Yet from looking at the numbers, and using a reasonable time frame, it could be more realistic than is appreciated!

Key details

Clearly, it’s not a goal that’s likely reached overnight. In theory, if someone has a large lump sum sitting around, it could be possible to invest it all and then start making sizeable dividend income from a standing start. But for most people, this is unlikely.

Rather, a good strategy would be to invest regularly, such as once a month. With smaller amounts accumulating over time, it can help avoid cash flow pressures. It also allows the benefit of compounding.

For example, let’s say someone invested £500 a month in dividend shares yielding 7% on average. If the dividends were reinvested back into the portfolio, after a decade, the compound yield would be 7.23%. This added part (0.23%) comes from keeping the money in the portfolio rather than spending it immediately.

Using the above example, at the end of year 17, the average monthly income could be £1,086. But some might not want to wait this long to hit the goal.

To try and cater to this, increasing the investment figure to £750 a month would trim about four years off the time needed. Another option would be to try to boost the portfolio yield. If the yield increased from 7% to 9%, the target goal could be reached just before year 11.

Of course, planning this far in advance is difficult. Companies may cut dividends, sectors could do better or worse due to AI disruption, or a host of other things could mean it takes more or less time to reach the goal.

A target yield stock

The other key part of the strategy is picking good dividend shares to generate the income. One example I like at the moment is MONY Group (LSE:MONY). The stock’s down 17% in the past year, but has a dividend yield of 7.39%.

Best known for its MoneySuperMarket platform, MONY operates digital comparison sites that help consumers find cheaper deals on everything from insurance to credit cards. At its core, MONY’s a middleman business. This asset-light model’s attractive for dividend investors because it generates strong cash flow without requiring huge capital investments.

The recent share price fall has come from concerns about slowing growth in the insurance market, especially in car insurance. Further, concerns over artificial intelligence (AI) disrupting comparison websites have also weighed on sentiment, with some investors fearing that AI assistants could eventually replace traditional comparison platforms.

Even though these are risks going forward, I believe the longer-term outlook could actually be stronger than some think. The business is expanding beyond pure comparison services into membership products such as SuperSaveClub, which increases customer loyalty and recurring revenue.

As for the dividend, the firm currently has a cover ratio of 1.4x. This means that the current earnings per share easily cover the payments, so I don’t see an immediate threat to the dividend being reduced.

Overall, I think it’s a good income stock for investors to consider as part of this strategy.

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

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

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

Jon Smith has no positions in any shares mentioned.

The post How much is needed in an ISA to target a £1,086 monthly passive income? appeared first on The Twelfth Magpie.

But is it really feasible to build an ISA that could pay the same as the UK’s average disposable income? I think so. Let’s take a look.

From Brighton to Belfast…

Research by MoneySuperMarket reveals that the typical household has £802 a month to spend after paying all essential bills. However, with housing costs varying significantly across the country, it isn’t surprising that there are huge regional disparities. In fact, the lowest disposable income can be found among residents of Brighton (£517) and the highest in Belfast (£955).

To help with household finances, the price comparison website suggests adopting the 50-30-20 framework: 50% take-home pay used for essential costs; 30% reserved for things “you want but don’t need”; and 20% saved.

Today, people who hold cash equivalents feel comfortable. But they shouldn’t. They’ve opted for a long-term asset, one that pays virtually nothing and is certain to depreciate in value.

Warren Buffett

How do the numbers stack up?

Putting 20% of £802 (£160) into a Stocks and Shares ISA — at an annual growth rate of 8% — would see it grow to £146,374 after 25 years.

At this point, a portfolio of dividend shares paying 6.6% would produce an income of £9,661, equivalent to £805 a month. This is £3 more than the UK’s average disposable income (ie after essentials have been paid for).

However, this analysis prompts two questions. Firstly, is an 8% growth rate realistic? Secondly, are there many stocks paying 6.6% in dividends? Let’s see.

Recent history

The performance of the FTSE 100 over the past 10 years suggests an 8% return is achievable. The 2016-2025 average annual growth rate (with dividends reinvested) of the UK’s leading index of shares was 9.5%.

Of course, there are no guarantees history will be repeated. But the past does suggest a return of 8% is possible if a successful stock-picking strategy’s adopted.

