The question is, how much would someone who invested in a tracker fund a year ago have now? A year ago, the index was at 8,602 points. Fast-forward to today and it’s far higher at 10,273 points.

This means someone who put £20,000 in a tracker 12 months ago would now have £23,886 before dividends. With dividends paid by FTSE 100 shares included, the investment today would be £24,721. That represents a whopping 23.6% total return!

What next?

But can an index tracker continue delivering those sorts of brilliant returns? If you’re an analyst at UBS, the answer may well be ‘yes.’

In recent weeks, the Swiss bank lifted its year-end target for the FTSE. It’s now predicting the index will reach 11,000 by December, up from a prior forecast of 10,500. This reflects higher expected earnings from oil sector giants BP andShell.

But here’s the thing: predicting near-term stock market movements is incredibly tough. And a range of risks could limit gains or even prompt a reversal in the weeks and months ahead. These include:

• Cooling economic growth across the globe.
• Soaring inflation and large interest rate hikes.
• Growing political uncertainty in the UK and overseas.
• Currency swings, and especially a resurgent pound.
• Profit-taking after the FTSE 100’s strong rally.

It’s also worth considering what awaits the BP and Shell share prices. A more robust ceasefire in the Middle East would almost certainly pull these oil shares lower, and with it the wider index. Rising oil supplies and growing renewable energy demand also threaten these FTSE 100 stocks further out.

What should you do?

I still think an index tracker fund demands serious consideration from investors. The Footsie remains packed with bargains, and this could continue to send it higher. I’m also expecting it to keep rising over the long term as corporate earnings steadily grow over time.

But it’s not the path for me. Why? I think investing in individual FTSE 100 shares is the way to go. Take the example of Games Workshop (LSE:GAW), which I hold in my SIPP.

Purchasing specific stocks like this doesn’t give me the protection that a diversified trader fund does. In the case of Games Workshop, its share price could drop if costs soar and sales dip, impacting earnings.

But this doesn’t concern me, as I invest for the long term. And over a period of years, I’m confident the Warhammer maker can continue outperforming the rest of the FTSE. Since 2016, it’s delivered an average annual return of 43.1%. That’s four-to-five times greater than the broader index’s 9.3%.

How am I so confident? Well, the company continues to rapidly expand to capitalise on the fantasy gaming boom. It’s also accelerating licensing of its IP for film, TV, and video games makers to supercharge royalty revenues. In my view, Games Workshop remains one of the FTSE 100’s hottest growth stocks.

The post How much would £20,000 invested in FTSE 100 stocks 1 year ago be worth now? appeared first on The Twelfth Magpie.

So what would it take to generate that same income entirely from an ISA portfolio, independently of the government?

Crunching the numbers

Following the widely-used 4% rule, an investor would need a portfolio worth around £313,675 to sustainably generate £12,547 a year in passive income.

Obviously, that’s a significant sum. But it’s far more achievable than most people realise.

An investor putting aside £450 a month and earning the stock market’s long-run 8% average annual return would reach £313,675 in just shy of 22 years. And it means that anyone starting a bit late in their 40s still has plenty of time to reach this goal.

But for those willing to pick quality individual stocks rather than simply tracking the market, that timeline can shrink dramatically.

Why Games Workshop is such a compelling example

Few companies on the London Stock Exchange illustrate the power of quality compounding better than Games Workshop (LSE:GAW). Over the last decade, the miniature wargaming manufacturer has delivered an extraordinary 51.8% average annualised total return.

To put that in perspective, anyone drip feeding £450 a month at this rate of return since 2016 is now sitting on a staggering £1,972,947!

What’s driven such exceptional returns? The answer is a near-unassailable competitive moat.

Games Workshop’s the mastermind behind the Warhammer universe – a vast portfolio of intellectual property spanning tabletop games, novels, video games, and now a major licensing deal with Amazon for a Warhammer TV series.

Its fanatically loyal global customer base seems to spend regardless of wider economic conditions. And what’s more, high-margin royalty and licensing income is expanding rapidly, diversifying the business beyond core miniatures businesses.

Is Games Workshop still worth buying in May?

At a market-cap of £6.5bn, Games Workshop shares aren’t likely to maintain such a massive growth trajectory. But that doesn’t mean the growth story’s over.

Analysts at Peel Hunt and Shore Capital both carry Buy ratings, pointing to the Amazon licensing deal as a potential step-change catalyst that could dramatically expand the Warhammer brand’s global reach over the coming years.

