These 2 FTSE 100 stocks have been soaring! I’d buy them today

This Fool has his eye on these two FTSE 100 stocks. After a strong 2024 so far, he thinks they could continue to climb.

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The FTSE 100 has been in good form this year. Plenty of stocks on the index have posted healthy gains. However, I have my eye on two constituents in particular.

If I had the cash, I’d happily add both to my portfolio today. Here’s why.

Marks and Spencer

First on the list is retail giant Marks and Spencer (LSE: MKS). The stock has posted a strong performance in 2024, rising 35.1%. In the last five years, its shares are up a thumping 98.2%.

It has kicked into life in recent times. After years of the business falling behind its competition, its share price suffered. However, with a solid turnaround strategy now in place, M&S shares are now gaining momentum.

Even after their rise, I think they still look like good value for money. They’re trading on a price-to-earnings (P/E) ratio of 17.9 and a forward P/E of 14.4. While that’s slightly above the FTSE 100 average of 11, I’m happy paying a premium for quality.

With Marks and Spencer, I think I’m getting just that. In recent years, the business has modernised its stores, improved the quality and value of its clothing ranges, and upgraded its e-commerce operations. After years of failing, it seems CEO Stuart Machin and his predecessor Steve Rowe have implemented a strategy that will help the firm return to its former glory. Last year, profits jumped by 58%. I’m optimistic it can keep this up going forward.

That said, it’ll face challenges. Inflation remains a threat. A rise in interest rates would likely see consumers cut back on spending. A delay in future interest rate cuts would also have the same impact.

But with inflation moving closer to the government’s target. And with more rate cuts predicted in the coming months, I’m bullish on the FTSE 100 constituent.

Unilever

Next up is Unilever (LSE: ULVR). Like its Footsie peer, the stock has put up a brilliant performance in 2024. Year to date, it’s up 27.8%.

There are a couple of reasons why I’d buy Unilever today if I had the investable cash. The first is because it’s a defensive stock. The products it sells are essential. Every day, over 3.4bn people use its goods. That means there should be steady demand regardless of external factors such as the strength of the economy.

On top of that, I like the stock for the passive income it provides. It has a dividend yield of 3%. That’s slightly lower than the FTSE 100 average of 3.6%. However, Unilever is a Dividend Aristocrat and has an impressive track record of rewarding shareholders.

While the products it sells are essential, they are slightly-more-premium brands. That means they come at a more expensive price. One threat with that is cheaper competition stealing customers. That threat is heightened during a cost-of-living crisis, when people are shopping around for the best deals.

But despite that, the business has posted impressive growth in recent years, even with tough trading conditions. I’m also excited to see where Unilever goes in the times ahead with its streamlining mission.

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.

Charlie Keough has no position in any of the shares mentioned. The Motley Fool UK has recommended Unilever. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors.

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