3 FTSE Shares Hitting New Highs: J Sainsbury plc, Informa PLC And DS Smith plc

J Sainsbury plc (LON: SBRY), Informa PLC (LON: INF) and DS Smith plc (LON: SMDS) all hit the heights.

| More on:

The content of this article was relevant at the time of publishing. Circumstances change continuously and caution should therefore be exercised when relying upon any content contained within this article.

When investing, your capital is at risk. The value of your investments can go down as well as up and you may get back less than you put in.

Read More

The content of this article is provided for information purposes only and is not intended to be, nor does it constitute, any form of personal advice. Investments in a currency other than sterling are exposed to currency exchange risk. Currency exchange rates are constantly changing, which may affect the value of the investment in sterling terms. You could lose money in sterling even if the stock price rises in the currency of origin. Stocks listed on overseas exchanges may be subject to additional dealing and exchange rate charges, and may have other tax implications, and may not provide the same, or any, regulatory protection as in the UK.

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More.

The FTSE 100 (FTSEINDICES: ^FTSE) has been going largely sideways for the past couple of months, although September has seen it starting to creep back up again towards the 13-year record of 6,876 set in May. Improving economic indicators suggest the record should be beaten before too much longer, though ironically it will lead to the cutting of stimulus measures and downwards pressure on shares in the short term.

But there are always individual shares reaching new highs. Here are three from the indices leading the way today:

J Sainsbury

Of the FTSE’s big supermarkets, J Sainsbury (LSE: SBRY) has had the best year so far, with its shares up around 18% over the past 12 months and beating the index. That includes a rise of 2p today to a 52-week high of 402.7p. We’re only a few weeks away from the company’s first-half trading statement, due on 1 October, and if it’s in line with forecasts it should be good.

Analysts are predicting a 6% rise in earnings per share, putting the shares on a forward P/E of 12.5, and there’s a dividend yield of 4.4% forecast. That’s pretty much in line with the current valuation of rivals Tesco and Wm Morrison.

Informa

Shares in publishing and conference firm Informa (LSE: INF) have done even better, gaining 30% over the past 12 months to reach a high of 545p today. Steady years of dividend progress have helped boost the price, with 2012 seeing a 10% uplift in the annual payout and there’s a further rise of 6.5% forecast for this year, which should provide a yield of around 3.7%.

For the first-half to 30 June, Informa recorded a statutory loss of £56.3m, but that included a loss from discontinued operations of £115.7m. From continuing operations, we saw an adjusted operating profit rise of 2.7% with adjusted earnings per share (EPS) up 5%, and there was a 6.7% rise in the interim dividend.

DS Smith

DS Smith (LSE: SMDS) is the biggest riser of today’s three, with its shares up more than 50% over 12 months and reaching a high of 285.6p today. The recycled packaging supplier’s first-quarter update on 3 September told us that the year “has started well and in line with our plans“, although we were given little in the way of numbers.

But after a 36% rise in EPS last year, analysts are forecasting a further 22% this year, suggesting a P/E of around 13. The predicted 17.5% boost to the dividend would yield 3.4%.

Finally, if you’re looking for high-performing top-drawer shares that should take you all the way to a comfortable retirement, I recommend the Fool’s special new report detailing five blue-chip shares. They’ll be familiar names to many, and they’ve already provided investors with decades of profits.

But you can only get the report for a limited period, so click here to get your hands on these great ideas — they could set you on the road to long-term riches.

> Alan does not own any shares mentioned in this article. The Motley Fool owns shares in Tesco and has recommended shares in Morrisons.

Should you invest, the value of your investment may rise or fall and your capital is at risk. Before investing, your individual circumstances should be assessed. Consider taking independent financial advice.

More on Investing Articles

Investing Articles

Are these the best stocks to buy on the FTSE right now?

With the UK stock market on the way to hitting new highs, this Fool is considering which are the best…

Read more »

Petrochemical engineer working at night with digital tablet inside oil and gas refinery plant
Investing Articles

Can the Centrica dividend keep on growing?

Christopher Ruane considers some positive factors that might see continued growth in the Centrica dividend -- as well as some…

Read more »

Smiling family of four enjoying breakfast at sunrise while camping
Investing Articles

How I’d turn my £12,000 of savings into passive income of £1,275 a month

This Fool is considering a strategy that he believes can help him achieve a stable passive income stream with a…

Read more »

Person holding magnifying glass over important document, reading the small print
Investing Articles

2 top FTSE 250 investment trusts trading at attractive discounts!

This pair of discounted FTSE 250 trusts appear to be on sale right now. Here's why I'd scoop up their…

Read more »

Smiling young man sitting in cafe and checking messages, with his laptop in front of him.
Investing Articles

3 things that could push the Lloyds share price to 60p and beyond

The Lloyds share price has broken through 50p. Next step 60p? And then what? Here are some thoughts on what…

Read more »

Young female business analyst looking at a graph chart while working from home
Investing Articles

£1,000 in Rolls-Royce shares a year ago would be worth this much now

Rolls-Royce shares have posted one of the best stock market gains of the past 12 months. But what might the…

Read more »

Investing Articles

Are HSBC shares a FTSE bargain? Here’s what the charts say!

There are plenty of dirt-cheap FTSE 100 banking stocks for investors to choose from today. Our writer Royston Wild believes…

Read more »

Three signposts pointing in different directions, with 'Buy' 'Sell' and 'Hold' on
Investing Articles

Just released: Share Advisor’s latest ‘Hold’ recommendation [PREMIUM PICKS]

In our Share Advisor newsletter service, we provide buy, sell, and hold guidance for our universe of recommendations.

Read more »