Here’s one of my favourites.

Going for gold

Investors have been piling into gold stocks in 2024 to capitalise on the booming precious metal price. African mining business Centamin (LSE:CEY), as a result, has risen an impressive 29% in the year to date.

Gold’s moved from record high to record high, reaching an all-time peak above $2,500 per ounce in recent weeks. Some analysts are tipping bullion prices to keep going too, as central banks begin cutting interest rates, and worries over conflicts in the Middle East and Eastern Europe mount.

All this means that the likes of Centamin could remain attractive stocks in the near term. However, we’d be wrong to think that getting exposure to gold is just a shrewd short-term play.

Firstly, as we can see above, the gold price has soared more than 500% in value over the past two decades. It has, for instance, increased far more sharply than UK consumer price inflation (CPI) and the average British house price.

It’s also historically been a good idea for investors to have exposure to gold to manage risk. Safe-haven assets like this tend to perform strongly during economic downturns, offsetting weakness elsewhere in a trader’s portfolio and therefore providing a smoother return over time.

Up 1,600%!

But what are the advantages of buying gold stocks like Centamin over physical metal, or a metal backed exchange-traded fund (ETF)?

After all, buying gold or a gold-tracking financial instrument protects investors from the perils of commodities mining.

Centamin could encounter problems at its Sukari or Doropo projects — at the exploration, mine development or production stages — that impact revenues and drive up costs.

However, if the mining stock performs well operationally, an investor has a chance to make better returns than by simply aiming to track the bullion price.

This is where Centamin’s really impressed. While the gold price has risen 525% since 2004, this FTSE 250 stock — which operates the gigantic Sukari mine in Egypt — has recorded a near-1,600% share price gain over that time.

All-round value

On top of this, investors can receive an income if they buy a dividend-paying mining stock. This can provide them with a positive return even if the gold price fails to rise or even drops.

Centamin’s been a reliable dividend payer since the early 2010s. And, pleasingly, City analysts expect the miner to raise dividends over the next two years, helped by the rising gold price and production increases at Sukari.

This means dividend yields for 2024 and 2025 stand at a healthy 3.7% and 4.8% respectively.

Despite its share price explosion, Centamin shares still look dirt cheap on paper. On top of those market-beating dividend yields, the commodities giant also trades on a price-to-earnings (P/E) ratio of 9.3 times.

All things considered, I think it’s an exceptional stock to consider buying right now.

The post Here’s one of my favourite FTSE 250 stocks to buy in September! appeared first on The Motley Fool UK.

There are multiple factors driving the gold rush, such as the expectation that inflation will rise as interest rates are reduced by central banks. Rate cuts by the Federal Reserve in particular are helping the yellow metal by weakening the US dollar. This makes it more cost-effective to buy buck-denominated assets like gold.

Safe-haven gold buying is also accelerating following Ukraine’s invasion of Russia and fresh violence in Gaza and Israel. These recent actions are fuelling fears of widening conflicts in Europe and the Middle East, respectively.

A top ETF

Investors can tap into gold’s bull run in many ways. One way that I think is worth serious consideration is buying an exchange-traded fund (ETF) like the iShares Gold Producers UCITS ETF (LSE:SPGP).

As the name implies, this provides exposure to companies that source most of their revenues from gold mining. And over the past year it’s provided an impressive 21.4% return.

There are drawbacks to owning a fund that focuses on gold miners, compared to one that simply tracks the gold price. Operational problems are common in the mining sector, and can be hugely expensive once lost revenues and big costs are taken into account.

However, this iShares product greatly reduces this risk by investing in a wide raft of companies. In fact it owns stakes in 62 companies today, including many heavyweight names with great track records such as Newmont, Agnico Eagle and Barrick Gold.

With an expense ratio of 0.55%, it has one of the lowest fees attributable to this sort of ETF too.

A great gold stock

Investing in a single mining stock can be more risky, for the reasons outlined above. But there’s also the opportunity to make spectacular, sector-beating returns.

This is something that buyers of Centamin (LSE:CEY) shares have experienced over the past year. The FTSE 250 miner’s share price has rocketed 54% during the past 12 months.

