While many stocks come and go, the ones I’m most interested in are those that stick around. These stalwarts provide an ideal foundation for a portfolio aimed at compounding wealth over multiple decades. They may not deliver the loftiest returns or feature the highest yields, but their resilience is what makes them attractive.

There’s nothing wrong with aiming for rapid gains with a few risky plays, but you need a solid foundation if things come crashing down. That’s where stable, reliable companies come in.

So,what’s one FTSE stock I’m comfortable holding for decades?

The consumer goods giant

Tech fads come and go, retailers rise and fall, and even major energy companies hit hard times. But everyday household products are one staple that humans will need for eternity.

One of the largest consumer goods manufacturers in the world is Unilever (LSE:ULVR), owning brands such as Dove, Knorr, Hellmann’s, Vaseline, and Axe.

People keep buying these products in good times and bad, which helps support revenue that’s consistent rather than cyclical. That’s why it’s the sort of company a long-term investor could trust for years, rather than constantly worrying about the next quarter.

Revenue dropped slightly in 2025, down to €50.5bn from €52.5bn, due to foreign currency fluctuations and portfolio effects. Over the long term however, it’s grown at a compound annual rate of about 1.5% a year.

Since 2015, its operating margin has increased from 14.1% to 15.5%, with cash flow increasing at an annualised rate of roughly 3% a year.

This exhibits stable, sustainable improvement, rather than rapid, volatile growth. That’s exactly what to look for in a ‘set-and-forget’ long-term holding.

Keep your options open

Reliable or not, Unilever still faces risks (every company does). Fierce competition, supply chain disruptions, and pricing pressure are just a few things that have impacted profits in the past.

And while its dividend history is impressive, in 2022 and 2023 it had to pause growth to preserve capital.

The market is a fickle mistress, and nobody can predict every odd curveball it throws our way. Even leading mega-caps like Unilever have bad years. That’s why it doesn’t make sense to put all my eggs in one basket.

Aside from Unilever, two other strong candidates for a decades-long commitment are AstraZeneca and RELX.

The bottom line

When targeting decades-long wealth generation, a strong foundation can spell the difference between success and failure.

But the market is ever-evolving, so keeping abreast of new developments is key to making good investment decisions. 

These are just three of my favourite long-term holdings on the FTSE 100, and each one deserves a closer look. But there’s many more solid options to choose from.

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

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

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

Mark Hartley owns shares in Unilever, AstraZeneca and RELX.

The post Here’s 1 FTSE 100 stock I’ll happily hold for decades appeared first on The Twelfth Magpie.

But that doesn’t mean it’s right for everybody. The UK offers a range of investment accounts with various benefits, some of which may be more appropriate depending on individual circumstances.

Let’s have a look at how these accounts differ — and explore one key reason why some retirees may prefer a Stocks and Shares ISA.

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.

ISA vs SIPP

Unlike an ISA, a SIPP provides tax relief on contributions. However, in an ISA, any gains or dividends are free from tax.

But the key trade-off is access: ISA money can be accessed any time, while SIPP savings can’t be touched until age 55 (57 from April 2028).

For someone who might retire early, take a sabbatical, or simply want cash on hand, that access makes the ISA more flexible.

At the end of the day, whichever you choose, smart investment decisions are critical. So let’s look at one example of a basic retirement portfolio.

Planning for the long term

A popular retirement strategy includes 60% shares, 30% bonds and 10% cash. The idea is plain enough: shares aim to grow the pot, bonds help steady the ride, and cash gives you a buffer if markets wobble.

One of the most popular UK retirement holdings is FTSE 100 consumer goods company Unilever (LSE: ULVR), owner of in-demand brands such as Hellmann’s and Knorr. Established names like that help ensure steady cash flow to support regular dividends, currently 40.46p per share — a 3.73% yield.

In 2025, it delivered strong results:

• Underlying sales growth: 3.5%.
• Operating margin: 20%.
• Free cash flow: €5.9bn.

Still, reported turnover declined 3.8% because of currency impacts and disposals.

