5 of the Best Dividend Stocks for Passive Income 

Dividend stocks are very popular investments in the UK. It’s not hard to see why – these stocks offer a regular income stream alongside the potential for long-term capital growth.

Interested in adding some dividend stocks to your Stocks and Shares ISA or SIPP? Here are five top dividend payers that could be worth considering. 

M&G

Starting with a high-yielder in the FTSE 100, we have M&G (MNG:LON). It’s a leading savings and investment company that has around 4.5m retail clients and over 900 institutional clients globally. 

It currently offers a dividend yield of around 6.9%. That’s one of the highest yields in the Footsie. 

One thing I like about this stock is that it’s a reliable dividend payer with a track record of consistent payout increases. Since the company was split off from Prudential back in 2019, it has increased its payout every year (rising payouts offer protection against inflation). 

I also like the fact that, unlike many other high yielders in the Footsie, the company has long-term growth potential. Over the long run, M&G should benefit from rising stock markets, increased assets under management, and growing demand for retirement solutions, which should help it continue to increase its dividend payouts.  

On the downside, stocks in the Financial sector can be more volatile than the broader market. This is certainly the case here – M&G has a beta of 1.5 meaning that it is about 1.5 times as volatile as the market as a whole.

An additional risk to be aware of with M&G is rising bond yields. If bond yields keep rising (and bond prices keep falling), it could have implications for assets under management. 

HSBC

Also in the Financial sector, I like HSBC (HSBA:LON). A blue-chip FTSE 100 stock, it’s one of the biggest banks in the world with a market cap of around £240bn today. 

The dividend yield on offer here is around 4.6% at present. So, this isn’t a super high yielder. 

However, dividend coverage (the ratio of earnings per share to dividends per share) is high, meaning the payout looks secure. And analysts expect decent growth in the payout in the years ahead. 

Next year, HSBC’s dividend payout is expected to rise to 95 cents per share from 85 cents in 2026. At today’s share price and GBP/USD FX rate, 95 cents translates to a yield of about 5.2%. 

A major attraction of this bank from an investment perspective is that it operates across a range of areas including retail banking, commercial banking, investment banking, trading, and wealth management. So, it has many ways to generate revenue. 

The valuation is also quite attractive. Looking at earnings forecasts for 2027, the P/E ratio is currently under 10 so there’s scope for earnings multiple expansion. 

Of course, there are no guarantees that HSBC shares will be a good investment from here. There are plenty of risks that could negatively impact the bank stock including adverse interest rate movements, an economic slowdown in Asia, and regulatory intervention. 

Overall though, I like the set-up at current levels. With the share price having dropped in recent months, I think a nice entry point has emerged. 

National Grid 

Utilities companies can be excellent dividend stocks due to the stable nature of their operations and one name I like in this sector is National Grid (NG:LON). It’s an electricity and gas company with operations in the UK and the Northeast US. 

It currently offers a yield of around 4.3%. Dividend coverage is solid at 1.8 times, and looking ahead, the company is aiming to grow its payout in line with UK CPIH inflation.

One key pillar of the investment case here is that National Grid is targeting earnings growth 8-10% per year through FY31. Higher earnings should boost the share price over time. 

Another is that the company has a natural monopoly in the UK’s energy sector as it owns and operates the core high-voltage electricity transmission network across Great Britain. This should provide highly predictable, inflation-linked revenues and insulated earnings. 

A risk to consider with National Grid shares is potential government intervention. Here, there’s some uncertainty because UK prime minister Andy Burnham has advocated for stronger public control of UK water and energy utilities. 

Rising bond yields are also potentially a risk. Utilities stocks are often seen as an alternative to bonds due to their stability and income, so when bond yields rise to attractive levels, capital often flows from the former to the latter. 

GSK

Healthcare can also be a nice source of dividend income. In this sector, I like the look of pharma giant GSK(GSK:LON) today. 

Its dividend yield is about 4%. Dividend coverage is strong at around 2.5 times, signalling that the payout is secure. 

One major attraction of this dividend stock is that it's defensive. No matter what’s happening in the economy, demand for medicines and vaccines tends to remain robust. 

The valuation is also attractive. Currently, the P/E ratio here is only around 10, so the stock is quite cheap at present.  

It’s worth pointing out that net debt of around £15bn is a risk with this stock. Especially with yields rising. 

All things considered, however, I see the proposition here as compelling. Note that City analysts see 20% upside to the share price so there’s potential for strong total returns. 

Keystone Law 

Finally, those interested in small-cap dividend stocks may want to check out Keystone Law (KEYS:LON). It’s a tech-enabled platform-based UK law firm. 

The yield here is currently about 5%. However, we could see higher yields in the years ahead as this company is continually increasing its payout (and paying special dividends). 

What stands out to me here is the quality of this business. This is a founder-led company with a track record of revenue and earnings growth, a high return on capital employed (ROCE), and a strong balance sheet. 

I also like the fact that the company is performing really well at the moment. In September, it posted a 22.5% increase in revenue for the six months ended 31 July 2026 and advised that it expects to deliver FY2027 revenue comfortably ahead and profits materially ahead of market expectations. 

Now, AI disruption is potentially a risk with this dividend stock. Today, people are turning to generative AI apps like Claude to draft basic legal documents. 

However, with the stock trading on a P/E ratio of 16, I like the risk-reward skew. I see the potential for attractive total returns here. 