This reflects, in part, ongoing production at the flagship Sukari mine in Egypt, with 2024 output on course to rise to 470,000-500,000 ounces in 2024.

It’s also due to promising drilling work at its Doropo exploration project, a huge project in the Côte d’Ivoire. Centamin is expecting to receive a mining licence here by the end of the year, although this isn’t guaranteed and problems on this front could harm the share price.

Finally, Centamin’s share price surge reflects an explosion of interest from value seekers looking to get in on the gold rush.

As the chart below shows, the FTSE 250 company still trades at a large discount to the broader gold mining sector, based on the forward price-to-earnings (P/E) ratio). This could provide the base for even more industry-beating share price gains looking ahead.

The post A cheap momentum share and a low-cost ETF I’d buy as gold prices rocket! appeared first on The Motley Fool UK.

Babcock International

UK defence shares are packed with significant long-term potential. But following the outbreak of war in Ukraine, many of these companies now look quite expensive compared with previous levels.

This is not the case with Babcock International Group (LSE:BAB). With a forward price-to-earnings (P/E) ratio of 12.4 times, it trades at a healthy discount to many of its industry peers. This includes FTSE 100-listed BAE Systems, and US stocks Northrop Grumman, Lockheed Martin and RTX Corporation.

Their earnings multiples are shown in the table below.

Like those businesses, Babcock is enjoying a steady increase in orders and sales as Western nations rebuild their arsenals. Despite recent disposals, revenues improved around 2% year on year to £2.2bn in the six months to September, while its contract backlog remained strong at £9.6bn (versus £9.9bn a year earlier).

Babcock’s expected to release more good news when it reports full-year results this month. As a result, City analysts expect earnings to rise 13% in the current financial period (to March 2025). Growth is tipped to improve to 14% in fiscal 2026 too.

Lumpy contract timings are a constant threat to earnings forecasts for defence companies. Any such scenario could pull Babcock’s shares lower again.

But on balance, I still find its investment case very attractive. And what’s more, the cheapness of its shares could help limit any price falls if news flow disappoints.

Centamin

I’m also considering adding mining company Centamin (LSE:CEY) shares to my portfolio. Gold prices have soared in recent months, and in the current macroeconomic and geopolitical environment they look like they could have much further to go.

I can capitalise on a rising metal price by buying an exchange-traded fund (ETF) that tracks price movements. But I can also receive a passive income by buying a dividend-paying share instead.

This is where Centamin comes in. Dividends are never guaranteed, of course. But based on current payout forecasts, the firm yields a healthy 3.1%. This is roughly in line with the FTSE 250 average.

Commodities values can be extremely volatile. So I wouldn’t just buy the African miner for the short term, as its share price could collapse if gold reverses.

This is why I’m also considering buying it to diversify my portfolio, and protect it if economic conditions worsen and broader financial markets sink. Safe-haven demand for precious metals tends to spike in such circumstances.

And at current prices Centamin looks like a bargain. City analysts think earnings will soar 229% in 2024, leaving its shares on a price-to-earnings (PEG) ratio of below 0.1.

Any reading below 1 suggests that a share is undervalued.

The post 2 dirt cheap growth shares I’d buy to hold for AT LEAST 5 years! appeared first on The Motley Fool UK.

Barclays

What it does: Barclays is a Tier 1 bank, serving a wide range of client types in the UK but also abroad.

By Jon Smith. When I look at the banking space, Barclays (LSE:BARC) has been flying the flag for the UK versus US peers. The stock is up 33% over the past year, in comparison to the 11% gain from Morgan Stanley and a 22% gain from Citigroup.

What is helping the outperformance is the new strategy that was announced back in February. The push to cut costs over the coming couple of years will save billions, which will make the bank a more nimble and efficient operation.

Further, Barclays was very undervalued as a stock at the beginning of the year and I think value investors are finally catching on.

It’s true that Barclays doesn’t have the global footprint in the same way as some US peers do. This could hinder further growth prospects, but I don’t see it as a huge point for concern.

Jon Smith owns shares in Barclays and Citigroup.

Barclays

What it does: Barclays is a universal bank with the majority of its earnings coming from its UK operations.  