And that’s not the only concern. In March, the shares tanked 20% following an unpopular proposal to merge its foods division with NYSE-listed spice maker McCormick & Company. This suggests possible managerial friction and adds execution risks that could further impact the share price going forward.

Still, on a 20-30-year horizon, it exhibits the kind of low volatility and shareholder dedication that suits a retirement portfolio.

But why choose?

While I think an ISA is the preferable choice to a SIPP, there’s nothing stopping an investor from using both. Many people hold funds in both accounts to prepare for any scenario.

This gives you the best of both worlds — the flexibility of an ISA and the long-term tax benefits of a SIPP. Either way, planning for retirement means thinking long-term, so it requires more careful decision-making. 

When building an income-focused retirement portfolio, never rely on just one stock alone. A stable, highly-established business like Unilever is a good example of the type of stocks to consider – but it’s just one among a wealth of valuable blue-chips on the FTSE 100.

What income stock do we like better than Unilever right now?

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

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

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

Mark Hartley owns shares in Unilever.

The post Here’s 1 key reason I think an ISA may be a better option than a SIPP for retirement appeared first on The Twelfth Magpie.

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

A sell-off worth examining

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

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

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

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

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

The deal argument

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

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

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

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

A stock to consider

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

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

Source: Fiscal.ai

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

Income investing

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

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

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

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

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

Stephen Wright owns shares in Unilever.

The post 3,566 shares in this FTSE 100 stalwart earns a £1,443 second income appeared first on The Twelfth Magpie.

Here are two proven FTSE 100 stalwarts that many institutional investors already see as core holdings, not speculative side bets.

Why AstraZeneca could be a great starter stock

AstraZeneca‘s (LSE:AZN) one of the world’s biggest drugmakers. It develops medicines across oncology, cardiovascular, respiratory, and rare diseases, and that broad mix helps reduce dependence on any one product. That’s a handy advantage in generating diversified cash flows.

Its latest results showed momentum remained solid, with May guidance pointing to mid-to-high single-digit revenue growth and low double-digit growth in core earnings per share.

The bull case is straightforward:

1. Demand for innovative medicines continues to strengthen alongside an ageing population.
2. The development pipeline for new treatments and medicines remains deep.
3. The company has the scale to keep investing heavily in research.

However, like all investments, even a firm as big as AstraZeneca has its weak spots.

Drug development’s notoriously expensive, competition never sleeps, and setbacks in clinical trials or regulatory decisions can hit sentiment fast. The latter could prove particularly problematic in the coming years given several of AstraZeneca’s blockbuster drugs will be losing their patent protection – a key risk for investors to monitor.

A steadier consumer giant

The second pick to consider is Unilever (LSE:ULVR), the global consumer goods giant with brands across food, home care, beauty, and personal care.

For beginners, this kind of everyday-demand business can be a great foundation. After all, regardless of what the economy’s doing, people need to keep buying shampoo, soap, and other household staples. And with management unveiling plans to merge its food business with US-based peer McCormick, the company’s aiming to evolve and reshape its product portfolio in line with the times.

Yet even with this merger, Unilever still owns powerful brands, produces strong cash flow, and offers the sort of defensive quality that many first-time investors want in an ISA. The food deal could also sharpen the company’s focus by simplifying and creating a more streamlined consumer business over time.

However, just like AstraZeneca, there are some important risks to highlight.

The McCormick merger announcement has been quite controversial, with some investors questioning the logic and structure of the actual deal. And even if it goes ahead, there are all the risk factors associated with a merger of this scale, including integration, execution, and even regulation.

The market’s initial reaction was pretty chilly. So while the opportunity’s real, so is the uncertainty.

The bottom line

For beginners, these are the kind of FTSE shares that can help a new ISA feel less like a gamble and more like a long-term plan.

Neither’s a guaranteed winner, but both hold traits that set them up for long-term success. AstraZeneca brings medical innovation and earnings power, while Unilever offers defensive brands, cash generation, and a possible strategic reset.

Taken together, they look like a solid starting pair for investors who want quality first and excitement second. That’s why I think they both deserve a closer look.