My Pick of the Best Obesity Drug Stocks 

The global market for weight-loss/obesity drugs is projected to see huge growth over the next decade. According to Morgan Stanley, it could be worth $150 billion by 2035 versus around $45 billion today. 

Interested in buying some weight-loss drug stocks for your portfolio to capitalise on the growth of the market? Here are five names to check out. 

Eli Lilly

It’s hard to talk about obesity drug stocks and not mention Eli Lilly (LLY:NYSE). It’s the undisputed market leader today. 

Its main products are Zepbound (which is prescribed specifically for chronic weight management) and Mounjaro (prescribed for Type 2 diabetes), both of which are based on the drug tirzepatide. Zepbound is the more potent of the two – it can lead to around 20% body weight loss. 

Thanks to the popularity of its weight-loss drugs, Eli Lilly has grown at a rapid clip in recent years. Between 2020 and 2025, its revenue climbed from $24.5 billion to $65.2 billion – a compound annual growth rate (CAGR) of around 22%. 

Analysts expect the growth to continue in the years ahead as more people turn to weight-loss drugs. For 2026 and 2027, revenue forecasts are $88.7 billion and $102.3 billion. 

In recent years, this stock has been quite expensive, often trading with a price-to-earnings (P/E) ratio of near 50. Today though, its P/E ratio is just 24 (using next year’s earnings forecast). 

I like the stock at that earnings multiple. With revenue rising rapidly, and a number of new weight-loss products in development, I see considerable long-term potential here. 

Novo Nordisk 

Another major player in the weight-loss drug space is Danish company Novo Nordisk (NVO:NYSE). It’s the maker of Wegovy (prescribed for weight loss) and Ozempic (prescribed for Type 2 diabetes), which are based on the drug semaglutide, and can help users lose up to 15% of their body weight.  

A pioneer in weight-loss drugs, this company was previously the market leader. However, in recent years, it has been eclipsed by Eli Lilly, whose drugs have become more popular (due to their superior weight loss efficacy). 

This is reflected in its revenue trajectory. After surging from DKK 127 billion in 2020 to DKK 309 billion in 2025, revenue is expected to dip to DKK 302 billion this year. 

In other words, growth has completely stalled. That’s not ideal from an investment perspective. 

That said, this stock is very cheap today – currently it trades on a P/E ratio of just 11. It also offers a near-5% dividend. 

So, it could be worth considering as a value/income play. With the company developing a new weight-loss product called CagriSema, there’s still plenty of potential here.  

Amgen

Amgen (AMGN:NASDAQ) is a diversified biotech company that offers a range of different medicines. In the weight-loss space, it’s developing a product called MariTide, which is currently in Phase 3 trials. 

The key advantage of this treatment is a less frequent dosing schedule – users can take it monthly or quarterly. That compares to weekly injections for products like Zepbound and Wegovy. 

Note that Phase 2 data showed participants achieving up to 20% average body weight loss at 52 weeks in adults without Type 2 diabetes. So, it appears to be a competitive option in the weight-loss landscape. 

In terms of timelines, if Phase 3 trial data (expected late 2026/early 2027) continues to show positive safety and efficacy, Amgen is expected to file for FDA approval, targeting commercial availability in 2027/2028. So, we could see this product on the market soon. 

This stock looks good from a technical perspective. Right now, it’s in a strong uptrend above, and trading above both its 50-day moving average and its 200-day moving average. 

The valuation is reasonable – the P/E ratio is about 18. A dividend yield of 2.4% adds weight to the investment case. 

Viking Therapeutics 

In the small-cap space, a name that could be worth checking out is Viking Therapeutics (VKTX:NASDAQ). It’s a clinical-stage biopharmaceutical company that is developing both an injectable weight-loss solution (currently in Phase 3 trials) and an oral tablet (in Phase 2). 

These products are based on its drug VK2735. This is a dual agonist targeting both GLP-1 (glucagon-like peptide-1) and GIP (glucose-dependent insulinotropic polypeptide) receptors – the same dual-mechanism approach behind Eli Lilly’s highly successful drug tirzepatide (Zepbound/Mounjaro).

Now, this stock is far riskier than Eli Lilly, Novo Nordisk, and Amgen, because today Viking does not have any revenues or earnings. But it could be worth considering as a speculative play. 

In clinical evaluations, VK2735 demonstrated up to 22% weight reduction without reaching a clear efficacy plateau – matching/exceeding metrics set by Eli Lilly’s tirzepatide – so Viking could capture market share if it can get its products to market. Meanwhile, with a market cap of just $4.1 billion, it could be a buyout candidate.

Hims & Hers Health 

Finally, another way to play the obesity drugs theme is Hims & Hers Health (HIMS:NYSE). It's a major direct-to-consumer digital health platform that has expanded heavily into weight management.

Through its platform, users can obtain personalised weight-loss subscriptions that include access to both branded GLP-1 injections and compounded semaglutide programs alongside non-GLP-1 oral medications. So, it’s essentially a ‘picks-and-shovels’ play on weight-loss drugs – no matter who has the best products it can prosper from the growth of the industry. 

Thanks to its subscription model, this company is growing quickly. This year, its sales are projected to hit $3.2 billion, up from $872 million in 2023.

Looking ahead, management is targeting $6.5 billion in annual revenue by 2030. So, the company is clearly expecting to see strong growth in the coming years. 