However, the risks deserve attention as well. With the company investing heavily to expand its manufacturing capacity, and the war in the Middle East disrupting the global supply of petrochemical plastics, Games Workshop’s impressive margins are coming under pressure in 2026. And for a stock that’s long traded at a premium valuation, this opens the door to potential volatility.

Over the longer term, there’s also execution risk to consider with management’s licensing diversification strategy. If the TV adaptation fails to resonate with audiences, Warhammer’s attempt to move into the mainstream could backfire, harming the brand.

The key question is whether management can successfully monetise the Amazon opportunity without compromising the loyal fanbase that made the business great in the first place. And that’s exactly what I’m watching closely.

Nevertheless, I remain optimistic both as a shareholder and a customer. That’s why I’ve already added some shares to my portfolio in my long-term quest to meet and eventually exceed my future retirement income from the State Pension.

The post How much do you need in an ISA to match the £12,547 State Pension? appeared first on The Twelfth Magpie.

But it’s not all good news, as the Cash ISA can cost users the chance the make life-changing wealth. Want to know why?

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. Readers are responsible for carrying out their own due diligence and for obtaining professional advice before making any investment decisions.

Cash crisis

The problem is that the ease and safety of these products leads people to over-rely on them. The result? Cash savers can miss out on making enormous returns by using their money in other ways. There’s even evidence these products could be costing people millions of pounds in lost wealth.

Financial planner Murphy Wealth put in a Freedom of Information request to HMRC last year. The aim was simple: to find out what the 4,850 ISA millionaires were holding as of the most recent datapoint (April 2022).

The request showed a whopping 94% of those millionaires earned their money with the aid of the stock market. Murphy Wealth says that “almost all ISA millionaires have built their wealth by holding stocks and shares… and no one has got to that status holding cash alone.”

The Stocks and Shares ISA offers the same tax benefits of its cash equivalent. But a focus on the stock market means a far superior long-term return averaging 8%–10%.

What’s the catch?

There’s no such thing as a free lunch, as they say. In this case, while the stocks ISA typically offers greater returns, this comes with the risk that an investor’s capital can fall.

Yet prioritising the Cash ISA comes with its own risks. I’m not talking about the remote danger of the bank and building society you’re saving with going bust. As we’ve seen, it can remove the possibility of generating meaningful wealth, and with it one’s chance of retiring in comfort.

Murphy Wealth sum it up perfectly for me. It said that “historically, a balanced portfolio of stocks and shares has delivered far higher returns over most reasonable timeframes, while cash savings have often failed to beat inflation.” A portfolio that fails to at least keep up with inflation essentially loses value over time.

Targeting a million-pound ISA

I hold money in a Cash ISA myself to spread risk. But most of my money goes into a diversified collection of stocks to help me make significant wealth.

Games Workshop (LSE:GAW) is a share that has ‘millionaire-maker’ potential written all over it. It’s one of my largest holdings, and it’s easy to see why: since May 2016, the company’s delivered an average annual return of 43.2%, reflecting both share price gains and dividends.

This FTSE 100 company sells miniatures and tabletop gaming products. Through heavy investment in IP, it enjoys brilliant pricing power and high margins that help supercharge earnings. Latest financials showed operating profit leap 11% during May-September.

Can Games Workshop shares keep outperforming though? I’m optimistic they can, even though growing competition poses a risk that can’t be ignored. Geographic expansion (especially in Asia) has further significant earnings potential, as does increased licensing of the firm’s IP for films and video games.

The post Is your Cash ISA stopping you from becoming a millionaire? appeared first on The Twelfth Magpie.

This takes the 10-year return to approximately 4,050%. But that’s before dividends. If we include those, the 10-year annualised return is 47.2%, according to AJ Bell.

To put that into context, a £5,000 investment made a decade ago would have returned almost £240,000 by now! This is obviously very rare.

Another rare thing, though, is that Games Workshop hasn’t split its stock during this time. So it has gone from less than £5 per share in May 2016 to hit £201 this week.

Out of convention, firms will usually split their stock if the price gets too high. This can attract more individual investors, who can’t afford to buy an individual share costing hundreds (or thousands) of pounds. In this sense, it can improve liquidity.

Why hasn’t Games Workshop — the world’s largest miniature wargaming company — done so?

What’s a share split?

