-block-paragraph">While UK shares went on a double-digit rampage last year, there are still plenty of cheap stocks to explore in 2026. And among the cheapest stands <strong>Card Factory</strong> (<a class="tickerized-link" href="https://www.twelfthmagpie.com/tickers/lse-card/">LSE:CARD</a>).</p>



<p class="wp-block-paragraph">Over the last five years, these shares climbed by almost 80%. But in the last 12 months, the gift retailer has seen its market-cap shrink by just over 30%, bringing its price-to-earnings (P/E) ratio to a dirt cheap 5.5, while boosting the dividend yield to a tasty-looking 7.3%.</p>



<p class="wp-block-paragraph">So what’s behind this downturn? And has the volatility created an exceptional buying opportunity for value-focused investors?</p>



<p class="wp-block-paragraph"><div class="tmf-chart-singleseries" data-title="Card Factory Plc Price" data-ticker="LSE:CARD" data-range="5y" data-start-date="" data-end-date="" data-comparison-value=""></div>
</p>



<h2 class="wp-block-heading" id="h-what-happened">What happened?</h2>



<p class="wp-block-paragraph">For most of 2025, Card Factory’s stock price was fairly stable. It wasn’t until December came along that a spanner was thrown into the works.</p>



<p class="wp-block-paragraph">With the UK economic landscape less than ideal, consumers have started cutting back on non-critical discretionary spending. And for a business that specialises in greeting cards, gifts, and celebration products, that’s far from an ideal operating environment.</p>



<p class="wp-block-paragraph">The result? Shortly before 2025 came to a close, the company issued a profit warning that understandably spooked investors. Instead of delivering pre-tax profit of £70m as previously expected, management revised its guidance down to a range of £55m-£60m. And the stock price plummeted by 27% in a single day.</p>



<p class="wp-block-paragraph">While this profit warning was the key <a href="https://www.twelfthmagpie.com/investing-basics/understanding-the-market/what-is-market-volatility/">catalyst for volatility</a>, it likely wasn’t the sole cause. Like many high street retailers, Card Factory’s been coming under pressure from changes in government policy as well.</p>



<p class="wp-block-paragraph">Increases to the Minimum Wage and National Insurance contributions have taken their toll. And with inflation driving up both raw material and logistical costs, as well as rising competition from supermarkets like <strong>Tesco</strong> and <strong>Sainsbury’s</strong>, <a href="https://www.twelfthmagpie.com/investing-basics/understanding-company-accounts/the-profit-and-loss-account/">profitability’s been squeezed</a> for most of 2025.</p>



<p class="wp-block-paragraph">However, with these headwinds now seemingly already baked into its share price, has Card Factory been transformed into a top, cheap stock to buy?</p>



<h2 class="wp-block-heading" id="h-a-golden-opportunity">A golden opportunity?</h2>



<p class="wp-block-paragraph">As of 2026, Card Factory’s currently the only UK brick &amp; mortar greeting card retailer that controls design, printing, and distribution all under one roof.</p>



<p class="wp-block-paragraph">While this vertical integration does add complexity, it also gives management complete control over every stage of operations. And leadership’s subsequently been using this control to implement its ‘Simplify and Scale’ strategy, unlocking new efficiencies and savings covering everything from redesigning store layouts to automating manufacturing processes.</p>



<p class="wp-block-paragraph">With benefits expected to emerge in 2027, the current pressure on profit margins may only be temporary. And if the economic environment improves simultaneously, Card Factory could be well-positioned for a rebound in both sales and profits within the next 18-24 months.</p>



<p class="wp-block-paragraph">So is this a screaming buying opportunity for a quality, cheap stock?</p>



<p class="wp-block-paragraph">It might be. But it’s important to recognise that a rebound’s far from guaranteed. The company still has to tackle a notable debt burden amid a profit decline. And with the greeting cards market in a secular decline, Card Factory’s growing increasingly dependent on the lower-margin gift side of its product portfolio.</p>



<p class="wp-block-paragraph">In other words, profitability improvements through efficiencies may ultimately be offset by a secular shift in product mix. Nevertheless, with a P/E of just 5.5, these risks may be worth mulling over.</p>
<p>The post <a href="https://www.twelfthmagpie.com/2026/01/25/a-7-3-dividend-yield-at-a-5-5-p-e-should-i-buy-this-cheap-stock-2/">A 7.3% dividend yield at a 5.5 P/E! Should I buy this cheap stock?</a> appeared first on <a href="https://www.twelfthmagpie.com">The Twelfth Magpie</a>.</p>
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                                <title>3 cheap UK shares tipped to grow 104% (or more) in 2026!</title>
                <link>https://www.twelfthmagpie.com/2026/01/23/3-cheap-uk-shares-tipped-to-grow-104-or-more-in-2026/</link>
                                <pubDate>Fri, 23 Jan 2026 07:04:00 +0000</pubDate>
                <dc:creator><![CDATA[Royston Wild]]></dc:creator>
                		<category><![CDATA[Investing Articles]]></category>
		<category><![CDATA[Value Shares]]></category>

                <guid isPermaLink="false">https://www.twelfthmagpie.com/?p=1637310</guid>
                                    <description><![CDATA[<p>Looking for brilliant bargains with rebound potential this year? Royston Wild picks out three cheap FTSE 100 and FTSE 250 shares to consider.</p>
<p>The post <a href="https://www.twelfthmagpie.com/2026/01/23/3-cheap-uk-shares-tipped-to-grow-104-or-more-in-2026/">3 cheap UK shares tipped to grow 104% (or more) in 2026!</a> appeared first on <a href="https://www.twelfthmagpie.com">The Twelfth Magpie</a>.</p>
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                                                                                            <content:encoded><![CDATA[
<p class="wp-block-paragraph">The <strong>FTSE 100</strong> and<strong> FTSE 250</strong> are still soaring, but the UK is still a great place to buy cheap shares. Some quality names have actually fallen in price, providing scope for a potential share price rebound in 2026.</p>