On the downside, the company is not expected to be profitable this year as a push into branded GLP-1 drugs has hit margins. This lack of profitability adds risk to the investment case. 

However, with the stock trading on a price-to-sales ratio of just 2.6, I think it’s worth a look. Taking a long-term view, there appears to be quite a bit of potential.

7 of the Best Data Centre Stocks 

In the years ahead, the global data centre buildout is likely to create a lot of opportunities for investors. From semiconductor manufacturers to power providers, companies across the AI infrastructure supply chain are poised to see high demand for their products.

Looking to add some data centre stocks to your portfolio? Here are seven names that have significant potential.

Digital Realty Trust 

There are many different ways to play the data centre investment theme. One straightforward strategy is to invest in companies that are developing and operating data centre facilities. 

A popular stock here is Digital Realty Trust (DLR:NYSE). It’s a real estate investment trust (REIT) that specialises in the acquisition, development, and operation of data centres.

It has a portfolio of over 300 facilities across 30 countries. Globally, it serves over 5,000 customers including major cloud providers such as Amazon, Google, and Microsoft. 

One attraction of this stock is that its revenues are rising rapidly. This year, the company’s top line is expected to jump 16% year on year to $7.1 billion.

Another attraction is that it pays a dividend. Currently, the yield is a little under 3%. 

On the downside, building data centres requires huge amounts of capital expenditure. So, managing debt levels amid fluctuating interest rates could be a challenge.

The stock is also quite expensive. Currently, it sports a P/E of around 60, so there is some valuation risk here. 

Arista Networks 

Another strategy is to invest in networking specialists. These companies provide solutions designed to manage and optimise data transfer across data centre servers.

One of my favourite stocks in this space is Arista Networks (ANET:NYSE). It specialises in high-speed ethernet switches and cloud networking software. 

This company has a fantastic growth track record. Between FY2020 and FY2025, its revenue climbed from $2.3 billion to $9.0 billion – a compound annual growth rate (CAGR) of 31%. 

It’s also exceptionally profitable. Over the last five years, its return on capital employed (ROCE) averaged about 26%, so this is a high-quality company.

Looking at next year’s earnings forecast, the P/E ratio here is about 37. So, the stock is a little expensive at the moment.  

I don’t see this valuation as a deal-breaker though. Recently, the company raised its full-year guidance, which indicates that business performance is strong.

Eaton 

Power is also a fundamental part of the data centre supply chain. Today’s data centres require an immense amount of electricity to handle AI workloads, meaning that demand for advanced power management, grid infrastructure, and clean energy generation is rising. 

One company I like in this space is Eaton (ETN:NYSE). It specialises in transformers and switchgear, which are needed within data centres to manage high-voltage power coming directly from utility grids.

It also offers solutions in areas such as uninterruptible power supply and liquid cooling. So, overall, it’s very well placed to benefit from the data centre boom. 

Note that last quarter, its Electrical sector backlog surged 43%. So, its solutions are in high demand. 

This stock offers value at present, in my view. With analysts forecasting earnings per share of $16 for 2027, the P/E ratio is under 25. 

It’s worth noting that analysts at UBS just raised their price target here from $450 to $515. That new target is about 30% above the current share price. 

Vertiv 

Zooming in on data centre cooling, Vertiv (VRT:NYSE) is a stock to look at here. It’s widely regarded as a global leader in cooling solutions. 

This company has been growing at a prolific rate in recent years. Over the last three years, its revenue has climbed from $5.7 billion to $10.2 billion – a CAGR of 21%. 

For 2026, analysts expect revenue of $14.0 billion. That would represent year-on-year growth of 37%. 

This stock has had a big pullback recently, falling from $375 to near $240. At current levels, it looks attractive to me – the forward-looking P/E ratio using next year’s earnings forecast is now back in the mid-20s. 

Marvell 

Another big growth market within the data centre ecosystem is optical technology, or photonics. This involves using light to transfer data instead of copper. 

There are many companies that operate in this space but one that’s worth highlighting is Marvell Technology(MRVL:NASDAQ). It’s a market leader in chips that convert electrical signals from computers into light signals. 

Recently, it partnered with Nvidia to collaborate on silicon photonics technology. This saw Nvidia invest $2 billion in the company. 

Note that Nvidia CEO Jensen Huang believes that Marvell could be a trillion-dollar company one day. That suggests he sees a lot of upside as the market cap at present is approximately $200 billion. 

The forward-looking P/E ratio here is currently 34. I think that’s reasonable given the fact that revenue is forecast to rise about 45% this financial year. 

It’s worth noting that this company also produces custom chips for hyperscalers. So, it has multiple revenue drivers. 

Volex

For a UK play on data centres, check out Volex (VLX:LON). It’s a British manufacturing company that specialises in power cords and high-speed data transmission cables. 

It’s been having a lot of success in recent years thanks to its data transmission cables. Recently, it advised that for the four-month period ended 31 July, it generated 28% constant currency organic revenue growth, driven by a strong performance in its Complex Industrial Technology division. 

This stock offers a lot of value right now, in my view. Currently, it’s trading on a forward-looking P/E ratio of about 16. 

At current levels, analysts are generally bullish. Right now, the average price target is about 20% above the current share price.  