By Dr James Fox. British banks have underperformed their American counterparts since the financial crash, broadly achieving poorer returns and trading with lower multiples. Barclays (LSE:BARC) has been among the UK’s cheapest banks, trading around 4.5 times earnings a year ago. 

However, things have changed. Investors have been wowed by C.S. Venkatakrishnan’s plan to turn the company around, with £30bn of risk-weighted assets to be assigned to its UK banking arm, and a complementary cost-cutting programme.  

The UK’s fragile economy remains a headwind for UK-focused banks. Nonetheless, with interest rates set to moderate towards the ‘Goldilocks Zone’ – around 2.5-3.5% – things are looking up for customers and banks alike.

Barclays shares are up 55% over the past six months, vastly outperforming major US banks like JPMorgan. However, the valuation gap remains. Barclays is trading around eight times forward earnings, versus JPMorgan at 12.4 times. 

There’s plenty of room for further share price growth if Venkat can improve Barclay’s returns on equity. 

James Fox owns shares in Barclays.

Bloomsbury

What it does: Bloomsbury is a publisher of children’s and adult’s books, including the Harry Potter franchise

By Christopher Ruane. Bloomsbury (LSE: BMY) can feel like the publisher with a sprinkling of magic dust. The shares are up 36% in the past year alone.

That compares favourably to the 6% and 16% declines in that period by New York-listed peers John Wiley and Sons and Scholastic respectively.

That magic dust is partly thanks to the firm’s publication of the Harry Potter series, still going strong. Last year, the UK’s bestselling children’s book was Harry Potter and the Philosopher’s Stone. The firm grew revenues 30%, diluted earnings per share 59% and its annual dividend per share by a quarter.

Bloomsbury’s children’s trade division was responsible for over 100% of the firm’s profit last year, basically subsidising lossmaking parts of the operation. So much reliance on one business division is a risk, especially if the children’s market sees demand fall.

Despite a surging share price, Bloomsbury trades on a price-to-earnings ratio lower than Scholastic and only slightly costlier than Wiley.

Christopher Ruane does not own any of the shares mentioned.

Centamin

What it does: Centamin is a leading gold producer. It owns and operates Sukari, Egypt’s largest gold mine.

By Andrew Mackie. Off the back of gold prices repeatedly hitting all time highs, precious metal miners have been some of the best performing stocks across both US and UK indices. One of the largest producers in the world, Barrick Gold is up 18% since mid-February. However, Centamin, (LSE: CEY) a mid-cap FTSE 250 miner has risen 31% over the same time frame.

The case for owning gold stocks today is compelling. Ballooning government deficits and increasing geopolitical tensions has increased the importance of owning a neutral asset with no counterparty risk. In my opinion, gold is the only asset that provides such credibility.

As gold continues its march towards $2,500, smaller cap names will be the more likely beneficiaries of this new gold cycle. With its high-quality revenue-generating mine at Sukari, plus a number of advanced exploration projects, Centamin remains one of my firm favourites.

Sticky inflation remains one of the biggest risks. Labour, consumables and fuel costs continue to eat into its margins. However, these costs will pale into insignificance if gold prices keep rising into the future.

Andrew Mackie owns shares in Centamin.

Darktrace

What it does: Darktrace develops AI-powered cybersecurity tools to identify and tackle cyber attacks in real time.

By Mark David Hartley. UK cybersecurity firm Darktrace (LSE: DARK) is up by over 100% in the past year, with the growth partly due to its promising implementation of AI technology. Meanwhile, US rival Fortinet is down 8%. However, aside from being in cybersecurity, there are some notable differences. Darktrace is a £4bn firm that’s just over a decade old while Fortinet, with a market cap of $46bn, emerged from the 2000 tech boom. 

The smaller market cap understandably gives Darktrace more space to grow. But it’s also less established and more prone to risk and volatility. The rapid price rise means the shares are now estimated to be overvalued by 10% based on future cash flow analysis. Coupled with a very high price-to-earnings (P/E) ratio of 43.6 I’d say a correction is on the cards. Still, Darktrace is making the UK proud and I think it has excellent long-term potential.

Mark Hartley owns shares in Fortinet.