<p class="wp-block-paragraph">I&#8217;ve done some research to dig out stocks with the best chances of a recovery this year. My work shows that City analysts think their share prices will <span style="text-decoration: underline">double</span> in value or more during the next 12 months.</p>



<p class="wp-block-paragraph">I too am optimistic these cheap stocks could rebound. Want to know why I think they&#8217;re worth considering right now?</p>



<h2 class="wp-block-heading" id="h-gamma-communications">Gamma Communications</h2>


<div class="tmf-chart-singleseries" data-title="Gamma Communications Plc Price" data-ticker="LSE:GAMA" data-range="5y" data-start-date="" data-end-date="" data-comparison-value=""></div>



<p class="wp-block-paragraph"><strong>Gamma Communications</strong> (<a class="tickerized-link" href="https://www.twelfthmagpie.com/tickers/lse-gama/">LSE:GAMA</a>) helps companies switch to cloud-based systems, allowing them to modernise how they handle voice, video and messaging communications. It&#8217;s a hot growth area, but one that’s currently underperforming amid tough economic conditions.</p>



<p class="wp-block-paragraph">Yet analysts remain overwhelmingly positive on the stock. Of the eight studying the <a href="https://www.twelfthmagpie.com/investing-basics/understanding-the-market/what-is-the-ftse-250/" target="_blank" rel="noreferrer noopener">FTSE 250</a> firm, seven consider it a Strong Buy, with the remaining one rating it a Buy.</p>



<p class="wp-block-paragraph">Even the least optimistic of this grouping&#8217;s predicting a sharp price rebound over the next 12 months. They&#8217;re tipping a 21% rise, to £10.80. The most bullish number cruncher, meanwhile, is expecting Gamma shares to reach £18.20, a whopping 104% uplift.</p>



<p class="wp-block-paragraph">Helped by falling interest rates, demand for its services might rebound strongly as businesses boost IT-related investment. Gamma will also benefit approaching the shutdown of all copper-based phone services in the UK next January.</p>



<h2 class="wp-block-heading" id="h-card-factory">Card Factory</h2>


<div class="tmf-chart-singleseries" data-title="Card Factory Plc Price" data-ticker="LSE:CARD" data-range="5y" data-start-date="" data-end-date="" data-comparison-value=""></div>



<p class="wp-block-paragraph"><strong>Card Factory</strong>&#8216;s (<a class="tickerized-link" href="https://www.twelfthmagpie.com/tickers/lse-card/">LSE:CARD</a>) another FTSE 250 company trending lower over the last year. Not even its focus on the value end of the greetings market has protected its share price. But could it be about to turn higher?</p>



<p class="wp-block-paragraph">Seven brokers currently have ratings on the retailer. And their views on the company are largely positive &#8212; five class it as a Strong Buy, with two giving it a Hold rating.</p>



<p class="wp-block-paragraph">This is reflected in their price forecasts for Card Factory shares. One analyst thinks the price will reach 170p during the next year, up 153% from today. Even the least bullish forecasts predicts a healthy 12% increase, to 75p.</p>



<p class="wp-block-paragraph">A prolonged downturn in the UK economy could hinder any such price recovery. But aided by recent international expansion, I think Card Factory could bounce back strongly this year.</p>



<h2 class="wp-block-heading" id="h-jd-sports-fashion">JD Sports Fashion</h2>


<div class="tmf-chart-singleseries" data-title="JD Sports Fashion plc. Price" data-ticker="LSE:JD." data-range="5y" data-start-date="" data-end-date="" data-comparison-value=""></div>



<p class="wp-block-paragraph"><strong>JD Sport Fashion </strong>(<a class="tickerized-link" href="https://www.twelfthmagpie.com/tickers/lse-jd/">LSE:JD.</a>) is another casualty of tough market conditions. In particular, it&#8217;s struggled to tackle weak consumer spending in its major US region. Fierce competition on main street and online haven&#8217;t helped it either.</p>



<p class="wp-block-paragraph">City analysts aren&#8217;t overwhelmingly positive in their view of the <a href="https://www.twelfthmagpie.com/personal-finance/share-dealing/guides/what-is-the-ftse-100/" target="_blank" rel="noreferrer noopener">FTSE 100</a> share. But opinions are undeniably more positive than negative. Out of 17 rating the stock, seven consider it a Strong Buy or Buy. The remainder have a Hold rating, with not a single one giving it a Sell.</p>



<p class="wp-block-paragraph">The most optimistic JD share price target is 200p, up 146% from today. The most pessimistic is 85p, suggesting a 5% increase.</p>



<p class="wp-block-paragraph">I think there&#8217;s a good chance of a robust rebound as analysts expect. Conditions are improving in North America &#8212; this week it reported &#8220;<em>improved</em>&#8221; like-for-like sales there. And the broader athleisure fashion segment is tipped for further broad growth.</p>
<p>The post <a href="https://www.twelfthmagpie.com/2026/01/23/3-cheap-uk-shares-tipped-to-grow-104-or-more-in-2026/">3 cheap UK shares tipped to grow 104% (or more) in 2026!</a> appeared first on <a href="https://www.twelfthmagpie.com">The Twelfth Magpie</a>.</p>
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