Companies from across the FTSE 100 have soared in value as appetite for UK shares has picked up. But don’t be mistaken. London’s premier share index remains packed with brilliant bargains.
Here are three of my favourites. Each trades on a price-to-earnings (P/E) ratio that’s lower than the index average of around 11.
What’s more, their dividend yields smash the Footsie average of 3.5%. Here’s why I think they could be great long-term investments.
WPP
Forward P/E ratio: 8.1 times. Dividend yield: 5.4%
For a highly cyclical share, advertising and communications colossus WPP‘s (LSE:WPP) been an excellent dividend payer down the years.
Indeed, despite problems like runaway inflation, high interest rates, economic trouble in China and other post-Covid hangovers, annual payouts have risen almost 65% since 2020.
There’s no guarantee WPP will be able to keep this run going. It froze the dividend last year in…