The post 4 UK shares outperforming their US rivals appeared first on The Motley Fool UK.

To some, it seems like an impossible dream. But in practice, anyone with a commitment to regular investing has a chance to make a substantial second income over time.

Here’s how I’d try to make a passive income above £23k by investing just a couple of hundred pounds each month.

Axe tax

The first thing I’d do is open a tax-efficient investment product. In the UK, we’re predominantly talking about the Individual Savings Account (ISA) and the Self-Invested Personal Pension (SIPP).

With both of these financial products, I have a chance to invest in a wide range of different assets. We’re talking about stocks, bonds, funds and trusts, for instance. Alternatively I can just hold my money in cash.

The beauty is that I don’t have to pay a penny to the taxman on capital gains, dividends, or interest. Over the long term, this can add up to a fat stack of cash.

Official forecasts suggest ISA holders saved £6.7bn in tax in just the 2023/24 financial year.

Please note that tax treatment depends on the individual circumstances of each client and may be subject to change in future. The content in this article is provided for information purposes only. It is not intended to be, neither does it constitute, any form of tax advice. Readers are responsible for carrying out their own due diligence and for obtaining professional advice before making any investment decisions.

Build a diverse portfolio

Next, I’d prioritise investing in equities using a Stocks and Shares ISA, due to the superior returns I can expect. I’ll talk more about this in the next section.

Investing in stocks involves me taking on more risk than, say, parking my money in cash. But that’s okay. I can still comfortably manage risk by purchasing a wide range of equities across different industries.

I’d also buy some exchange-traded funds (ETFs) to reduce my risk. This could give me exposure to hundreds of companies at a stroke, while also investing my money in other areas like the bond market.

Finally, I’d hold a small percentage of my money in a Cash ISA, for easy access to capital and for risk purposes.

Target the FTSE 100 and FTSE 250

With the majority of my cash earmarked for shares, I’d focus more specifically on buying FTSE 100 and FTSE 250 shares. In recent decades, these indexes have provided a terrific average annual return of 9.3%.

Gold producers Centamin (LSE:CEY) is one such company I’d buy in my Stocks and Shares ISA. This is one of the London Stock Exchange‘s biggest mining operators, with a flagship mine in Egypt and several exploration assets elsewhere in Africa.

There’s risk here, as commodity prices can be volatile. But I think this is reflected in Centamin’s low valuation. It trades on a price-to-earnings (P/E) ratio of just 8.6 times.

In fact, now could be a good time to invest in gold shares given current price action. The yellow metal is up 13% since the start of 2024, and keeps hitting regular record highs above $2,400 an ounce.

Past performance isn’t always a reliable guide of future returns. But if that 9.3% long-term average for the FTSE 100 and FTSE 250 continues, a £200 monthly investment in shares like this could net me £584,781 after 30 years.

This would then give me a yearly passive income of £23,390, assuming I drew down 4% of my pot each year.

The post How to target a £23,390 passive income in 3 easy steps! appeared first on The Motley Fool UK.

Here are two I think look too cheap to miss right now.

Centamin

Gold miner Centamin‘s (LSE:CEY) share price has soared 37% over the past three months. It’s been driven by a fresh surge in metal prices. These recently touched new highs near $2,450 per ounce.

I believe this FTSE 250 mining company still offers excellent value though. It trades on a forward price-to-earnings (P/E) ratio of 9.4 times. Meanwhile, the dividend yield for 2024 stands at a chunky 3%.

Okay, there are bigger near-term yields out there. But predictions of substantial dividend growth next year still makes this a top income stock to consider, in my opinion.

For 2025, the yield on Centamin shares stomps to 6.2%.

Commodities prices are famously volatile, and are influenced by a complex interplay of factors that make them tough to predict. This in turn, poses risks to mining companies’ profits, and with it their ability to pay dividends.

But at the moment, the outlook for precious metals prices is largely encouraging. Inflation around the globe continues to exceed forecasts, while the economic recovery in major regions (like China) remains lumpy.

At the same time, geopolitical tensions between the world’s superpowers continue to simmer. And the threat of a regional war in the Middle East remains significant.