Lots to consider

As for whether a 6.6% yield from income shares is realistic, it’s worth noting that there are 40 stocks on the FTSE 350 currently paying more than this.

By coincidence, with a yield of 7.3%, one of these is MONY Group (LSE:MONY), owner of the MoneySuperMarket website.

Of course, there are no guarantees this high yield will continue. Indeed, fears have been expressed that many of the group’s services could be disrupted by artificial intelligence (AI0. This probably explains its disappointing share price performance over the past 12 months. Also, a cyber security attack remains a constant threat.

However, since the pandemic, the stock’s always offered an above-average yield. And it views AI as an opportunity. It recently launched a ChatGPT-compatible app. Attractively, the FTSE 250 stock also trades on 9.6 times historic earnings.

The group is an appealing business model – it claims to have saved households £12bn over the past five years – and has built a valuable cache of data. Its technology platform’s also easily scalable.

Overall, I think it’s a stock to consider by those looking for dividends and long-term capital growth.

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

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

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

James Beard does not hold any positions in the companies mentioned.

The post How much would be needed in an ISA to aim for a monthly second income of £802? appeared first on The Twelfth Magpie.

So unlike private pensions, ISA investors are not forced to wait until 55 to access their hard-saved money. And this minimum age limit will be raised to 57 from April 2028. In my view, it is my money and I should be able to access it whenever I choose!

Earlier access to private pension funds is available due to severe ill health, but this must be proven. Feigning a limp just will not cut it.

So what sort of returns have I targeted in recent ISAs?

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, nor 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.

Why is a 7% minimum annual return important to me?

I can receive a 5.2% yearly yield now with no risks attached — from 10-year UK government bonds.

This is known as the ‘risk-free rate’ because it is backed by the UK government. And it has never failed to pay interest or principal on such bonds. Less widely known again is that these bonds can be included in a standard Stocks and Shares ISA.

Consequently, I want compensating for the additional risk of investing in shares. And I think another 1.8% or so on top of the risk-free rate is reasonable.

What stock’s caught my eye recently?

Tech-led savings company MONY Group (LSE: MONY) — previously Moneysupermarket.com — was flagged on my screener recently.

This under-the-radar business has an asset‑light model, rising cash flows and a long record of dependable, high dividends. Additionally, its relative anonymity has kept its share price lower than business fundamentals justify, creating a striking valuation gap.

A risk for MONY is more aggressive pricing or promotional activity from rivals that could squeeze its margins. Another is a shift in insurer commission structures, which might reduce the revenue earned per policy, even if customer volumes hold steady.

Nevertheless, analysts forecast its earnings will rise by a strong average of 7.4% over the medium term. And this supports dividend rises and share price gains over time.

How much dividend income in the ISA?

Analysts expect MONY’s dividend yield to rise from the current 7.2% to 8.1% by end-2028. Using this latter forecast figure as an average — although it could go down or up over time — results in £24,836 in dividends after 10 years and £205,330 after 30 years.

The numbers assume an initial £20,000 investment to fully utilise the ISA allowance. It also factors in the dividends being reinvested to harness the full power of dividend compounding.

By the end of 30 years — the final point of a standard investment cycle — the total value of the holding would be £225,330.

And that would give an annual income from dividends alone of £18,252 — or £1,521 a month.

I already hold several ultra-high-yield stocks in my ISAs but may well still add this one to next year’s ISA.

Simon Watkins does not hold any positions in the companies mentioned.

The post How much do you need in an ISA to aim for a £1,521 monthly second income? appeared first on The Twelfth Magpie.

Looking around, I can see a few of potential opportunities to consider in the UK market.

Turnaround candidate?

Broadcaster ITV (LSE: ITV) is arguably one example. Based on analyst projections, its shares currently change hands at a price-to-earnings (P/E) ratio of just under 10.

The trouble is that the performance of the share price over the long term leaves a lot to be desired. Anyone picking up the stock five years ago will have endured a 33% fall. Sure, dividends received over this period would have soothed the paper loss to some extent. But this is akin to treading water. It’s not a recipe for getting rich.

Can long-standing CEO Carolyn Mccall and her team turn things around? The sheer amount of competition ITV faces along with the structural decline in TV advertising suggests it will be tough. But more growth in its Studios division would certainly do no harm. I also wouldn’t rule out a takeover bid or two.

In the meantime, the stock offers a forecast yield of 6.3%.

