4 Growth Stocks Set To Explode: Aviva plc, Barclays PLC, Monitise Plc And Tesco PLC

Investors can expect fireworks from Aviva plc (LON: AV), Barclays PLC (LON: BARC), Monitise Plc (LON: MONI) & Tesco PLC (LON: TSCO) , says Harvey Jones

| 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.

Although the slow burning fuse of a good dividend yield will fuel your portfolio over the longer run, everybody needs a blast of growth. These four stocks could deliver it, although they have a few issues to get over first. Plus, a bonus income-generating idea…

Viva Aviva

Aviva (LSE: AV) has started sputtering into life, rising 56% over two years, although growth has flattened lately.

This is a company in turnaround mode, but its Q3 interim statement suggest the corner is in sight, with new business up 15% year-on-year to £690m, and strong performance in Europe and Asia.

As emerging markets slow, Aviva’s lack of Asia exposure may now be a plus.

Say Barclays

I’ve been predicting a Barclays (LSE: BARC) fightback all year, and mercifully, it’s finally happening. It’s up more than 7% in the last week, helped by surprisingly lenient leverage ratio rules from the Bank of England.

Its Q3 results beat expectations with a 5% increase in profits before tax to nearly £5bn. Barclays still has far to go to restore its reputation, not to mention its dividend, and its investment banking division looks burnt out.

But really, do you think it won’t get there?

On The Monitise

Mobile payments could be the future, and Monitise (LSE: MONI) is a good way to play it. Again, this company has suffered recent troubles, as profits slipped and Visa exited its investment in the company.

At today’s 31.75p, Monitise has fallen sharply from its 52-week high of 82.75p. But that makes now a tempting entry point.

UBS recently issued a ‘buy’ recommendation, with a target price of 80p. If you’re feeling brave, simply light the blue touch paper

Tesco

Britain’s biggest retailer Tesco (LSE: TSCO) has imploded, messily, before our very eyes. If you believe in investing at the point of maximum pain, here’s your chance.

Early noises suggest new boss Dave Lewis has grasped the scale of the challenge, and selling off its banking arm and Asian businesses could raise the billions Tesco needs to conquer the high street again. Hold on tight.

One for luck…

After recent wobbles, the Santa rally is on. Trading at 13.69 times earnings, the FTSE 100 is hardly overvalued. It has had a troubled year, down 4% so far, but that gives it a nice platform to spring back.

Buying a low-cost index fund such as db x-trackers FTSE 100 UCITS ETF (LSE: XUKX), which charges just 0.09% a year, is a safer way of tapping into today’s stock market’s long-term growth potential.

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.

Harvey Jones has no position in any shares mentioned. The Motley Fool UK owns shares of Monitise and Tesco. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors.

More on Investing Articles

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 »

Investing Articles

Investing £5 a day could help me build a second income of £329 a month!

This Fool explains how £5 a day, or one less takeaway coffee, could help her build a monthly second income…

Read more »