These traditional drivers for safe-haven assets are tipped by many to push gold prices still higher. Analysts at Goldman Sachs recently upgraded their yellow metal forecasts for the year’s end to $2,700.

It’s tough to predict the direction of gold prices. But, on balance, I think now could be a good time to consider Centamin’s shares.

Warehouse REIT

As I say, speculation over interest rate cuts have also boosted the share prices of property stocks more recently. Warehouse REIT (LSE:WHR), for instance, has risen 5% in value over the past month.

This real estate investment trust (REIT) will benefit from better borrowing costs and improved net asset values (NAVs) if rates come down. The danger however, is that rate cuts might not fall as quickly or sharply the market expects if inflation continues to run hot.

Please note that tax treatment depends on the individual circumstances of each client and may be subject to change in future. The content in this article is provided for information purposes only. It is not intended to be, neither does it constitute, any form of tax advice.

However, at current prices I still think Warehouse REIT shares are an attractive investment. It currently deals on a forward price-to-earnings growth (PEG) ratio of 0.8. Any reading below 1 indicates that a share is undervalued.

This isn’t the only number that’s caught my eye. Today, the firm’s dividend yield for this financial year (to March 2025) is a stunning 7.2%. This reflects City predictions of strong earnings growth and unique REIT rules governing dividends.

These state that at least 90% of annual rental profits must be distributed in the form of dividends.

As demand for storage and distribution centres steadily rises, I think Warehouse REIT could be a top income stock for years to come.

The post Dividend deals! 2 passive income stocks that still look undervalued appeared first on The Motley Fool UK.

Here are four top bargains for savvy investors to consider.

GSK

Concerns over its drugs pipeline leave GSK (LSE:GSK) shares trading at a discount to the broader pharma sector. For 2024, the Footsie firm deals on a price-to-earnings (P/E) ratio of just 11.4 times.

While recent signs here have been more encouraging — in the first quarter, it had 89 products in development, and four positive phase III test results — any setbacks at the lab or with regulators could damage its share price again.

I’d be prepared to give GSK the benefit of the doubt however. Not only do I feel any dangers are baked into the company’s rock-bottom valuation, it’s also important to remember GSK has a brilliant record of getting its product to market. This explains its mighty £75bn market-cap.

Babcock International Group

Defence business Babcock International (LSE:BAB) also looks like a brilliant bargain at current prices.

The FTSE 250 company — which provides engineering and training services to armed forces across the globe — trades on a forward-looking P/E ratio of 13.9 times. By comparison, UK-listed peers BAE Systems and Chemring carry much heavier multiples of 19.9 times and 19.2 times respectively.

Investing in defence shares can be an excellent long-term play. This is because weapons demand remains broadly stable at all points of the economic cycle.

Buying Babcock shares could be an especially good idea today though, as spending soars across the defence sector. That’s even though project delivery problems are a constant danger than could affect future revenues.

Centamin

A rising gold price has lifted miner Centamin‘s (LSE:CEY) share price through the roof more recently. But a forward P/E ratio of 9.3 times suggests that the company remains a brilliant bargain.

Digging for metals can be unexpectedly expensive. Problems can be commonplace that crush profits and push share prices lower.

But Egypt-focused Centamin has an excellent history on this front. It has produced 5m ounces of yellow metal from its flagship Sukari mine since 2009. The complex has almost 6m ounces of further reserves too, suggesting it could remain a lucrative money spinner for some time to come.

Aviva

Like those other shares I describe, Aviva (LSE:AV.) trades on an attractive P/E ratio. For 2024, this sits at a modest 11.4 times.

On top of this, the life insurer also trades on a corresponding price-to-earnings growth (PEG) ratio of 0.4. Any reading below 1 indicates that a stock is undervalued. Finally, Aviva shares carry a market-beating 7.1% dividend yield for this year.

This FTSE 100 share has an excellent chance to capitalise on the UK’s rapidly-growing elderly population. This demographic change is set to drive demand for retirement, wealth and insurance products much higher from current levels.

Aviva faces significant competition to grow profits. But the insurer’s long history (it’s been selling products since 1696) suggests it has what it takes to seize this opportunity.