Huge dividend yield

Price comparison websites provider MONY Group (LSE: MONY) is a second mid-cap value stock that catches the eye and may be worth further research. Like the broadcaster, its share price has been going down for some time now. We’re talking about a 14% fall in the last 12 months.

A lot of this seems to be fuelled by concerns over the £900m cap’s ability to grow. Yes, revenue is ticking up but this is not the sort of momentum that’s going to get investors busting a gut to buy. The large number of share sales by directors in March doesn’t bode well either.

All that said, MONY trades on a P/E of nine. That looks remarkably cheap considering the above-average margins it consistently posts. The launch of a new MoneySuperMarket Chat GPT app also shows how it’s leveraging artificial intelligence (AI) to enhance services for customers.

The passive income is worth mentioning too. At a chunky 7.6%, the forecast yield is over double that of the FTSE 250.

How cheap?

By contrast to the previous two stocks, JD Sports Fashion (LSE: JD) pays relatively little in dividends. So there won’t be much in the way of compensation for buyers if the shares keep falling in value. They’re already down nearly 20% in 2026 alone!

The outlook isn’t great either. With inflation on the rise due to the conflict between Iran and the US, it’s likely that shoppers will be looking to cut back (again) on discretionary purchases.

But I still think there’s a lot to like. JD’s ongoing growth strategy in the US is progressing well and now accounts for a significant amount of total revenue. The forthcoming footfball World Cup could also provide a boost to earnings (even during tough times) thanks to long-standing partnerships with key brands such as Nike and Adidas.

To cap things off, it’s also the cheapest of the three. The P/E here’s a little less than six! If/when sentiment improves, those brave enough to think about investing now could be rewarded.

The post P/E ratios of less than 10. Are these 3 FTSE value shares hot enough to consider buying now? appeared first on The Twelfth Magpie.

Company details

I’m talking about MONY Group (LSE:MONY). The company has a dividend yield of 7.8%, and its share price is down 11% over the past year.

If you’ve ever compared car insurance or broadband deals online, chances are you’ve already used one of MONY Group’s platforms without even realising it. The company sits behind household names like MoneySuperMarket and MoneySavingExpert, acting as a middleman that connects consumers with financial providers. It earns referral fees when users switch products, operating a relatively simple business model.

In terms of the stock’s decline over the past year, the biggest culprit has been a slowdown in the insurance market. After a period of high premiums (which boosted switching activity and profits), prices have started to fall. This has reduced consumers’ incentive to shop around. Insurance is the largest revenue contributor for MONY Group (double the size of the next-largest segment), but revenue fell by £3m in 2025 compared with 2024.

Another risk going forward is ongoing fears that AI could bypass comparison sites. It could effectively replace the MONY Group site, though I think this concern is overblown.

The future

Before we get to the dividend discussion, let’s consider why I think the company’s overall outlook is positive. A big factor is the potential for a cyclical recovery. If inflation worries ease and UK interest rates fall later this year, consumer activity should pick up. Even without that external factor, structural growth should come from the continued traction that the ‘SuperSaveClub”’subscription model is getting.

This provides higher-margin recurring revenue and better customer lifetime value. Finally, the business is investing heavily in technology. This is primarily via investments in AI tools and platform improvements. This should enhance the user experience and reduce costs.

Now let’s get to the dividend forecast. The dividend per share has been ticking higher for the past few years. Over the past year, the total paid has been 12.63p. Analysts expect this to rise to 13.13p next year, then to 13.36p in 2028. If I assume the share price stays at 162p, this would translate to a yield of 8.24%.

Of course, the stock could rise or fall by then, meaning the actual yield could be higher or lower. But a move higher in the dividend, along with the potential for advances within the company, makes the stock look attractive right now. Investors who agree with my thinking could consider buying.

The post An 8%+ dividend yield forecast? This passive income gem is one to watch appeared first on The Twelfth Magpie.

Its asset‑light model, resilient cash flows and long record of dependable dividends have supported the payout through thick and thin. At the same time, a sharply depressed share price has created an unusually high yield and a striking valuation gap.

With earnings now recovering across its core switching markets, the disconnect between price and fundamentals looks increasingly hard to justify. And the dividend yield potential is difficult to ignore.

So what sort of returns might investors be looking at here?