Nvidia

Finally, it’s worth mentioning Nvidia (NVDA:NASDAQ). Because its GPUs remain the gold standard for AI workloads and the company continues to capture the vast majority of high-end data centre chip spending, despite increased competition from the likes of AMD and Broadcom.  

Looking ahead, Nvidia’s new AI chip platform, Vera Rubin, could be a major growth driver. Between 2025 and 2027, the company expects to generate over $1 trillion in revenue from this platform and its previous generation chip Blackwell. 

Believe it or not, Nvidia is the cheapest stock in this list. With analysts expecting earnings per share of $15.80 next financial year, the stock’s forward-looking P/E ratio is only 14.  

I see significant value on offer at that earnings multiple and so do analysts – right now the average price target is about 50% above the current share price. I think it’s only a matter of time until this stock experiences another big rally. 

Edward Sheldon owns shares in Nvidia, Marvell, Arista Networks, Eaton, Amazon, Broadcom, and Microsoft. 

The best robotics stocks for 2026 and beyond 

Today, robotics technologies are actively reshaping entire industries. Fuelled by rapid breakthroughs in AI, chip processing, and advanced mechanics, the robotics market is evolving from basic factory automation into autonomous logistics systems, AI-powered humanoid devices, and life-saving surgical products. 

For investors, the global robotics boom could be a huge opportunity. With that in mind, here are six top robotics stocks to check out.

Tesla 

EV powerhouse Tesla (TSLA: NASDAQ) has long been a leader in the robotics field. Across its Gigafactories, advanced robotics technologies are used for heavy-duty giga-casting, high-precision automated welding, parallel modular assembly, and autonomous material transport. 

Looking ahead, Tesla has big plans on the humanoid robotics front. It has developed a humanoid called Optimus – a 173cm tall robot powered by a version of the company’s Full Self-Driving (FSD) technology – and CEO Elon Musk believes that this will be a major revenue driver for the company. 

According to Musk, Tesla possesses the three ingredients no other company has to succeed at scale when it comes to humanoid robots. These are: advanced AI technology, world-class electrical-mechanical engineering capabilities, and the ability to scale production rapidly.

In terms of production and commercialisation timelines, Tesla plans to have these robots on sale by 2027. However, this timeline should be taken with a pinch of salt, as Musk has a history of being too optimistic when it comes to timing. 

It’s worth noting that while there's a ton of potential here, Tesla is a very expensive stock. At present, it has a P/E ratio of around 210.

So, investors need to expect a high level of share price volatility. One other risk to consider is that Musk is heavily focused on SpaceX these days. 

XPeng

Another EV company that has been developing a humanoid robot in recent years is XPeng (XPEV:NYSE). It has developed a product called IRON, which features 82 degrees of freedom across its body, lifelike movement, a brain that is powered by three Turing AI chips, and an ‘Eagle Eye’ vision system – a direct adaptation of XPeng's autonomous driving technology – which uses high-resolution cameras to provide 720-degree environmental awareness. 

XPeng’s approach to robotics is similar to Tesla's – it’s aiming to leverage its experience in EVs and AI to create humanoid products that can be mass produced. CEO He Xiaopeng sees vast potential in robotics and has stated that the technology represents XPeng’s ‘third growth curve’ after EVs and eVTOL vehicles. 

Now, this humanoid could hit the market soon because on 8 September, XPeng officially commissioned its humanoid production line, manufacturing its first advanced humanoid robot. This resulted in an IRON walking off the production line autonomously.

In 2027, the company plans to begin large-scale deliveries in China and overseas to customers in the retail and service sectors. Monthly production capacity will be able to be ramped up to several thousand units in response to market demand. 

Turning to the valuation, this robotics stock is cheap. At its current market cap of $10 billion, it sports a price-to-sales ratio of just 0.9. 

On the downside, the company is not profitable at the moment. This adds risk to the investment case. 

Intuitive Surgical 

Intuitive Surgical (ISRG: NASDAQ) is the global market leader in surgical robotics. The developer of the da Vinci system, which is used in hospitals worldwide, it has a 90%+ market share for robotic surgical systems. 

This company is growing quickly. Over the last five years, its revenue has climbed from $4.3 billion to $10.0 billion – a compound annual growth rate (CAGR) of 18%. 

Looking ahead, the global surgical robots market is forecast to grow at a CAGR of around 15% between now and 2030. So, the company is well positioned to continue growing. 

One factor that is likely to boost demand for robotic surgery platforms is the world’s ageing population. This is set to lead to an increase in chronic diseases and also increase demand for procedures such as hip and knee replacements, back surgery, and cataract surgery. 

This stock has experienced a substantial pullback recently, falling from $600 to $350. Given this pullback, now could be a good time to take a closer look. 

It’s still not cheap – the P/E ratio is around 30. But the current price could prove to be a bargain in the long run. 

Rockwell Automation

For a broad play on robotics, take a look at Rockwell Automation (ROK:NYSE). A specialist in industrial automation, it provides computers used to control manufacturing processes, sensors and safety systems, human-machine interfaces, software for supervisory control, autonomous vehicles for material handling in warehouses and manufacturing plants, and more. 

This company has a solid track record. Between FY2020 and FY2025, Rockwell’s revenue climbed from $6.3 billion to $8.3 billion. 

This financial year and next, analysts expect revenue of $9.0 billion and $9.6 billion. Net income is forecast to be $1.5 billion and $1.6 billion versus $0.87 billion in FY2025. 

