2 reasonable FTSE 100 and FTSE 250 stocks for expansion AND dividends!

I’ve been scouring the FTSE 100 and FTSE 250 for the most efficient worth shares to shop for nowadays. Listed below are two I feel are price critical attention from expansion and source of revenue traders.

JD Sports activities Type

JD Sports activities Type‘s (LSE:JD.) suffered from vulnerable retail prerequisites (specifically in North The united states) in recent years. However with rates of interest falling, Town agents assume income are about to burst upper once more.

A 7% upward thrust is tipped for this monetary yr to January 2025. This improves to fifteen% and 16% for fiscal 2026 and 2027 respectively.

I’m now not surprised via those bullish projections. Additionally they replicate additional speedy expansion within the athleisure type marketplace, a section during which JD’s a marketplace chief, in addition to the corporate’s world growth pressure.

Those projections imply the store, at 123p consistent with percentage, trades on a price-to-earnings (P/E) ratio of simply 9.7 instances for this yr. That is neatly beneath the FTSE 100 moderate of 14.4. This studying declines to eight.5 and seven.three times for monetary 2026 and 2027 too.

Moreover, for those two years, JD’s price-to-earnings expansion (PEG) falls neatly beneath the price watermark of one. Those are 0.6 for subsequent yr and nil.5 for the next fiscal length.

At the problem, dividend yields aren’t particularly massive. On the other hand, the possibility of speedy dividend expansion nonetheless makes JD an interesting source of revenue inventory for me.

Its 0.7% dividend yield for this yr rises to 0.9% and 1.1% in fiscal 2026 and 2027.

Ibstock

A big swathe of UK stocks stand to have the benefit of goals specified by this week’s Finances. Infrastructure, renewable power, defence and healthcare shares, for example, may well be giant beneficiaries.

Housebuilders and construction subject material providers may additionally emerge as winners. The federal government’s pledged to spend giant to satisfy its pledge to construct 300,000 new houses a yr. This starts with a £5bn money injection in 2025 by myself, as introduced within the Finances.

Brickmaker Ibstock‘s (LSE:IBST) a FTSE 250 corporate whose earnings may jump in contrast backdrop. It must additionally obtain a spice up as restore and upkeep of Britain’s housing inventory — reportedly the oldest on the planet — continues with gusto.

Ibstock stocks don’t glance particularly reasonable for this monetary yr. At 205p consistent with percentage, they business on a P/E ratio of 26.three times for this yr. On the other hand, this more than one plummets over the following couple of years as income take off, to 19 in 2025 and 14.4 the yr after.

Town analysts be expecting income consistent with percentage to rocket 38% and 32% in 2025 and 2026 respectively.

Additionally, Ibstock’s PEG more than one is solely 0.5 for those two years.

Those vibrant forecasts additionally result in predictions of robust dividend expansion. So the dividend yield on Ibstock stocks strikes from 2% for this yr to two.7% and three.5% in 2025 and 2026.

Prime rates of interest stay a danger to the industry. However at present costs I feel it’s price shut consideration, together with JD.