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Best UK shares to buy as the market melts down

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Graph Falling Down in Front Of United Kingdom Flag
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The signs were clear at the end of last week. The FTSE 100 index may have managed to close above the 7,000 mark but not before it dipped below the level during trading. And today, the index has pretty much stayed below 7,000 throughout the day. At the time of writing this article, it is at an abysmal 6,835. 

Who’s getting deja vu?

I know there is a sense of deja vu about this. We have been here before, more than once, since the pandemic first started scaring the stock markets last year. And a virus surge appears to be turning investors bearish again. But if the last stock market crash was an opportunity, this one is even more so. 

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Consider this. In the UK alone, over half the people are fully vaccinated according to latest data from the Financial Times. Further, both in North America and much of Europe, at least 50% of the people have got one vaccine shot. Emerging countries are unfortunately lagging behind and that is a cause of concern. However, the big point is that we are definitely in a better place than last year. 

Knowing this, what would I do now? Invest further in stocks, of course. 

Here are two examples of the best UK shares for me to buy now.

#1. Burberry: rising sales

Luxury fashion label Burberry’s comparable store sales rose by a huge 90% from last year for the 13 weeks ending 26 June from last year as per its latest update. It has even shown a slight increase over sales in 2019.

There are some concerns about the departure of its CEO, Marco Gobbetti, who is credited for the trench coat pioneer’s turnaround. But, the company itself is relatively upbeat about its prospects. Yet, after today’s market meltdown, its share price is down by almost 27% in a month. 

#2. Just Eat Takeaway: share price uptick

In contrast with Burberry, food delivery giant Just Eat Takeaway‘s share price is actually up around 4% in today’s trading. As I look at my trading screen, it is the only FTSE 100 stock in the green right now. 

I have been extolling its virtues for a long time now, most recently last week after it released a robust trading update. And this was for the post-pandemic time period. Now, if we believe that the pandemic restrictions can conceivably come back, it is poised to be a big gainer again. And that explains the rise in price. 

Eagle-eyed investors looking through its statements would undoubtedly find that it does not clock a net profit. But, it has good reasons for that.

My long list of best UK shares to buy

And these are just two examples from list of the best UK shares to buy now. From miners to oil producers, retailers to healthcare providers, today’s market meltdown has thrown up many options for me to buy. And if I have learned anything from last year’s stock market crash, it is to make the most of this opportunity.

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Manika Premsingh owns shares of Burberry. The Motley Fool UK has recommended Burberry and Just Eat N.V. 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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