As for the valuation, the P/E ratio is in the high 20s at present. That seems reasonable given the profit growth and long-term tailwinds here. 

Nvidia

Another ‘picks-and-shovels’ play on the robotics industry worth considering is Nvidia (NVDA:NASDAQ). Not only is it producing chips for robotics but it is also building out an ecosystem designed to accelerate every stage of a robot's journey – from design to deployment.

One of Nvidia’s key robotic products is Jetson Thor – a high-performance platform designed to be the ‘brain’ for next-generation robotics and physical AI applications. This is currently used by the likes of Boston Dynamics and Agility Robotics. 

Another important product is its Isaac GR00T blueprint for synthetic motion generation, which is designed to help developers generate synthetic motion data to train humanoid robots using imitation learning. With these kinds of products, Nvidia is positioning itself as an indispensable platform provider for the industry. 

Today, Nvidia stock looks cheap. With analysts expecting earnings per share of $15.80 next financial year, the forward-looking P/E ratio is only 14. 

That P/E ratio strikes me as a bargain. I think a lot of investors are missing the opportunity here. 

Hesai Technology

Finally, for a more speculative ‘wildcard’ play on robotics, check out Hesai Technology (HSAI:NASDAQ). It’s a global leader in LiDAR technology (LiDAR emits laser pulses to create a precise, high-resolution 3D map of the environment and enable real-time obstacle detection and avoidance). 

Hesai holds the largest number of published patent applications for LiDAR technology globally and has a long track record working with automotive companies. As a result, it looks very well positioned to benefit from the robotics boom.

Already, it has active, strategic partnerships across the entire robotics ecosystem. Companies it has partnered with include Nvidia, ROBOTERA, Vbot, Manycore Tech, and Horizon Robotics (Q2 2026 robotics LiDAR shipments were 142,371 units, representing an increase of 193% year on year).

Now, this stock is the riskiest of the bunch by a wide margin. However, with its market cap sitting at less than $3 billion today, there is a lot of potential. 

5 of the Best Cybersecurity Stocks for 2026 and Beyond 

Cybersecurity is an area of technology that no company can afford to ignore today. With AI fuelling increasingly sophisticated cyberattacks, organisations need to ensure that they are fully protected.  

Looking for cybersecurity stocks to buy and hold for the long term? Here are five names to check out.

CrowdStrike 

It’s hard to talk about cybersecurity stocks and not mention CrowdStrike (CRWD:NASDAQ). Widely regarded as the leader in the industry, it offers an advanced cybersecurity platform designed to protect endpoints (e.g. laptops and smartphones), cloud workloads, identities, and data. 

This company has generated impressive growth in recent years. Over the last five years, its revenue has climbed from $874 million to $4.8 billion – a compound annual growth rate (CAGR) of about 40%. 

One reason it has had so much success is that it offers a cloud-native platform that uses AI to defend against threats. It also benefits from a ‘network effect’ whereby the more customers it signs, the stronger its offering becomes. 

It’s worth noting that recent fiscal Q2 earnings, posted in late August, showed an acceleration in growth. On the back of this growth, the company raised its full-year revenue guidance to $5.99 billion to $6.01 billion. 

A drawback of this stock is its valuation. Currently, it sports a P/E ratio of around 160 meaning that there’s no room for a slowdown or operational setback. 

In the years ahead, however, the company is likely to grow into this valuation. In its recent Q2 results, it noted that securing AI represents the largest market opportunity in its history. 

Palo Alto Networks

Another powerhouse in the industry is Palo Alto Networks (PANW:NASDAQ). Founded in 2005, it has been protecting organisations from cyberthreats for over two decades now. 

In recent years, this company has pivoted to a ‘platformization’ model, offering comprehensive protection to its customers via several different platforms (instead of providing individual solutions). This is generating strong growth – its most recent earnings showed that ‘Next-Generation Security’ annual recurring revenue (ARR) grew 63% year over year to $9.10 billion. 

It has also made a number of strategic acquisitions including those of CyberArk, Chronosphere, and Console. These have enhanced its offering significantly, giving it exposure to identity security, cloud observability, and AI automation. 

Looking ahead, the company is targeting $15 billion in Next-Generation Security ARR by 2030. So, it is clearly expecting demand for its solutions to remain high. 

This stock is also quite expensive. Currently, it sports a P/E ratio of around 80. 

That valuation adds risks to the investment case. However, I don’t see it as a deal-breaker given the long-term growth potential here. 

Fortinet 

Next up, we have Fortinet (FTNT:NASDAQ). Another well-established cybersecurity company that has been around for decades, it has more than a million customers worldwide. 

Fortinet has a portfolio of over 50 enterprise-grade cybersecurity products – the largest integrated offering available. Its offering is based on the ‘Fortinet Security Fabric’, which aims to connect and unify various security components for better visibility and control.   

One thing to like about this company from an investment perspective is that it’s very profitable. Over the last five years, it has averaged a return on capital employed (ROCE) of around 30%, which is far higher than the ROCE most cybersecurity companies have generated. 

Another thing to like is that its valuation is a lot lower than those of some of its peers. Currently, the stock can be snapped up on a P/E ratio of around 45. 

On the downside, Fortinet is not growing as fast as some of its rivals. Growth has still been very strong in recent years, however. 

Between 2020 and 2025, revenue climbed from $2.59 billion to $5.96 billion. That represents a CAGR of about 18%.  