Should you invest £5,000 in AstraZeneca 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 AstraZeneca Plc made the list?

Zaven Boyrazian does not hold any positions in the companies mentioned.

The post 2 FTSE shares for beginners starting an ISA appeared first on The Twelfth Magpie.

Investors loved Unilever because it sold everyday products such as Dove, Persil, Hellmann’s, and Ben & Jerry’s to around 3.8bn billion consumers in almost 200 countries. It rode the rise of the emerging markets middle class and delivered steady growth year after year.

Investors happily paid a premium for that reliability. The price-to-earnings ratio was a reassuringly expensive 23 or 24. The dividend yield hovered between 2% and 3%. That was seen as reassuring too. The board lifted shareholder payouts every year, but the shares climbed faster. Then things changed.

Why did investors fall out of love with Unilever?

The group started to look sprawling and bureaucratic, with too many brands and too little focus. Critics complained management spent too much time talking about corporate purpose instead of products and profits. Activist investors circled. As the arguments raged, investors drifted away. I joined them.

I haven’t regretted selling. The Unilever share price is down almost 11% over the last year. At roughly 4,138p, it’s trading around levels last seen in 2017.

The shares haven’t collapsed. They’ve simply gone nowhere for years. Underlying profits have also underwhelmed, as my table shows:

• 2025 – €10.1bn
• 2024 – €11.2bn
• 2023 – €9.91bn
• 2022 – €9.7bn
• 2021 – €9.7bn

The 2025 results were hit by sales slippage in Europe, Brazil, and the US, and adverse currency movements. Heavy marketing spending behind the group’s designated 30 ‘Power Brands’ also squeezed margins. Yet, Unilever still generated healthy free cash flow, of €5.9bn in 2025, and boasts a solid balance sheet. The P/E has fallen to around 15.5, while the trailing dividend yield nears 4.2%. I’m now wondering if the sell-off has been overdone.

Could this recovery story finally gain traction?

Management is working hard to simplify the business, spinning off its ice cream division last year, which includes Magnum and Ben & Jerry’s. It floated at $9.1bn. In March, it struck a deal to sell its food business, which includes Knorr and Hellmann’s, for $44.8bn. The board plans to use proceeds to reduce debt and fund €6bn of share buybacks between 2026 and 2029. Makes sense.

There are still risks. The cost-of-living crisis is back, squeezing shoppers, while higher oil prices raise manufacturing and transport costs. Consumer stocks move in cycles, and the current downturn surely has longer to run.

I think Unilever shares still look worth considering at today’s reduced price. Although, investors may have to be patient while we wait for the global economy to kick on. Will I buy it?

I think we’re looking at an exciting long-term buying opportunity, but having said that, I’m not quite excited enough to buy back in myself. I may regret that one day but I’ve made my decision and will stick with it. Investors seeking recovery potential should also check out Unilever’s FTSE 100 rival Reckitt Benckiser. It’s endured an even rougher spell and could offer better long-term value as a result.

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

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

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

Harvey Jones does not hold any positions in the companies mentioned.

The post Is this former stock market hero now the ultimate FTSE 100 buy and hold? appeared first on The Twelfth Magpie.

If you said the income, that might also be a good choice. The answer depends on a lot of things – most notably, how old you are.

Annuities

Annuities are a type of financial contract with an insurer. The firm pays you a certain amount until you die, in exchange for cash up front.

The amount depends on a few things, like your age. According to Hargreaves Lansdown, a 60-year old can expect a 7.08% annual return.

That means if you’re 60, there’s not much to choose between £100,000 and £7,075 a year. At least, not at today’s prices.

I couldn’t find a quote for a 35-year-old. But the best estimate I could find was somewhere between 2% and 4% a year. 

That makes sense. Other things being equal, the insurer expects to pay for longer with a younger customer and has to factor this in.

So if you’re under 60 and you find a 7.08% a-year opportunity, take a closer look. If not, it’s worth thinking about other options.

