The Motley Fool

£10k to invest? I think these are the best UK shares to buy now

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

If you are looking for the best UK shares to buy now, I highly recommend taking a look at the tech sector. The UK is home to the fastest-growing tech sector in Europe. As the world becomes increasingly reliant on technology, the best way to profit from this trend may be to buy a diversified basket of related stocks. 

Today, I’m going to take a look at three such companies I think could be worth buying now. 

5G is here – and shares of this ‘sleeping giant’ could be a great way for you to potentially profit!

According to one leading industry firm, the 5G boom could create a global industry worth US$12.3 TRILLION out of thin air…

And if you click here we’ll show you something that could be key to unlocking 5G’s full potential...

The best UK shares to buy

Computacenter (LSE: CCC) is one of the fastest-growing domestic technology businesses. Over the past six years, the company has reported annualised earnings growth of 15%. 

The group, which provides the information technology infrastructure services, has seen the demand boom in 2020. City analysts had been expecting the company to report a decline in earnings for this year.

However, according to its latest trading update, management expects trading to be “materially above” initial expectations. 

As such, I think the company qualifies as one of the best UK shares to buy now. With earnings set to jump substantially this year, investors could see high total returns from the stock in the years ahead as it builds on its position in the market.

The stock also supports a dividend yield of 2%, and the payout is covered twice by earnings per share. (LSE: MONY) is another UK technology leader. The company operates one of the most well-known comparison websites in the country.

This is an asset-light operation. The firm takes a cut of every insurance policy or energy deal it sells.

As a result, the business is highly profitable. Its average operating profit margin for the past six years is 30%. The average margin of all UK shares is 6.4%. During the same time frame, the company has reported average annualised earnings growth of 12%. 

At the time of writing, shares in are changing hands at a forward price-to-earnings (P/E) multiple of 22. This looks expensive at first, but I think it’s a price worth paying for such a profitable and recognisable business that has cornered the comparison market.

Further, the stock also supports a dividend yield of 3.6%, which only adds to the appeal of the business, in my opinion. The average yield of all UK shares is 3.4%. 

Spirent Communications

One of the best ways to invest in the technology revolution may be to own the nuts and bolts. Or, in this case, telecommunications infrastructure. Spirent Communications (LSE: SPT) is one way to play this theme.  

The company is perfectly positioned to benefit from the world’s transition to 5G technology. It’s widely believed it’s only a matter of time before 5G becomes the mobile standard around the world. Building the infrastructure to hit this milestone will be a challenge. Luckily, Spirent already has the know-how and resources. 

As demand for the company’s services has grown over the past few years, its net income has jumped.

From just $13m in 2015, City analysts believe the company will report net income of $85m for 2020. As the rollout of 5G technology continues, I think it’s highly likely the group can maintain this rate of growth.

Therefore, Spirent could be one of the best UK shares to buy now. 

“This Stock Could Be Like Buying Amazon in 1997”

I'm sure you'll agree that's quite the statement from Motley Fool Co-Founder Tom Gardner.

But since our US analyst team first recommended shares in this unique tech stock back in 2016, the value has soared.

What's more, we firmly believe there's still plenty of upside in its future. In fact, even throughout the current coronavirus crisis, its performance has been beating Wall St expectations.

And right now, we're giving you a chance to discover exactly what has got our analysts all fired up about this niche industry phenomenon, in our FREE special report, A Top US Share From The Motley Fool.

Click here to claim your copy now — and we’ll tell you the name of this Top US Share… free of charge!

Rupert Hargreaves owns no share mentioned. The Motley Fool UK has recommended 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.

Our 6 'Best Buys Now' Shares

Renowned stock-picker Mark Rogers and his analyst team at The Motley Fool UK have named 6 shares that they believe UK investors should consider buying NOW.

So if you’re looking for more stock ideas to try and best position your portfolio today, then it might be a good day for you. Because we're offering a full 33% off your first year of membership to our flagship share-tipping service, backed by our 'no quibbles' 30-day subscription fee refund guarantee.

Simply click below to discover how you can take advantage of this.