first_img See all posts by Cliff D’Arcy “This Stock Could Be Like Buying Amazon in 1997” I think shares in this £32bn FTSE 100 champion are too cheap. I’d buy them today! 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. Cliff D’Arcy | Monday, 10th August, 2020 | More on: PRU Cliffdarcy has no position in any of the shares mentioned. The Motley Fool UK has recommended Prudential. 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. 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. Our 6 ‘Best Buys Now’ Sharescenter_img On Saturday, I discussed how shares in asset manager M&G (LSE: MNG) were incredibly cheap by FTSE 100 standards. Indeed, M&G shares are such a bargain that they have an earnings yield of 24% and pay a yearly cash dividend of 7%.Pru is M&G’s big brother in the FTSE 100M&G was spun off from its parent Prudential (LSE: PRU) last October. Hence, now feels like a good time to analyse the shares of its big brother in the FTSE 100.5G 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 first thing to note is that Pru is Goliath to M&G’s David. Currently, Pru is valued at £31.7bn, making it seven times the size of its £4.4bn little brother. Furthermore, Pru is bigger on an international scale. It offers financial products and asset management services throughout the UK, US and notably in fast-growing Asia.Pru is a FTSE 100 heavyweightAs I write, Pru shares hover around 1,236p, up 31.5p (2.6%) in Monday’s trading. For Pru shareholders, it’s like the Covid-19 crash never happened, as they have dipped just 3.1% over the past 12 months.Then again, Prudential has been around for a very long time. It was founded in Hatton Garden, London, in 1848 and, within 50 years, had grown to be the UK’s biggest life insurer. By World War I, a third of British adults were covered by Pru policies. Hence, it’s been a household name here for more than a century and a long-standing member of the FTSE 100.Pru was a leading pioneer in ‘penny policies’: insurance policies with small premiums collected in cash, usually weekly, by insurance agents. These gentlemen (and, later, ladies) were known as the ‘Man from the Pru’, helping Pru to become the #1 brand in UK protection and savings.Pru shares crashed with the marketOver the past 12 months, Pru shares peaked at 1,509p on 20 February – just before the coronavirus crisis crashed the market. Today, they remain 18.1% below this 52-week high.What was crazy was that, on 19 March, you could have become part-owner of Pru by buying a share at the bargain-basement price of 682.8p. I suspect I’ll never see this FTSE 100 share so low again in my lifetime (and I’m only 52).Pru shares combine value with growthRight now, Pru shares trade on a price-to-earnings ratio (PER) of 21, for an earnings yield of 4.8%. They pay a dividend of 3% a year, covered 1.54 times by earnings.Normally, these ratios would not make Pru attractive to me as a value share. Usually, I prefer lower PERs and higher dividend yields. But Pru has strong exposure to two very attractive regions: the huge US market and the fast-growing Far East (notably Hong Kong and China).Hence, I’d buy and hold this FTSE 100 share today, for Pru’s stability and size, for future earnings and dividend growth – and for exposure to the go-go economies of the future! I would like to receive emails from you about product information and offers from The Fool and its business partners. Each of these emails will provide a link to unsubscribe from future emails. More information about how The Fool collects, stores, and handles personal data is available in its Privacy Statement. Simply click below to discover how you can take advantage of this. Click here to claim your copy now — and we’ll tell you the name of this Top US Share… free of charge! Enter Your Email Address Image source: Getty Images. last_img

I think shares in this £32bn FTSE 100 champion are too cheap. I’d buy them today!

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