The post 4 magnificent FTSE 100 and FTSE 250 value shares to consider! appeared first on The Motley Fool UK.

It’s clear that the AI market has room for significant growth. And as an investor I’m looking for ways to capitalise on this and make a life-changing financial return.

My concern is that some of these Nasdaq-listed giants look pretty expensive despite this bright outlook. Nvidia shares, for instance, trade on an enormous forward price-to-earnings (P/E) ratio of 73.2 times. And the firm’s price-to-book (P/B) ratio stands at a eye-popping 50 times!

Early days

Buying these tech stars at these prices is especially unappealing given that we’re so early on in the AI revolution. While we can all have a good guess, at this stage it’s tough to predict which of these companies will succeed.

Sophie Lund-Yates, equity analyst at Hargreaves Lansdown, alluded to this last week. When praising Microsoft’s strong first-quarter results, she said: “While Microsoft is top dog, there are other companies snapping at its heels. None are close enough to take much of a bite just yet, but never say never. The market’s still at the very early stages of the AI race in the grand scheme of things, and it’s important to remember that defining the overall winner is a very difficult ask.”

Going for gold

Given this fact, purchasing an exchange-traded fund (ETF) that contains a variety of AI stocks could be a good idea to help investors hedge their bets.

But as I say, many of these tech stocks are looking expensive. So I’m thinking about other, more cost-effective ways to invest in the AI boom. One way to do this could be by buying gold stocks.

The yellow metal’s a critical material in the electronics sector. And as chip building takes off to power the AI boom, demand for the precious commodity is also soaring.

According to the World Gold Council, gold demand from tech companies leapt 10% during the first quarter, “driven by the AI boom in the electronics sector“.

A cheap stock

There are multiple gold stocks on the London Stock Exchange investors can choose from. FTSE 100-listed gold and silver producer Fresnillo is the largest. I also like the look of AIM-quoted Anglo Asian Mining and Greatland Gold.

But Centamin‘s (LSE:CEY) the gold stock I’d buy if I had spare cash to invest. The FTSE 250 company owns the Sukari low-cost mine in Egypt where it’s been investing heavily to boost production. It’s on course to produce 500,000 ounces of gold from Sukari each year.

The gold digger also has a number of other African exploration assets on its books that could help it profit from the AI boom.

I also love Centamin shares because of their cheapness. They trade on a forward P/E ratio of 9.6 times and carry a healthy 3.1% dividend yield.

Mining for metals is an unpredictable business. Costs can spike and revenues sink if problems occur. But I think these factors are baked into Centamin’s cheap share price. I think it could be a great way to consider capitalising on the AI revolution.

The post Forget Nvidia and Microsoft shares! A cheap stock to consider buying for the AI boom appeared first on The Motley Fool UK.

Centamin

Having exposure to gold can be a great way for investors to diversify and reduce risk. When times get tough and financial markets sink, safe-haven gold often rises in price and offsets weakness elsewhere in an individual’s portfolio.

I think investing in gold stocks is an excellent way to achieve this. Unlike physical gold, or a product that tracks metal prices like an exchange-traded fund (ETF), many mining companies also provide income in the form of a dividend.

To this end, Centamin (LSE:CEY) is one UK share on my own radar today. Its dividend yield sits at a solid 3.2% for 2024.

Mining stocks can also provide better returns than gold or gold-backed financial instruments if they can demonstrate ongoing operational strength. Successful expansion of its flagship Sukari mine in Egypt, positive exploration work elsewhere in Africa, and a tight grip on costs all suggest to me a stock with brilliant investment potential.

Earnings at commodity stocks are notoriously volatile given their sensitivity to raw material prices. But despite this risk, I think Centamin shares are an excellent buy.

This is not only because of the miner’s all-round cheapness. As well as providing that healthy dividend yield, it trades on a forward price-to-earnings (P/E) ratio of 8.7 times.

It’s also due to the possibility that gold prices will continue to soar. The yellow metal hit another all-time high of $2,222.39 per ounce on Thursday (21 March).

City analysts certainly think Centamin’s share price will continue its recent rapid ascent. The 11 analysts with ratings on the miner have put a 12-month price target of 203p per share on it. That’s a large premium from current levels of 111p.