Dividend stocks

Dividend shares are another way of earning passive income. But unlike annuities, the returns don’t care how old you are. 

Ultimately, dividends come from the money made by businesses. And that doesn’t change depending on who owns them.

When things go well, the amount companies return can increase over time. With annuities, returns are often fixed.

That matters a lot. Based on 2.5% inflation, the value of a £4,000 annual return falls to £1,871 after 30 years.

Returns from annuities are more reliable than dividends. But I think income investors might realistically aim for better than 4%.

For a 35-year old, then, using £100,000 to buy an annuity doesn’t seem so great. It might be worth at least looking at what’s on offer in the stock market.

A dividend opportunity?

The stock market hasn’t been impressed with Unilever (LSE:ULVR) recently. The stock is down 21.55% since the start of March. 

What’s the problem? Investors are unimpressed with Unilever’s deal to sell off its food division, but it might not be as bad as it looks.

The first thing to note is that the unit has underperformed in recent years. So it isn’t hard to see the rationale for divesting it.

Source: Company Website

The second is that it isn’t a good time to be selling food businesses. Campbell’s,  General Mills, and Kraft Heinz shares this year are all evidence of this.

The firm is now concentrated in its business lines and that’s a risk. And there’s still uncertainty as to how much the deal will ultimately be worth.

I don’t, however, see the sale as a bad one. And with a dividend yield close to a 10-year high, I think the stock has to be worth considering for passive income investors.

How much do you want?

Anyone looking to invest should have an idea of what they hope to get back. And annuities are a nice opportunity for those who can get a good enough return.

Don’t, however, underestimate the effects of inflation. The effect is real and it emphasises the value of stocks with growing dividends.

Stephen Wright owns shares in Unilever.

The post How much passive income do you want for £100,000? appeared first on The Twelfth Magpie.

Rather than showing signs of resolution, the ongoing conflicts in Ukraine and the Middle East seem to be more uncertain than ever.

Oil prices are swinging wildly as tensions around the Strait of Hormuz increase, leading to growing uncertainty among market analysts.

As these issues drag on, more and more investors are asking: is the stock market heading for a crash?

How to prepare for a stock market downturn

This year, the Dow Jones has flip-flopped between 45,000 and 50,000, while the S&P 500 dipped to 6,340 before surging past 7,500. Meanwhile, the FTSE 100 nearly cracked 11,000 points before briefly falling back below 10,000.

When I see sharp index moves like that, I think less about predicting the next crash and more about making my portfolio resistant to risk.

A few simple actions can help:

• Keep some money in cash.
• Trim higher-risk positions.
• Tilt a little more towards defensive shares.

That does not mean hiding from the market. It means being ready if sentiment turns and investors start moving into bonds and other lower-risk assets, which can feed a broader correction.

What, then, counts as a defensive share?

The advantage of defensive shares

Defensive shares are businesses that tend to hold up better when the economy slows. They often have resilient earnings, dependable dividends, and exposure to sectors with steady demand, like utilities and healthcare.

Many also sell globally, which can smooth out weakness in any single market.

Unilever (LSE: ULVR) is a classic example.

Below are a few of its top defensive credentials:

• It sells everyday brands that people need, even when money is tight.
• It has global reach, not just UK exposure.
• It pays a dividend with a yield typically around 4%.
• It’s fairly valued, with a price-to-earnings (P/E) ratio of 16.08.

In its 2025 full-year results, the group reported underlying sales growth of 3.5%, underlying operating profit of €10.1bn, and operating margin of 20%.

Free cash flow came in at €5.9bn and underlying earnings per share (EPS) reached €3.08. More recently, the company’s Q4 underlying sales growth came in at 4.2%, beating forecasts.

However, management has warned that 2026 growth could be slower. That’s partly because the company is currently undergoing a restructuring and brand strategy update. While this is aimed at improving efficiency, it also adds execution risk.

Not to mention, there’s the ever-present threat of competition. Cheaper rivals can put pressure on pricing, even when brands have a strong following.

Even so, when the market gets choppy, defensive shares like Unilever can make a big difference in keeping a portfolio steady.