For the sort of forward stock split I’m talking about, it would simply mean increasing the share count by issuing new shares to existing investors. For instance, if Games Workshop did a 10-for-1 stock split, investors previously holding 10 shares would then have 100.

The cost per share would fall from, say, £200 to £20. Crucially though, there would be no change in the company’s overall valuation.

I like to think about it in terms of a pizza. The value of the holding is the same (the pizza), but it has been sliced into more individual parts.

Corporate culture

As far as I can tell, Games Workshop has never done one, despite being public since the early 1990s. Why not?

Well, it probably doesn’t need to because its shares are overwhelmingly held by institutional investors. Whether each one is £1 or £1,000 is neither here nor there to them. Meanwhile, there’s a move towards fractional shares, allowing more retail investors to get on board regardless of price.

But corporate culture probably plays a part, too. The Warhammer maker doesn’t engage in acquisitions and its trading updates are usually short and sweet because the annual report gives shareholders (like myself) everything we need to know.

Perhaps the firm will split its stock in future, but it would likely be to support its employee share scheme rather than follow market convention.

I note our promotion to the FTSE 100, but want to stress that it changes nothing… our mission is to make the best fantasy miniatures in the world, to engage and inspire our customers, and to sell our products globally for a profit. We intend to do this forever.
Non-executive chair Mark Lam.

Pricey stock

This genuine long-term focus is what attracted me to the company, as well as its loyal customer base and ultra-high profit margins. It has valuable IP stretching back decades, with film content in the works with Amazon.

Unfortunately though, the stock’s forward price-to-earnings multiple is currently 32. This high valuation doesn’t leave much room for, say, an unexpected slowdown in growth.

If the share price was to decline 15%+, however, I think Games Workshop would be an excellent stock to consider. But I see better opportunities around right now.

The post This surging FTSE 100 share just hit £201! Will it ever split its stock?  appeared first on The Twelfth Magpie.

But it’s not a trend that applies in today’s market. In fact, investors who follow this investing strategy could be making a massive mistake.

Want to seriously boost your wealth? You may want to consider splashing the cash over the next few months.

So what’s happened?

The idea of sitting tight in May and over the summer has been turned on its head during the last decade. And it’s all down to who US voters elected as their president in that time.

IG ran the numbers, and concluded that “the S&P 500 [has] delivered far stronger returns during the traditional May to October window under Donald Trump than in other years“.

The difference is incredible, in fact. Under President Trump, the index has risen by 9.5% on average over the past 20 years between May and October. When the current Commander-in-Chief hasn’t been in office, the return’s been just 1.3%.

The S&P’s not just outperformed during this five-month window, though. On a 12-month basis, average returns have been 14.6% versus 6.8% during non-Trump years.

IG says that

while markets have experienced increased volatility through tariff and aggressive foreign policy under Trump, rapid regains have led to outperformance vs the 20-year average.

What about the FTSE 100?

So what’s the story for the London stock market during Trump years? Unfortunately, things haven’t been anywhere near as good.

In fact, IG comments that “during non-Trump years over the past two decades, the FTSE 100 has gained on average 4.7% versus an average loss of -1.4% across Trump years“.

It adds that “the ‘Sell in May’ adage has also held true for the FTSE 100 during Trump’s presidencies so far, with an average loss between May and October of -2% compared with a gain of 0.6% between November and April“.

So on this basis, investors should steer clear of UK stocks and find US shares to buy instead. Right?

Here’s what I’m doing

Not in my view. This is because London-listed companies can still deliver spectacular returns regardless of who’s in the White House

Take Games Workshop (LSE:GAW), a FTSE 100 share I hold in my portfolio. It’s delivered an average annual return of 30.6% since May 2010, a period in which there have been three different US presidents in office.

Want to know the kicker? The annual return on Games Workshop shares is more than double what the S&P 500 has provided (that’s 13.9%).

I’m confident the tabletop gaming giant can keep outperforming, too. Its market continues to grow at an electrifying pace, and Games Workshop remains well-positioned through its hugely popular Warhammer franchise. Core sales jumped 17.3% in the six months to November, latest financials showed, despite the growing threat from competitors.

And the firm is accelerating licencing of its intellectual property for film and TV, which I think will take group revenues to the next level. I plan to keep holding this share whoever is in the White House.

The post Why NOW could be the best time to find stocks to buy! appeared first on The Twelfth Magpie.