Greencoat UK Wind

Renewable energy stock Greencoat UK Wind (LSE:UKW) also looks massively undervalued in my opinion.

Its P/E ratio of 25.8 times might not look too appealing to investors. But at 135.6p per share, it trades at a double-digit discount to its estimated net asset value (NAV) per share of 162.9p

The seven brokers with ratings on Greencoat also think its share price will hit 178.8p per share in the next 12 months.

And finally, the wind power specialist carries a tasty forward 7.4% dividend yield at current prices. That’s more than double the 3.5% average for FTSE 250 shares.

Profits at renewable energy producers tend to be more volatile than those using fossil fuels. In the case of Greencoat, power generation can sink during calm conditions. Building turbines and keeping them up and running can also be enormously expensive.

Yet I’d be happy to accept some volatility if a stock’s long-term outlook is bright. And I think Greencoat — which operates dozens of onshore and offshore wind farms — could deliver solid profits growth as the world switches from oil and gas to cleaner energy sources.

The post 2 of my top cheap FTSE 250 shares to consider buying before April! appeared first on The Motley Fool UK.

One downside, ISA users are unable to roll over any unused allowances to future tax years. So with a few weeks left of the current financial period, the annual scramble to ‘max out’ our contribution limits is now well and truly under way.

Please note that tax treatment depends on the individual circumstances of each client and may be subject to change in future. The content in this article is provided for information purposes only. It is not intended to be, neither does it constitute, any form of tax advice. Readers are responsible for carrying out their own due diligence and for obtaining professional advice before making any investment decisions.

3 stocks on my radar

Of course, I’m not obligated to actually buy any shares, exchange-traded funds (ETFs), or any other investment before the 5 April deadline. I simply need to have deposited money in my ISA before that date.

But why wait? The FTSE 100 and FTSE 250 indices are packed with brilliant bargains today. My aim is to exploit their cheapness by snapping them up before the market catches on.

Here are three top UK shares I’m hoping to buy over the next few weeks.

TBC Bank Group

Emerging market stock TBC Bank (LSE:TBCG) continues to record impressive share price gains. Yet at £52 per share, it still offers exceptional all-round value.

The FTSE 250 firm trades on a forward price-to-earnings (P/E) ratio of 5.4 times. It also carries a meaty 5.3% dividend yield.

Banks are highly cyclical, and profits can sink during tough times, due to weak loan growth and rising impairments. But over the long term, I’m confident TBC Bank will deliver strong returns, as increasing personal wealth levels in Georgia continue driving financial services demand.

Pre-tax profits here have soared 125% in the past five years alone.

HSBC Holdings

Asia-focused HSBC (LSE:HSBA) is the UK’s largest listed bank. And like TBC Bank, it gives investors the opportunity to profit from fast-growing developing markets.

Unfortunately, it presents more near-term risk to investors at the moment. This is due to its dependence upon a Chinese economy that’s struggling for traction and suffering from a real estate crisis.

But the long-term outlook here remains excellent. And as one of the industry’s biggest players, HSBC can afford to spend billions to expand its presence in lucrative Asian marketplaces. It’s doing just that, helped by a series of asset sales in its Western marketplaces.

Today, the FTSE 100 firm trades on a P/E ratio of 6.6 times. It also carries a huge 8.1% dividend yield.

Centamin

Owning mining stocks can be an uncomfortable experience when metal prices sink. But pleasingly for gold-miner Centamin (LSE:CEY), bullion values have recently hit record highs and could be poised for more substantial gains.

This FTSE 250 operator owns the Sukari mine in Egypt, a site where it’s raised gold reserves for three years on the spin.

But this isn’t the only reason I’m attracted to this particular stock. It also has a number of exciting exploration assets on its books, including the Doropo project in Burkina Faso.

Having exposure to gold can be a great way for investors to de-risk their portfolios. I think Centamin, with its forward P/E ratio of 9.2 times, is an attractive share with which to do this.

The post 3 of the best FTSE 100 and FTSE 250 shares I’d buy before the ISA deadline! appeared first on The Motley Fool UK.