The bottom line

For investors looking for stocks to buy this year, defensive shares like Unilever are worth considering. A portfolio made up of a solid mix of defensive shares may not remove volatility entirely, but it can reduce it.

This is important, because it can limit panic, which can lead to rash decisions. Of course, growth and income shares still have their place but it may be wise to put them on the back seat until things settle.

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

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

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

Mark Hartley owns shares in Unilever.

The post Is the market about to crash? Maybe, so I’m hunting defensive stocks to buy appeared first on The Twelfth Magpie.

Unhappy Unilever

As I mentioned, my family has a dog in this race, as we bought Unilever stock for 4,122.2p a share in August 2023. I regret this decision, as the shares have barely moved since then. As I write, the shares trade at 4,224.49p. This values this Anglo-Dutch consumer-goods giant at £92bn, making it the seventh-largest company in the Footsie.

Earlier this year, Unilever shares were riding high, peaking at 5,526p on 24 February. But then the US attacked Iran on 28 February, triggering a new Middle East conflict. Today, the stock is more than a quarter (-25.4%) below its 52-week high.

What’s more, Unilever shares are down 16.7% over one year and 7.8% lower over five years, excluding cash dividends. Then again, these price declines have pushed up the stock’s dividend yield to levels rarely seen in my nearly 40 years of following this share.

Dividend play?

I suspect many Unilever shareholders — both individual and institutional — are none too happy with CEO Fernando Fernández and his executive team. Fernández is a Unilever lifer, having joined the group in Argentina in 1988. Sadly, the stock price has suffered since he took the helm in March 2025.

Then again, Unilever is a fiendishly complicated organisation to run. It sells over 400 different brands in more than 190 countries, with 3.7bn consumers using its products every day. Likewise, it employs over 150,000 people, while its global turnover hit €50.5bn (£43.7bn) in 2025.

Despite being founded in 1930, this 96-year-old company is trying to evolve. Under pressure from billionaire activist investor Nelson Peltz and his Trian Fund Management hedge fund, the group has spun off its ice-cream division. In March, it combined its food and tea businesses with US spice maker McCormick & Company, creating a $65bn offshoot.

Just like its Marmite yeast spread, investors may hate or love this transformational deal. Thus far, I’m not impressed, given how much McCormick’s stock price has dived since (crashing 34% since 27 February). However, Unilever’s sagging share price has pushed up its dividend yield.

Today, shares in this big British business offer a cash yield of 4% a year. That’s well above the FTSE 100’s dividend yield of 3.1% a year. Hence, private investors and fund managers seeking reliable and rising income might view this stock as a bargain.

As for my family, I intend to hang onto our Unilever stock and await developments. Next up: the half-year results on 28 July 2026 — which I will pore over with a critical eye!

Unilever shares are weakening, but which stocks are moving markets? Find out below…

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

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

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

Cliff D’Arcy has an economic interest in Unilever.

The post I’m fed up with the Unilever share price. Do I sell my stock? appeared first on The Twelfth Magpie.

Starmergeddon

Local elections on Thursday, 7 May shook the British political landscape. Overnight, the ruling Labour party lost almost 1,500 seats, with the opposition Conservatives losing over 560 seats. Meanwhile, Reform UK picked up over 1,450 new seats, upending the UK’s traditional two-party political system.

With global asset prices at record highs, investors worry about uncertainty. In the UK, former minister Wes Streeting and ex-MP Andy Burnham plan to stand against Starmer in an upcoming Labour leadership election. For a few months, this will make British politics even more volatile, generating fresh concerns for investors.

Bond woes

Since the lows of 27 February, UK gilt yields have leapt. For example, the 10-year gilt yield has shot up from 4.234% to 5.182% a year. However, this is still below 2026’s high of 5.234%, hit on 23 April. This tells us that UK and international investors are demanding higher yearly returns to buy the UK’s national debt.

That said, I’m not convinced that falling gilt prices and a weaker pound are entirely the fault of the Labour government. For instance, the 30-year US Treasury yield just leapt above 5% for the first time since 2007.