In the last decade, the FTSE 100 has delivered an excellent average annual return of 9.2%. That includes both capital gains and dividends. To put that into context, a £20,000 ISA investment in a tracker fund would have turned into £50,010.

But what about if investors had bought individual FTSE shares instead? Results will vary, with some underperforming the benchmark and others delivering superior returns. So which UK shares have surpassed the index?

Here are two that have, and that I’m confident will continue delivering spectacular returns.

Fantastic returns

Games Workshop (LSE:GAW) is one of the London stock market’s greatest success stories. It wasn’t even in the Footsie index 10 years ago, having been promoted from the FTSE 250 in December 2024.

So what’s behind the company’s success? Surging interest in fantasy tabletop gaming among hobbyists, and its leading position in the market. Warhammer is the industry’s gold standard, and commands a large and loyal fanbase across the globe. Sales have risen roughly 50% in the last five years alone. This has helped the stock deliver an average annual return of 46.9% since May 2016.

Can Games Workshop shares keep rising, though, as market competition increases? I’m confident they can, helped by the company’s plan to accelerate licensing activity with film and TV providers like Amazon. The best-selling Warhammer 40,000: Space Marine video game franchise illustrates how IP licensing can generate enormous royalties and stimulate sales of its miniatures.

Another FTSE 100 high flyer

BAE Systems (LSE:BA.) plays a vital role in Western defence. So as geopolitical instability has risen, and major wars in Europe and the Middle East have broken out, demand for its hardware has soared.

As a consequence, the company’s delivered an average annual return of 17.3% over 10 years. That’s approaching double what the broader FTSE 100 has provided. In that time, sales have rocketed and latest financials showed its order backlog at a record £83.6bn.

Can BAE shares keep up the pace, though? It may have some hiccups if supply chain issues worsen due to the Iran war, pushing up costs and hampering project delivery. But in this changing global landscape, I think there’s significant scope for further share price gains as defence budgets keep rising. As a critical supplier to multiple major NATO members, BAE’s in a stronger position than most to capitalise on this.

Generating ISA wealth

Past performance isn’t always a reliable guide to future returns. But, as I say, I’m confident Games Workshop and BAE Systems shares can keep on delivering for ISA investors like myself.

If they can replicate the returns they’ve delivered since May 2016, these FTSE 100 stocks will have turned £20,000 equally invested across them into £541,834 a decade from now.

The post These FTSE 100 stocks could turn a £20k ISA investment into £541,834 appeared first on The Twelfth Magpie.

Being able to keep 100% of any dividends received can be huge. And that’s not the only benefit. 

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. Readers are responsible for carrying out their own due diligence and for obtaining professional advice before making any investment decisions.

UK income

According to the Office for National Statistics, the median UK salary is around £39,039 a year. After tax, that comes down to £31,628. 

Assuming a 5% dividend yield (which I think is realistic) the amount needed to generate this return is £632,560. And the annual ISA contribution limit is £20,000.

I think someone who can invest that consistently each year has an excellent chance to reach £632,560. The biggest question is how long it takes.

To get there within 10 years, you’d need a 20.07% annual return. That would be extraordinary, but the equation gets much better with time. Getting there within 15 years requires a 9.89% return, which is high but not impossible. But at 20 years, the required return is just 4.95%.

That’s well below the long-term average from the FTSE 100. And it really highlights the power of investing regularly over time. 

Where to invest?

I think there are plenty of stocks that could realistically offer 4.95% annual returns. But a few might even give investors a shot at 9.89%.

One that might manage this and could be worth a look is Games Workshop (LSE:GAW). The firm currently earns 625.9p per share and is priced at 19,304p.

A reverse discounted cash flow (DCF) calculation tells us the implied growth rate for a 9.89% return is around 10.5% a year. Is that realistic? It might be – over the last five years, the firm’s achieved 12.28% annual growth in earnings per share. 

That’s no guarantee of future returns, but the company’s core strength is still intact. Its Warhammer franchise remains extremely popular. And while that remains the case, I think Games Workshop’s growth prospects are strong. And that’s not even the best bit for investors.

Dividends

In recent years, Games Workshop has returned almost all of its cash to shareholders. And I think there’s a good chance this can continue.

That means investors can generate some of the required 10.5% growth by reinvesting dividends. At 3% a year, that brings the target rate down to around 7.5%. I think there’s a very good chance the firm achieves this over the next 15 years.