Dividend gains potential

Tech-led savings company MONY Group (LSE: MONY) — formerly Moneysupermarket.com — already offers an 8.4% dividend yield. But analysts forecast its dividend will rise to 13.1p this year, 13.4p next year and 13.9p in 2028.

These would generate respective dividend yields of 8.7%, 8.9% and 9.2% on the current £1.51 share price. The latter is nearly triple the FTSE 100’s 3.1% average and more than two-and-a-half times the FTSE 250’s 3.4%.

Based on the 9.2% average — although this can go down or up over time — a £20,000 holding in the firm has the potential to make £30,010 after 10 years and £292,688 after 30 years. This also assumes dividend compounding is used to effectively turbocharge these payouts.

By the end of the cycle, the value of the holding (including the £20,000 original stake) could be £312,688. And this could pay an annual income (from dividends alone) of £26,927!

Share price gains?

Price and value are not the same thing in shares. Price is just whatever the market will pay at any time, while value reflects the underlying fundamentals of the business. This distinction matters, because over time a stock’s price tends to move towards its ‘fair value’ — whether up or down.

Discounted cash flow (DCF) analysis is the method by which any stock’s fair value can be identified. It projects a company’s future cash flows and then discounts them back to today to arrive at a present‑value estimate.

Different analysts will reach different conclusions based on the assumptions they use. My DCF modelling — which uses an 8.8% discount rate — shows MONY’s shares are around 59% undervalued at the current £1.51 price.

That implies a fair value of roughly £3.68 — more than double where the stock trades today. So that gap suggests a potentially terrific buying opportunity if those DCF assumptions prove right.

My investment view

Earnings growth powers any firm’s dividends and share price over time. One risk here to MONY is a cyber security breach, which could be costly to fix and could damage customer trust. Another is any regulatory changes to price‑comparison rules or data‑sharing requirements that could squeeze its margins.

However, analysts forecast that MONY’s earnings will grow an average of 7.5% a year over the medium term. This momentum appears well supported in its 2025 results, which showed record revenue of £446m and record adjusted earnings before interest, tax, depreciation, and amortisation of £145m.

I already hold several financial sector stocks, so owning another would unsettle the risk/reward balance of my portfolio. But for investors without this problem, I think MONY Group offers one of the most attractive combinations of income, value and earnings momentum anywhere in the FTSE today.

The post A 9.2% forecast yield and 59% undervalued! 1 dirt cheap FTSE income gem to buy today?  appeared first on The Twelfth Magpie.

How big an ISA would someone need to target a four-figure monthly income this way?

The income economics here are quite simple

The amount needed will depend on the average dividend yield of the ISA. Yield is basically what an investment earns annually in dividends, expressed as a percentage of the price paid for it.

As investors pay different prices even for the same share over the course of time, different investors often do not earn the same yield even from the same share.

£1k a month adds up to £12k per year. To keep things simple for illustration purposes, imagine the yield is 10%. That would mean the ISA needs to be worth £120k to generate the target second income.

In practice, blue-chip shares rarely offer such a yield. At the moment, the flagship FTSE 100 index of leading shares is yielding 3%.

That is only an average, though. I think a higher yield is realistic in today’s market even when sticking to a diversified selection of quality businesses.

I reckon 6% is achievable; that would mean the ISA needs £200k in it to hit the second income target.

Building the ISA up over time

That is 10 times most people’s annual ISA contribution allowance.

Does it require a decade of saving then? Not necessarily, even for someone starting from scratch.

By investing £20k per year and compounding (reinvesting) the dividends, the ISA should be worth £200k after nine years.

Constructing an ISA portfolio the right way

I already mentioned diversification: that is a simple but important form of risk management that basically means not putting all your eggs in one basket.

An investor can make other smart moves when it comes to managing their Stocks and Shares ISA, from comparing providers — to choose one that seems best for their personal needs — to carefully assessing a company’s likely future dividends, not just looking at its track record. Dividends are never guaranteed to last.

Here’s an income share to consider

One dividend share I think is worth investors considering right now is FTSE 250 firm MONY (LSE: MONY), the owner of businesses including Money Supermarket.

The fear that AI could eat into the price comparison website’s customer usage explains why its share price has tumbled 23% over the past year.

I think that AI risk is real. But I also think MONY could well be able to navigate around it, emphasising its deep experience, focus on specific financial products, and ability to offer complex products in a way that for now at least AI tools would struggle to do.

