Prediction: these FTSE 100 stocks could be among 2025’s big winners

Picking the coming year’s FTSE 100 winners isn’t an easy task, but we’re all thinking about it at this time of year, aren’t we?

| 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.

Image source: Getty Images

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.

Which FTSE 100 stocks have the best chance of leading the index by the end of 2025? I think the odds are good for these three.

BP (LSE: BP.) is among the top 10 FTSE 100 buys at Hargreaves Lansdown of late, and I think I can see why.

Yes, the world has to turn away from fossil fuels eventually. And yes, renewable energy investments might prove to be profitable in the long term — if we can find the right ones.

Should you invest £1,000 in BP right now?

When investing expert Mark Rogers has a stock tip, it can pay to listen. After all, the flagship Motley Fool 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 BP made the list?

See the 6 stocks

But I’m seeing a change in sentiment, with the love for alternative energy stocks fading a bit. And there’s a growing feeling that big oil could provide fat profits for some years yet.

BP’s low valuation

The BP share price had been sliding in 2024, but its already started to pick up. Why? Maybe because investors are looking past the expected earnings fall for 2024 and to a forecast price-to-earnings (P/E) ratio of just eight for 2025?

Oh, and there’s a 5.6% dividend yield on the cards.

Created with Highcharts 11.4.3Bp P.l.c. PriceZoom1M3M6MYTD1Y5Y10YALLwww.fool.co.uk

Vodafone comeback?

After falling 55% in five years, can Vodafone (LSE: VOD) switch into top gear in 2025? I see a very good chance of it.

I think it could all depend on results for the year ending March 2025, due in May. We all know the dividend should be slashed to half of last year’s.

That’s part of CEO Margherita Della Valle’s plans to kickstart the company, launched in 2023. And 2024’s dividend was the last at the old rate.

Still, with the Vodafone share price falling since then, we’re already back up to a projected yield of 8.5% for this year.

Show us the results

Will the full-year update show results of the company’s shake-up, and provide confidence in the dividend going forward?

That’s what I think any possible 2025 resurgence could hinge on.

Created with Highcharts 11.4.3Vodafone Group Public PriceZoom1M3M6MYTD1Y5Y10YALLwww.fool.co.uk

Sporting rebound?

JD Sports Fashion (LSE: JD.) was one of the worst FTSE 100 performers in 2024, losing more than 70% after the Christmas 2023 trading season fell short of expectations.

But it’s started to pick up a bit this year, and as we await 2024 festive figures.

One of my colleagues at The Motley Fool recently spoke of healthy footfall at JD. So I poked my head into my local branch, and yes, there were plenty of people in there.

Current fundamentals might not make JD look like a screaming buy, not with a forward P/E of 12 and only a 1% dividend yield. But that’s after a tough 2024. And analysts see the P/E dropping to around 7.3 in the 2025-26 year.

Watch for recovery

If JD looks like it might be hitting those forecasts, I wonder if it might even become a takeover target in 2025? I’d never buy just on that hope. And it’s always important to be cautious about forecasts. Oh, and retail could still face a tough year.

But JD Sports is one of my top recovery candidates to consider in 2025.

Created with Highcharts 11.4.3JD Sports Fashion PriceZoom1M3M6MYTD1Y5Y10YALLwww.fool.co.uk

Eyes peeled

Will I buy any of these myself? I’m not sure yet.

I do think all of them stand a good chance of coming out on top in 2025. But I want to get a better handle on where I think they might go in the next five years first.

AI Revolution Awaits: Uncover Top Stock Picks for Massive Potential Gains!

Buckle up because we're about to dive headfirst into the electrifying world of AI.

Imagine this: you make a single savvy investment in some cutting-edge technology, then kick back and watch as it revolutionises entire industries and potentially even lines your pockets.

If the mere thought of riding this AI wave excites you and the prospect of massive potential returns gets your pulse racing, then you’ve got to check out this Motley Fool Share Advisor report – 'AI Front Runners: 3 Surprising Stocks Riding The AI Wave’!

And here’s the kicker – we’re giving you an exclusive peek at ONE of these top AI stock picks, absolutely free! How’s that for a bit of brilliance?

Get your free AI stock pick

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.

Alan Oscroft has no position in any of the shares mentioned. The Motley Fool UK has recommended Hargreaves Lansdown Plc and Vodafone Group Public. 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.

Like buying £1 for 51p

This seems ridiculous, but we almost never see shares looking this cheap. Yet this recent ‘Best Buy Now’ has a price/book ratio of 0.51. In plain English, this means that investors effectively get in on a business that holds £1 of assets for every 51p they invest!

Of course, this is the stock market where money is always at risk — these valuations can change and there are no guarantees. But some risks are a LOT more interesting than others, and at The Motley Fool we believe this company is amongst them.

What’s more, it currently boasts a stellar dividend yield of around 8.5%, and right now it’s possible for investors to jump aboard at near-historic lows. Want to get the name for yourself?

See the full investment case

More on Investing Articles

Investing Articles

£20K invested in Tesla stock last April is now worth…

Despite all the bad headlines lately, Tesla stock has put in a storming performance over a 12-month timeframe. Is this…

Read more »

Investing Articles

If a 40 year old invests £600 a month in a SIPP, here’s what they could have by retirement

With no retirement savings at 40, an investor could put £600 a month into a SIPP and grow its value…

Read more »

Stack of British pound coins falling on list of share prices
Investing Articles

Why hasn’t its 9.9% yield boosted the Phoenix share price?

Phoenix Group has a dividend close to double digits, but saw a weak share price performance in recent years. Christopher…

Read more »

Silhouette of a bull standing on top of a landscape with the sun setting behind it
Investing Articles

With average 10% yields, these mid-cap FTSE shares could supercharge a passive income portfolio

Some of the best passive income gems can be found on the UK's smaller indexes like the FTSE 250 and…

Read more »

A coin being dropped into a piggy bank
Investing Articles

As the Barclays share price tanks 19% in 2 days, is this a great buying opportunity?

As a trade war sends the Barclays share price into a tailspin, Andrew Mackie steps back to look at the…

Read more »

Portrait of elderly man wearing white denim shirt and glasses looking up with hand on chin. Thoughtful senior entrepreneur, studio shot against grey background.
Investing Articles

Is Fundsmith Equity still a good choice for a Stocks and Shares ISA in 2025?

Many Britons hold the Fundsmith Equity fund in their Stocks and Shares ISAs. Is this still a good move? Edward…

Read more »

Investing Articles

Nvidia stock is down 24% this year. Time to buy the dip?

Christopher Ruane has been eyeing Nvidia stock as a potential addition to his portfolio for a while. Is a recent…

Read more »

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

Down 25% since January, this resilient dividend stock’s catching my eye

Maintaining the UK’s rail, water, and energy infrastructure isn’t the most exciting business. But it has made this a solid…

Read more »