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Here’s 2 FTSE 100 stocks I’d buy today!


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It’s no secret that 2022 has been a torrid time for many investors. With macroeconomic issues such as inflation — which rose to 9% in the UK in April — squeezing investor confidence, many stocks have taken a hit. Down 6% this year, I’m on the lookout for some FTSE 100 stocks to add to my portfolio. Here’s two I’d buy today.

BT

The first FTSE 100 stock I’d opt for is BT (LSE: BT.A). The telecommunications firm has provided a beacon of hope against the tough market conditions and is up nearly 6% year to date. BT has failed to deliver to its shareholders in recent times, as the last five years have seen it fall nearly 40%. However, I think in current times BT could be a strong addition to my portfolio.

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One reason for this is due to its strong dividend yield. Currently sat at 4.21%, this is above the FTSE 100 average. With inflation seemingly set to continue to rise, this yield offers me some form of protection against spiking rates. With stagnant cash losing value, I think this makes BT a smart move.

Another reason I’d buy BT shares today is due to its strong full-year results. The main highlight within these was the growth of Openreach. It’s now reached 7.2 million premises. On top of this, BT’S 5G network now covers over 50% of the UK. These solid figures make BT a tempting proposition for me.

However, one concern I have with BT is its large pile of debt. And this has only been worsened by a recent £5bn investment in capital expenditure. With interest rates also on the rise, this may provide further issues for the firm in paying off this debt. However, the short-term problems this investment may provide should pay dividends in the long run. As a result, I’d be willing to buy BT stock today.

ITV

My second buy would be television group ITV (LSE: ITV). The stock is down over 48% in the past 12 months. Yet, I see long-term potential in this dip.

One of the main reasons for the fall is its new streaming service venture ITVX. A free, ad-funded service, the reveal of this new service back in March saw the ITV share price plummet 30%. Clearly, investors think this new, potentially expensive, project may struggle to provide ITV with extra profits.

However, I think this fall represents value. The stock trades on a price-to-earnings (P/E) ratio of 7.1, comfortably below the FTSE 100 average of 14. And coupled with a strong 4.97% dividend yield, I think ITV is a solid buy for my portfolio.

The firm also posted some impressive results in 2021. For example, its announced record revenues of £3.5bn. And this strong performance continued into 2022, with Q1 revenues up 18% year-on-year. The firm also has a target of £750 million in digital revenues by 2026. Should it be able to meet this target, I think the FTSE 100 stock would be a great buy today.





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