3 top FTSE stocks to buy even while markets are falling

October 06, 2021 12:02 PM BST | By Nidhi Gupta
 3 top FTSE stocks to buy even while markets are falling
Image source: iQoncept, Shutterstock.com

Highlights

  • Glencore’s adjusted EBITDA increased by 79% year-on-year from US$ 4,833 million in H1 2020 to US$ 8,654 million in H1 2021.
  • British American Tobacco declared an interim dividend of 215.6 pence per share of 25p.
  • BAE Systems announced an interim dividend of 9.9 pence per share in H1 2021 compared to 9.4 pence per share in H1 2020.

The pandemic had a deep impact on the economy as well as some sectors. The imposition of lockdowns and restrictions on movement brought business activities in various sectors to a standstill. Mining operations was one sector that was impacted by COVID-19 imposed restrictions. However, rising vaccination rates and relaxation of COVID-19 related restrictions have guided the impacted sectors to recovery. Nevertheless, the performance of essential sectors such as consumer goods and products and defence remained largely unaffected despite the crisis.

Glencore, BAT & BAE: Market cap & share price

(Data source: Refinitiv)

Let us deep dive into 3 FTSE stocks and explore the investment potential in them.

Glencore Plc (LON: GLEN)

Glencore is a UK-based commodity trading and mining group. The company through its subsidiary Prodeco announced handing back of the Colombian coal mining operations at the La Jagua and Calenturitas mines, as restart of operations would not be feasible.

The shares of Glencore are currently trading at GBX 365.85, down by 0.48% at 8:32 AM GMT+1 on Wednesday 6 October 2021. The market capitalisation of Glencore is £48,803.80 million.

Glencore’s H1 2021 revenue grew by 32% year-on-year to US$ 93,805 million compared to US$ 70,961 million in H1 2020. Its adjusted EBITDA increased by 79% year-on-year from US$ 4,833 million in H1 2020 to US$ 8,654 million in H1 2021.

British American Tobacco Plc (LON: BAT)

British American Tobacco is a UK-based company manufacturing and selling tobacco, cigarettes, and other nicotine items. BAT’s H1 revenue for the period ended 30 June 2021 reached £12,175 million. Its revenue from new categories increased by 50% year-on-year to £942 million in H1 2021. The company’s profit from operations reached £4,907 million in H1 2021.

The shares of British American Tobacco are currently trading at GBX 2,534.00, down by 0.63% at 8:53 AM GMT+1 on Wednesday 6 October 2021. The market capitalisation of British American Tobacco is £58,513.64 million.

British American Tobacco declared an interim dividend of 215.6 pence per share of 25p to shareholders, payable in equal instalments each quarter.

BAE Systems Plc (LON: BA.)

FTSE 100 listed BAE Systems is a UK-based defence and aerospace firm. It is also one of the leading defence contractors in Europe. It received $139.7 million contract from The Defense Logistics Agency (DLA) for engineering and technical support services. It also received a contract from the US Defense Advanced Research Projects Agency (DARPA) for designing an aircraft active flow control (AFC) technology.

The shares of BAE Systems are currently trading at GBX 558.80, down by 1.10% at 9:03 AM GMT+1 on Wednesday 6 October 2021. The market capitalisation of BAE Systems is £18,066.16 million.

BAE Systems sales for H1 2021 ended 30 June 2021 was £10,035 million compared to £9,871 million for the six months ended 30 June 2020. Its order backlog as of 30 June 2021 was £44.6 billion compared to £45.2 billion as of 31 December 2020.

BAE Systems announced an interim dividend of 9.9 pence per share in H1 2021 compared to 9.4 pence per share in H1 2020.


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