Zscaler 

A smaller cybersecurity company that could be worth a look is Zscaler (ZS:NASDAQ). It is currently trading on a P/E ratio of about 42. 

It offers an advanced cybersecurity platform – known as the Zscaler Zero Trust Exchange – designed to securely connect individual users, devices, and applications. Today, it serves over 7,500 customers, including 30% of the Forbes Global 2000. 

Zscaler has generated prolific top-line growth in recent years. Between 2020 and 2025 revenue climbed from $431 million to $2.67 billion – a CAGR of 44%. 

This year, revenue is expected to top $3.3 billion. Meanwhile, analysts expect the company to deliver its first full year of profitability. 

One attraction of this cybersecurity stock is that it’s currently well off its highs. Unlike the likes of CrowdStrike and Palo Alto Networks, it hasn’t seen a wave of buying activity recently so there’s room for buyers to come in. 

On a negative note, the company doesn’t offer as many cybersecurity solutions as its larger rivals do. This has impacted sentiment towards the stock recently – some investors believe that the company is going to be left behind. 

Okta 

Finally, we have Okta (OKTA:NASDAQ). It’s a smaller cybersecurity company that specialises in identity management and looks well placed for success in an era of AI agents within the enterprise. 

The reason I’ve highlighted this stock is that I see it as a prime takeover target. In the years ahead, we’re likely to see further consolidation within the cybersecurity industry, and Okta – with its trusted identity management offering – could be a good fit for some of the larger players.

I also like the fact that the company recently raised its guidance for 2026. This led to numerous analysts raising their price targets for the stock. 

A risk here is competition from larger rivals such as Microsoft. However, the company has a strong reputation, and if it can up-sell other cybersecurity products and drive multi-product adoption, it should continue to grow.  

Edward Sheldon has positions in CrowdStrike, Palo Alto Networks, Zscaler, and Microsoft. 

My pick of the best copper stocks 

While gold has dominated headlines in recent years, another commodity has quietly been powering higher and that’s copper. Fuelled by high demand from the data centre, electric vehicle, and renewable energy industries – and persistent supply shortages – it has soared to new all-time highs. 

Interested in adding copper stocks to your portfolio? Here are six names to check out. 

Freeport-McMoRan

If you’re looking for a large-cap, pure-play copper stock it’s hard to look past Freeport-McMoRan (FCX:NYSE). Listed on the New York Stock Exchange, it’s the largest publicly-traded copper producer globally. 

It has copper mines in the US, South America, and Indonesia. In 2025, it produced 3.4 billion pounds of copper – enough to wire roughly 10 million US homes. 

The technicals here look great. At present, the stock is in a strong upward trend.

It has also recently broken out to new all-time highs. A driver here is profit growth – this year net profit is projected to rise around 100%. 

On the downside, the valuation is a little on the high side. Right now, the P/E ratio is 27. 

The dividend yield is also a little underwhelming at 0.75%. If one is seeking income, it’s possible to find copper stocks with higher yields than that. 

Antofagasta

In the UK market, a large-cap copper stock that could be worth a look is Antofagasta (ANTO:LON). Sporting a market cap of around £40 billion, it’s a member of the FTSE 100 index. 

It operates world-class copper mines in Chile including the Los Pelambres and Centinela mines. In 2025, it produced about 1.4 billion pounds – enough to wire millions of electric vehicles or construct thousands of industrial-scale wind turbines. 

This is another stock that is trending up. With net profit expected to rise 40% this year, investors are buying aggressively at present.  

Like Freeport-McMoRan, it has a lofty valuation – the P/E ratio is about 29. Yet if copper prices continue to rise, it should do well as operational leverage will lead to higher profits. 

Glencore 

Also in the FTSE 100, we have Glencore (GLEN:LON). Boasting operations in Africa, South America, and Australia, it’s one of the world’s largest producers of copper.

It’s not just a copper producer though. It also sports a massive global commodity trading arm meaning that it has multiple ways to generate revenue. 

One attraction of this stock is that it’s far cheaper than the likes of Freeport-McMoRan and Antofagasta. Currently, it’s trading on a P/E ratio of 14. 

Another attraction is the dividend yield. This currently stands at about 3% so there’s a decent amount of income on offer. 

On the downside, profits here can be very up and down. This can lead to huge swings in the share price. 

Over the last decade, this copper stock has been very turbulent. So, it’s not one for those seeking stability. 

BHP Group

One other large-cap copper company worth mentioning is BHP Group (BHP:LON). It’s a diversified miner; however, it’s one of the world's largest copper producers by volume.

It mines copper primarily in Chile, Australia, and Peru. Chile accounts for most of the production – here it owns the Escondida mine which is the largest copper mine in the world. 

At present, this stock has a P/E ratio of about 19. Therefore, it’s a bit cheaper than some of the large-cap copper stocks listed here. 

The dividend yield is around 3%. So, there’s income on offer. 

As for the technicals, they look good. The stock is trending up and making new all-time highs. 

It’s worth noting that the stock has had a huge run over the last year though, rising 75%. After that kind of gain, some profit taking is a possibility. 

Atalaya Mining 

Those interested in investing in small-cap copper stocks may want to check out Atalaya Mining (ATYM:LON). It’s a UK-listed copper producer that operates in southwest Spain.  