But it’s important to pay attention to what could go wrong. Over 15 years, a lot could happen. Recessions could cut into consumer spending, preferences might shift, and inflation may push up manufacturing costs.

All of those are risks.But investing isn’t just about finding things that can go wrong, it’s also about identifying stocks that are likely to do well. 

Games Workshop looks to me like a real candidate. I own it in my own Stocks and Shares ISA and I think it’s worth considering right now.

ISA investing

In a Stocks and Shares ISA, a portfolio with a 5% yield turns £635,560 into £31,628 a year. Outside an ISA, a basic rate taxpayer needs £693,400 to achieve this.

The extra £57,840 either takes more time, more cash, or a higher return. And that’s why investors shouldn’t underestimate the value of a Stocks and Shares ISA.

The post How much is needed in a Stocks and Shares ISA to target a £31,628 second income? appeared first on The Twelfth Magpie.

Last week, Sarah Breeden, deputy governor for the Bank of England (BoE), said the quiet part out loud: “There’s a lot of risk out there and yet asset prices are at all-time highs. We expect there will be an adjustment at some point.“

As a Fool, this is actually music to my ears. Let me explain why.

A market crash is just what I want

Like you, I’m trying to grow my wealth. Since holding cash in a savings account is a recipe for disaster, due to the eroding effects of inflation, I’ve turned to the stock market.

One way of potentially turbocharging performance in the latter is to buy individual company stocks when other investors are selling. By doing so, I can ride to the eventual recovery when people realise we’re not actually going to hell in a handcart.

This is why I believe a stock market crash or some “adjustment” is just the sort of thing any long-term investor should hope for.

Of course, this isn’t to say that going against the grain’s easy. News headlines full of doom and gloom always have the potential to make us think we’re making a grave error.

But we also know that – to date – the market has always rallied. And if it doesn’t, we’ll probably have more important things to think about than how our portfolios are faring.

When will this opportunity arise?

Working with uncertainty

I’ll save you some time. No one person or organisation — including the BoE — knows when the proverbial will hit the fan. That’s just the nature of the stock market. The long-term rewards have been wonderful. But the path there has always been unpredictable.

This is why I keep a list of brilliant stocks I’d like to buy if they suddenly dropped in price. To paraphrase billionaire investment legend Warren Buffett, what could be better than buying “quality merchandise when it’s marked down“?

Personally, I like businesses with strong economic moats – things that separate them from the competition – and those that generate sky-high margins. Having a robust balance sheet with minimal (if any) debt can also help when navigating choppy economic waters.

One example of this has to be fantasy figurine maker Games Workshop (LSE: GAW). Thanks to global expansion, huge IP growth and fan loyalty, the FTSE 100 member has been one of the UK success stories over the last decade.

Will I get my chance?

Just how long this momentum will last is open to debate. The fact that inflation’s creeping up again means that even the most dedicated hobbyist may need to cut back on their purchases. The current price-to-earnings (P/E) ratio of 34 also implies that investors’ expectations are already very high. And what do we know can happen when hopes begin to surpass reality?

If – for whatever reason – that price were to (temporarily) tank however, I’d be backing up the truck.

Sure, past performance is no guide to the future. Even so, we can see that previous periods of volatility at Games Workshop have proven to be wonderful buying opportunities.

I’m hoping to get another soon.

The post If a stock market crash is coming, this is the FTSE share I want to buy appeared first on The Twelfth Magpie.

That’s why when the stock market eventually crashes again, I won’t be wasting this exceptional chance to snap up some fantastic dirt cheap bargains. But this also raises an interesting and tricky question: should I only ever buy shares during a market downturn?

That’s a particularly pressing question right now, given rising global tensions, a looming energy crisis, and substantial trade disruptions. So should I wait for disaster to strike?

No. I’m not waiting

While it may seem counterintuitive, waiting for the stock market to implode can actually harm a portfolio’s performance. The problem is that stock market crashes are notoriously hard to accurately predict, with countless failed attempts from even the smartest minds in finance.

Even in today’s current economic and geopolitical landscape, a crash is far from guaranteed.

The conflict in Iran is obviously concerning, but a successful peace agreement could swiftly end those concerns. And even if the war drags on, the subsequent energy shock could prove short-lived or less severe than expected as other countries ramp up oil & gas production to take advantage of the supply gap.

