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Top bargain stocks to buy! I’d buy this FTSE 100 share in an ISA to make a million

If you’re looking for stocks to buy at unmissable prices then you’re in luck. The stock market crash has washed out the prices of many great UK shares along with the bad ones. This gives investors a once-in-a-lifetime opportunity to build a winning shares portfolio at little cost.

Some of the best stocks to buy out there are trading on rock-bottom price-to-earnings (P/E) ratios right now. Many boast giant dividend yields too. These UK shares offer investors a chance to make spectacular returns by buying in at dirt-cheap prices and watching them soar in value as the economic recovery takes hold.

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There’s a broad range of cut-price UK shares I’m thinking of buying for my own ISA today. The following FTSE 100 stock is certainly too cheap to miss following the stock market crash. And I reckon it has all the tools to help you and I get rich and, fingers crossed, retire early.

Business man on stock market crash financial trade indicator background.

7%+ dividend yields

Babcock International (LSE: BAB) is one of those great stocks to buy for anyone seeking monster dividends. The FTSE 100 stock carries a gigantic 7.3% forward dividend yield at current prices. It offers exceptional value in term of its earnings prospects too, the defence giant also trading on a P/E ratio of below 6 times.

These readings fails to reflect Babcock’s excellent trading outlook for much of the decade. Babcock’s fallen on expectations that global defence budgets will take a mighty whack as the economic consequences of Covid-19 hit government coffers.

I’m certainly not that pessimistic as a soup of geopolitical issues will continue driving arms spend through this decade at least. And as a major supplier to militaries all over the world — and having a particularly strong relationship with the UK Ministry of Defence — the FTSE 100 company is well placed to ride this trend. The perceived threat of Russian and Chinese expansionism, and ongoing conflict in the Middle East, are just a couple of factors that should keep driving defence spend.

One of many top FTSE 100 stocks to buy today

You need not just take my word for it though. A recent report from Mordor Intelligence illustrates why defence giants like Babcock could be great stocks to buy for the 2020s. This estimates that, despite the threat of a Covid-19-related economic hangover, global spend on aircraft materials will rise at a compound annual growth rate of 5% through to 2025.

Rising military aircraft spending should boost demand for Babcock’s aviation services (which includes flying training and integrated engineering) in the coming years. But the FTSE 100 firm can expect revenues to boom across its naval divisions as well, as military building is unlikely to be exclusive to aircraft.

Buying Babcock shares at today’s low prices leaves plenty of room for big shareholder returns in the coming years. It’s just one of many great blue-chip dividend stocks to buy following the stock market crash though. I believe the 2020 share price slump provides a once-in-a-lifetime buying opportunity for savvy investors to really supercharge their returns.

5 Stocks For Trying To Build Wealth After 50

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Royston Wild has no position in any of the shares mentioned. The Motley Fool UK has no position in any of the shares mentioned. 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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