One attraction of this stock is that there’s a lower level political/geopolitical risk compared to many other small-cap copper stocks. This is due to the fact that it operates in a developed country. 

Another attraction is the valuation. Today, the stock looks very cheap on a P/E ratio of 10. 

It’s worth noting that earnings are projected to rise about 95% this year. That gives us a price-to-earnings-to-growth (PEG) ratio of just 0.1, which signals that there is a lot of value on offer here right now. 

Mueller Industries

Finally, those looking for a unique play on copper may want to consider Mueller Industries (MLI:NYSE). It’s not a miner; instead, it’s a downstream fabricator and manufacturer. 

Mueller takes raw copper and turns it into copper tubing, fittings, valves, line sets, and climate control components. Given this business model, the company looks well positioned to benefit from rising demand for copper across industries such as data centres, air conditioning, and refrigeration.   

This company has a really strong growth track record. Helped by acquisitions, its revenues have climbed from $2.4 billion to $4.2 billion over the last five years.  

It also has a strong balance sheet, rising dividends, and share buybacks. So, the financials look strong. 

As for the valuation, it’s very reasonable. At present, the P/E ratio is only 15. 

Overall, I see it as a compelling long-term play on copper. In my view, the stock represents a good way to get exposure to rising copper demand without being exposed to the many challenges that miners can face. 

Edward Sheldon has positions in Mueller Industries

Best Gold Stocks

Gold mining stocks have generally been very good investments in recent years. As the price of gold has climbed, miners have seen their profits – and share prices – surge. 

Interested in buying some gold stocks for your Stocks and Shares ISA or SIPP? Here are six names to check out. 

Newmont Corp 

First up, we have Newmont Corporation (NEM:NYSE), a blue-chip, large-cap gold miner that’s listed in the US. Operating mines across North America, South America, Australia, Africa, and the Pacific, it’s the largest gold miner in the world. 

In 2025, Newmont produced a total of 5.9 million ounces of gold (along with 28 million ounces of silver and 135 thousand tonnes of copper). Gold by-product all in sustaining costs (AISC) for the period were $1,358 per ounce. 

This led to adjusted net income (ANI) of $7.6 billion or $6.89 per diluted share for the year. That compares to $3.9 billion and $3.48 for 2024. 

On the back of this jump in profits, Newmont returned $3.4 billion to shareholders through dividend payments and share buybacks. It also reduced its debt by $3.4 billion, ending the year with a net cash position of $2.1 billion. 

At present, Newmont shares look attractively valued. With analysts forecasting earnings per share of around $9.30 for 2026, the forward-looking P/E ratio is only 11. 

On the downside, the dividend yield is quite small at around 1%. That’s a lot lower than the yields on some other gold mining stocks. 

Endeavour Mining 

In the FTSE 100 index, there are a few companies that offer exposure to the gold theme. Perhaps the best – and most direct – play on the precious metal however is Endeavour Mining (EDV:LON). 

It’s a pure-play gold miner that operates in West Africa. In 2025, it produced 1,209,000 ounces of gold at an AISC of $1,433/oz. 

As the gold price has climbed, this company’s profits have exploded. In 2025, adjusted net earnings for the year came in at $782 million, or $3.23 per share, versus $227 million, or $0.93 per share, a year earlier. 

Free cash flow has also risen significantly. This has enabled the company to pay down its debt. 

This stock looks quite cheap right now. With analysts expecting earnings per share of $6.12 for 2026, the P/E ratio is only about nine. 

The yield is about 3.4%. So, there’s a decent amount of income on offer. 

Hochschild Mining

In the FTSE 250 index, one stock worth checking out is Hochschild Mining (HOC:LON). It mines gold (and silver) in a range of countries including Brazil, Argentina, and Peru.

Hochschild’s operating costs are a bit higher than those of some of its peers. For 2025, AISC were $2,138. 

However, the company is still making a huge amount of money at current gold prices. In 2025, it mined 255,600 ounces of the precious metal which led to profit from continuing operations of $201 million, an increase of 50% year on year. 

At present, this stock is trading on a P/E ratio of 8.7 and offering a dividend yield of about 1.6%, so there appears to be value on offer. Note that the average analyst price target is about £7, so analysts see upside potential of almost 30%. 

Pan African Resources

Another FTSE 250 gold miner that’s worth a look is Pan African Resources (PAF:LON). It’s a mid-tier miner that operates in Africa. 

For the year ended 30 June 2026, it produced approximately 275,000 ounces of gold. All-in sustaining cost (AISC) guidance was $1,870/oz. 

This is another gold stock that looks undervalued at present. Currently, it trades on a P/E of just eight. 

The average analyst price target is £1.74. That’s about 60% above the current share price. 

It’s worth noting that dividends are rising rapidly here. Between FY2023 and FY2025, the payout jumped from $0.97 to $2.25. 

For the financial year recently ended, analysts expect a payout of $5.02. That translates to a yield of around 3.4%. 

Caledonia Mining

On the AIM market, we have Caledonia Mining (CMCL:LON). It’s a smaller gold miner that’s focused on production and exploration in Zimbabwe. 

For 2025, its total gold sales were 79,075 ounces. This resulted in revenue of $267.7 million versus $183 million a year earlier. 

Profit after tax for 2025 was $67.5 million, compared with $23.1 million in FY2024, illustrating the high degree of operating leverage this company has. AISC averaged $1,952/oz sold, based on the 79,075 ounces sold. 