For me, recent market movements and volatility have global causes. In particular, the US-Iran war since 28 February has sent energy prices skyrocketing. This pushes up inflation and living costs, hitting consumers and borrowers worldwide. In addition, global interest rates were expected to fall this year, but now look set to rise.

Thus, to answer the question in my headline: no, I don’t expect the UK’s latest political ructions to trigger a stock market crash. But with US tech stocks in particular looking priced for perfection, almost anything might burst this potential bubble.

A FTSE 100 survivor

If the UK were to undergo a stock-market crash or harsh recession, most London-listed stocks would slide. Even so, if I had to choose a ‘share for all seasons’ — one long-term survivor — it would likely be Unilever (LSE: ULVR). Why Unilever?

First, this a big business, with its £92.2bn market value ranking it at #7 in the FTSE 100. Second, Unilever shares have endured their own crash, diving 23.9% from their 2026 high of 5,526p on 24 February to close at 4,207p on 15 April.

Third, after this price fall, the shares offer a market-beating dividend yield of 4% a year (versus 3.1% a year for the wider FTSE 100). Fourth, Unilever has global scale, selling 400+ different brands in over 190 countries.

Lastly, my family portfolio owns Unilever stock, having bought our stake for 4,122.2p a share in August 2023. By reinvesting our dividends into more shares, we have boosted our returns from this stock. Of course, any global downturn would surely hit this group’s revenues, profits, and cash flow — and perhaps its share price. Yet I hope for decent future gains!

Cliff D’Arcy has an economic interest in Unilever.

The post Will Keir Starmer and Labour trigger a stock-market crash? appeared first on The Twelfth Magpie.

One example is Unilever (LSE:ULVR). It’s a giant in the consumer goods industry and it’s unusually cheap right now.

Consumer staples

Unilever has been one of the FTSE 100’s most consistent sources of dividends. And that’s not a big surprise – it makes the products people use every day.

That means demand is generally pretty stable, even in a recession. People might not always go on holiday, but it takes a lot for them to stop buying deodorant.

There is a downside to this. A bit like my wardrobe, Unilever’s products never go out of fashion – but they also never come into fashion.

As a result, it can be hard for the firm to generate meaningful growth. It’s already huge and the market it competes in isn’t really getting bigger.

The other risk is that it’s very easy for customers to switch to other products. So Unilever has to work hard constantly to keep them coming back.

Those are real challenges. But the FTSE 100 firm has some key strengths when it comes to generating growth and fending off competition.

Brand power

Unilever doesn’t just make stuff that people use. It has some of the top products in various categories, with brands including Domestos, Persil, and Vaseline.

This matters for more reasons than you might think. The obvious point is that these are names that consumers associate those names with quality. 

In some cases, having the right brand can be even more important than having the best product. But there’s another reason why it’s valuable.

Unilever’s products battle for shelf space with competitors. And there’s a big advantage to being in the best position to attract customers. Suppliers have to negotiate with retailers for these spaces. But having a strong brand portfolio is a big advantage on this front. Retailers want to stock Unilever’s products to attract customers. And that gives the company more power when it comes to negotiating.

Why is the stock down?

All of this sounds pretty good, so why is the stock down? The short answer is that not all brands are created equal. Some of Unilever’s brands have been performing less well than others. And the company has been making moves to divest these.

Most recently, the food division has been sold. But it will take time and won’t be as straightforward as investors were hoping.

Nonetheless, a falling share price means higher dividend yields. Investors who buy 702 shares for £30,807 right now can earn £1,200 a year.

That’s a 3.9% dividend yield. And it’s extremely unusual to see Unilever shares available to buy with that kind of starting return.

Ultimately, the company looks like it’s getting itself into a stronger competitive position. If that’s the case, it’s got to be worth a look at today’s prices.

Income investing

For investors looking for income, Unilever is a really interesting stock. It has long-term strengths in an industry where demand is relatively durable.

It’s unusual to find shares in this kind of business going cheap. But that might be the opportunity that’s on the table right now.

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