The business is proven and highly cash generative. That helps support a generous dividend. Indeed, the dividend yield currently stands at 8.1%.

The next few years promise to be challenging ones for the firm as AI starts to play a more prominent role in financial service cost comparison.

But I reckon MONY could play to its strengths, keep throwing off spare cash, and hopefully pumping out chunky dividends.

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In other words, businesses that can keep paying (and ideally growing) their dividends through good times and bad. How does that look in practice?

Well, here are two FTSE-listed companies that not only fit the bill but also look heavily undervalued right now.

MONY Group

MONY Group‘s (LSE: MONY) a good example of this type of business. It runs a host of comparison sites which earn fees by connecting customers with insurers, lenders and other providers. It’s a simple online model that doesn’t require heavy capital spending.

Revenues have been growing steadily, recently hitting a record £445m, with earnings slowly rising 1%-2% a year. That indicates steady growth despite a tough backdrop for some consumer markets. And with cashflow improving, the board recently launched a share buyback, suggesting confidence in the business.

But the real kicker lies in the low valuation. Estimates suggest it’s trading at around 53% below fair value using a discounted cash flow (DCF) basis. So why is the market so pessimistic about its long-term prospects?

It may be because it’s exposed to online advertising trends and competitive pressure in the price comparison sector. A downturn in customer activity or higher costs could put pressure on profits and future dividends.

But the yield makes it undeniably attractive, sitting at roughly 7.5%. The payout ratio of 82.4% is a bit high but okay for now. Encouragingly, its debt-to-equity ratio is only 0.14, meaning borrowings are very low, and return on equity (ROE) is a punchy 34%.

That shows just how well management is squeezing a lot of profit out of shareholders’ capital.

Admiral Group

In 2024, Admiral Group (LSE: ADM) reported an impressive set of numbers, with profit before tax jumping 90% to about £839m. Earnings per share (EPS) rose an astonishing 95%, and turnover grew 28% to just over £6.1bn.

But it’s important to note these are likely one-off results. That bounce reflects an unusually strong recovery in the UK motor insurance sector. A drawn-out period of heavy claims inflation means premiums have been raised to catch up with rising repair and parts costs.

The main watchpoint is leverage: a debt-to-equity (D/E) ratio of 1.3 is on the high side, which makes it more sensitive to shocks, and the insurance cycle can turn quickly if claims costs spike faster than premiums.

Still, the valuation and income profile are appealing. Trading at roughly 48% below its estimated DCF fair value, it offers a 6.4% dividend yield and payout ratio of 83.2%. High, but acceptable, given its profitability — ROE at 53% is exceptionally high for an insurer.

A wealth of opportunities

For UK investors aiming to build a sustainable second income stream, identifying the right characteristics makes all the difference. Attractive yields, strong return on equity, and undervalued share prices are just three important factors to consider.

MONY Group and Admiral are just two examples of undervalued dividend stocks to consider right now. But with geopolitical and economic shocks happening on a daily basis, it’s critical to keep track of how markets are impacted.

The post Why do 2 of my favourite second income stocks look so cheap right now? appeared first on The Twelfth Magpie.

Would this make it a bit of a no-brainer buy? Or could it all be too good to be true? Let’s find out.

The big reveal…

MONY Group (LSE:MONY) owns six brands, which it claims saved consumers £2.8bn in 2025. It earns revenue by transferring users of its websites and apps to third-party providers of insurance, money, home services, and travel products.

Its most famous brands are probably MoneySuperMarket and MoneySavingExpert, which the group bought from Martin Lewis (once described as the most trusted man in Britain) in 2012.

Since the pandemic, the group’s been steadily growing its revenue and earnings. Comparing 2025 with 2021, turnover was up 40.8% and adjusted basic earnings per share (EPS) was 50.4% higher. Over the same period, it raised its dividend by 7.9% in cash terms.

Although the stock’s consistently offered a return higher than the FTSE 250 average, a falling share price – it’s down 40% since March 2021 — has lifted its yield higher. Based on its 2025 total payout, the stock’s presently yielding 7.4%, compared to 3.4% for the index as a whole.

As well as appearing to be great for passive income, the stock also looks attractive from a valuation perspective. It’s now trading at 9.6 times its 2025 EPS. This is well below its five-year high of over 18.