That’s why in the midst of all the recent chaos, I’ve been drip feeding money into the stock market throughout the last two months. And while I’ve mostly focused on US stocks, several FTSE 100 stocks are now looking rather promising.

What stocks are on my radar?

I’m bullish on quite a few FTSE 100 stocks in 2026. And among my favourite picks stands the Warhammer creator, Games Workshop (LSE:GAW).

With the launch of its 11th Edition of Warhammer 40,000 just a few months away, the company appears to be on track for another gangbuster year of revenue and profit growth for its core miniature business.

Crucially, this timing also appears to line up nicely with the planned completion of its new Factory 4 facility, expanding its existing manufacturing capacity. And with a fifth site already secured for future growth, the business appears to be preparing to scale its operations significantly in the coming years.

As an existing shareholder, this operational expansion has me excited. However, even though I’m bullish, there are still some important near-term risks to monitor.

What should investors watch?

It’s not just oil & gas that’s been disrupted due to the Iran war. Global supply of petrochemical plastics, like the ones that Games Workshop uses to manufacture its miniatures, has also been hit, likely translating into higher raw material costs for the business.

Luckily, Games Workshop commands exceptional pricing power, granting flexibility to pass this cost along to customers. But in an environment of rising energy and food prices, that power might be put to the test, with volumes potentially taking a hit.

My contrarian view is that demand for the 11th Edition launch box will offset this headwind. But clearly, that’s not a guaranteed outcome.

Nevertheless, with an impressive product line-up, incoming production expansion, and an enviable track record, this is a risk I feel might be worth taking. That’s why I’m seriously considering snapping up more shares today.

The post Should I buy FTSE 100 shares today, or wait for the next stock market crash? appeared first on The Twelfth Magpie.

Some businesses can grow while paying out cash to shareholders. And these can be terrific investments.

Growth vs dividends 

In most cases, the trade-off between growth and income is real. And there’s a simple reason why.

Businesses have a choice about what they do with their cash. One option is to use it for growth. 

Companies grow by opening new facilities, hiring more staff, or even buying competitors. That’s great, but there’s a catch.

All of this costs money. And any cash used for doing these things can’t be returned to investors as dividends.

Alternatively, they can distribute their profits to shareholders. This creates income for investors, but it creates zero growth. 

Most businesses do a combination,  but the choice remains. Cash used for dividends doesn’t generate growth.

Warren Buffett 

That’s the reality for most companies. But in a few extremely rare cases, investors don’t have to choose.

Some businesses can grow without using the cash they generate. And in that situation, dividends don’t slow them down.

In his 2022 letter to Berkshire Hathaway shareholders, Warren Buffett identified two of these. They were Coca-Cola and American Express.

Both have managed to grow over time. But they haven’t had to use the cash they’ve generated to do this.

One example in both cases is price increases. This boosts sales, but costs the company nothing.

That means growth isn’t limited by paying dividends. And that’s why they’ve been such great investments for Berkshire.

FTSE 100 

These companies are rare and not easy to find. But UK investors can find a couple in the FTSE 100.

One is Games Workshop (LSE:GAW). The firm consistently returns over 80% of its profits to investors.

Despite this, it’s been one of the fastest-growing FTSE 100 stocks of the last 10 years. And it might only be getting started. 

The company has a lot of scope to expand in the US. And its upcoming Warhammer film could be a big catalyst for that. 

Inflation or a recession could dampen demand for its products. They aren’t cheap and they’re discretionary. 

Investors should therefore expect volatility. But while any year might be challenging, the firm has clear long-term strengths.

Unique strength 

This is why Games Workshop shares have performed so well in the last 10 years. It’s not an accident. 

The question for investors is whether the firm can keep this up. And I think it can.

Nobody else can make Warhammer products. But there’s something that’s even more important, in my view.

There are lots of strong franchises, but they aren’t as successful as Games Workshop. The reason is management.

Unlike some companies, the firm puts its customers ahead of short-term profits. That’s why it’s built such a loyal following.

This principle is deeply embedded in the organisation. And that’s why I’m positive about the stock.

Opportunity?

With most stocks, the choice between growth and dividends is real. That’s because most companies have to invest to grow.

In a few rare situations, though, this isn’t the case. And Games Workshop is one of them.

That’s why I think it’s a stock that every investor should keep a close eye on. Growth or dividends, this company offers both.

The post Growth stocks or dividend shares? You don’t have to choose! appeared first on The Twelfth Magpie.