And if the analysts’ forecasts prove to be accurate, the group’s price-to-earnings ratio looks set to fall further over the next two years, to 9.1 (2026) and 8.6 (2027).

With several strong brands, a solid business proposition (who doesn’t want to save money?), a generous dividend (no guarantees), and cheap valuation, what’s not to like about the MONY Group?

A rapidly changing landscape

Well, it appears to be suffering from a shift in sentiment towards asset-heavy stocks — remove intangibles from its 31 December 2025 balance sheet and it would have a negative book value.

And it was recently caught by the fallout from the news that US tech business Insurify has developed an artificial intelligence (AI) tool that allows users to compare car insurance prices using ChatGPT.

At one point in February, MONY Group’s share price fell to its lowest level in 13 years.

Since then, the group’s sought to reassure investors by launching its own ChatGPT-based app.

And it’s reconfirmed that it sees AI as a way of cutting costs and increasing revenue rather than as a threat. MONY Group’s boss recently said: “Our leading data and tech architecture… has positioned us exceptionally well to harness the opportunity of AI“.

This is important and I think it will go a long way to reassure investors. Personally, this news has also resulted in me changing my view about the group’s prospects. The new app addresses my previous concerns that its business model will be disrupted by AI.

Now, with its healthy dividend and historically attractive valuation — on balance — I believe MONY Group’s one to consider. Of course, no stock’s a complete no-brainer but, in this case, after weighing up the pros and cons, I think now could be a good buying opportunity.

The post With a P/E of 9.5 and 7.4% dividend yield, is this FTSE 250 stock a no-brainer? appeared first on The Twelfth Magpie.

But with valuations stretched and US GDP growth forecast at only 2%-2.5%, analysts don’t expect the same in 2026. Overall, the Dow isn’t expected to grow more than 10% in a best case scenario, with lower forecasts predicting only 3% growth.

These three high-yielding UK shares are forecast to grow far more.

Kainos

Kainos (LSE: KNOS) helps big firms like the NHS or banks to upgrade their digital systems, especially with Workday software for payroll and HR. It’s been growing revenue steadily the past few years, with increasing public sector deals and cloud demand as UK government tech expenditure grows.

Analysts forecast average price growth of around 67% in the coming 12 months. The 4% yield’s reliable too, covered by cash flow even after five years of increases, and shares trade on a fair-ish multiple around 29 times earnings. 

Still, it faces stiff competition from lower-cost alternatives in regions like India. If the economy dips, tightening budgets could send clients looking elsewhere. Still, the combination of growth and income makes it worth considering in my book — even with the tech-cycle wobbles.

Telecom Plus

Think of Telecom Plus (LSE: TEP) as a one-stop shop for broadband, mobile, gas, and electric. By bundling bills together, it saves customers cash and builds loyalty. The latest half-year results showed steady profits despite energy price swings, with dividends up 13% last year to a near-7% yield. Cash coverage is a bit thin at only 1.2 times but is backed by 25 years of payments.

Plus, the average 12-month analyst forecast is 68% higher than today’s price. That’s a chunky combo of income and growth!

But it’s a competitve sector, with rivals Octopus and Bulb muscling in on its market share. On the plus side, falling wholesale energy costs should boost profits as UK households switch. But any change in regulations could further pressure margins. 

For now, the balance sheet looks solid and cash generation is promising. For investors seeking dependable income with growth potential, it’s a strong contender to consider.

MONY Group

MONY Group (LSE: MONY) operates price comparison sites like MoneySuperMarket, helping customers find the best deals on loans, insurance, and broadband. Revenue recently ticked up 1% to £225m amid car insurance woes while EBITDA rose 2% and SuperSaveClub membership hit 1.5m, now 14% of sales.

The core attraction here is the stock’s 8.2% yield, but the average 57.5% growth forecast is a big bonus. Analysts have cited potential UK rate cuts as driving interest in switching providers.

But lately, AI-driven comparisons and fierce Google ad competition threaten its business model. If consumer spending softens, it could stall traffic and impact profits.

While the growth narrative is lower here, the yield is undeniably attractive for UK income hunters. It’s long been a favourite of mine and the current low price also makes it worth considering.

The post The Dow Jones may be at 50k but these 3 UK shares are forecast to grow further in 2026 appeared first on The Twelfth Magpie.