This stock looks great value at the moment – its P/E ratio is only seven. The average analyst price target is £32 which is miles above the current share price. 

Serabi Gold 

Finally, we have Serabi Gold (SRB:LON). It’s a small miner that operates in northern Brazil. 

In 2025, production here amounted to 44,169 ounces (2024: 37,520 ounces) at an AISC of $1,816 per ounce. This resulted in revenue of $155.8 million (2024: $94.5 million).  

Post-tax profit for the year was $53.9 million. This represented a 94% increase year on year. 

On the back of this performance, the company announced an inaugural annual dividend payment of 5p per share. Looking ahead, management is planning to return 20-30% of the group’s free cash flow to shareholders through dividends or buybacks so dividend payments could increase significantly. 

This gold stock is the cheapest of the bunch. Currently, it trades on a P/E ratio of just three. 

At that earnings multiple, there’s definitely scope for a valuation re-rating. The average analyst price target is £4.60 – about 55% above the current share price. 

Best Uranium Stocks 

Uranium stocks have come into focus in recent years amid the renaissance of the nuclear energy industry. Because nuclear reactors rely on uranium for fuel, companies involved in the mining and processing of the commodity have become hot property from an investment standpoint.  

Looking to buy some uranium stocks for your Stocks and Shares ISA or SIPP to capitalise on the nuclear energy theme? Here are some of your options. 

Cameco Corporation

Listed in the US, Cameco Corporation (CCJ:NYSE) is one of the world’s largest publicly-traded uranium producers. It owns stakes in two of the world's highest-grade deposits, Cigar Lake and McArthur River in Canada's Athabasca Basin, and also has operations in Kazakhstan. 

In 2025, it produced a total of 21 million pounds of uranium. Only one company globally produced more. 

Beyond mining, Cameco operates processing facilities in Ontario, Canada. Here, it is engaged in refining, conversion, and fuel fabrication. 

It also has a near-50% stake in nuclear reactor service giant Westinghouse. So, it’s a fully-integrated full nuclear fuel cycle play rather than just a uranium miner, offering investors exposure to the entire nuclear value chain. 

One thing to like about this uranium stock is that the company is profitable. In 2025, it generated a net profit of CAD $590 million. 

On the downside, it’s expensive today. Currently, the stock is trading on a P/E ratio of about 90, which adds risk to the investment case. 

Kazatomprom 

The only company to produce more uranium than Cameco in 2025 was Natsionalnaya Atomnaya Kompaniya Kazatomprom AO or Kazatomprom (KAP:LON) for short. It’s a Kazakhstan-based uranium miner that’s listed on the London Stock Exchange. 

In 2025, it produced about 35 million pounds of uranium. This represented around 20% of global primary output. 

Kazatomprom’s mining operations consist of 27 deposits, grouped into 14 active mining assets. Notably, it does not operate traditional underground or open-pit mines; instead it uses in-situ recovery (ISR) technology to extract uranium. 

This involves pumping a mild acid leaching solution down injection wells into porous sandstone deposits, dissolving the uranium underground, and pumping the solution back to surface processing facilities. Note that because ISR eliminates heavy ore excavation and haulage, Kazatomprom operates in the first quartile of the global cost curve. 

Now, unlike Cameco, this stock has a relatively low valuation. At present, the P/E ratio is only 14. 

However, risk levels are still quite high. This is due to the fact that the company operates within close proximity to Russia.  

Yellow Cake

Another uranium company on the London Stock Exchange is Yellow Cake (YCA:LON). It’s listed on the Alternative Investment Market (AIM). 

Yellow Cake isn’t a uranium mining company. Instead, it offers investors direct exposure to the uranium market through a physical holding of uranium oxide concentrate (U3O8).

Currently, it holds around 24.4 million pounds of uranium oxide concentrate. That’s equivalent to roughly 14% of global uranium production in 2025. 

The advantage of this business model is that Yellow Cake doesn’t face the risks that come with exploring for uranium and building and operating a mine. At the same time, it can benefit from any increases in the price of the commodity.

This stock could be well suited to those who are bullish on the price of uranium. If uranium prices rise, its value should increase. 

Of course, the risk is that uranium prices fall from here. This scenario would result in the company being worth less and its share price falling.  

Uranium Energy Corp

Those seeking a higher risk/higher reward play on uranium may wish to take a look at Uranium Energy Corp (UEC:NYSE). It’s a fast-growing uranium mining company that has operations in the US, Canada, and Paraguay. 

Like Kazatomprom, it uses ISR mining technology rather than conventional open-pit or underground mining. This significantly lowers its costs. 

One attraction of this company is that it’s US-based. As the US government pushes to revitalise domestic nuclear power, it could stand to gain preferential purchasing consideration.

On the downside, it’s not yet profitable. So, it’s hard to value accurately.

Neo Energy Metals

Another higher risk/higher reward uranium stock is Neo Energy Metals (NEO:LON). It’s a UK-listed company that’s focused on uranium mining in South Africa. 

It’s the smallest company on this list by a wide margin. Currently, its market cap is only around £24 million. 

Today, Neo Energy Metal’s projects are still in the early stages of development. So, the company is not generating any revenues or profits yet. 

However, it is targeting production in 2027. So, it could be worth keeping an eye on.  

Sprott Physical Uranium Trust 

Finally, another option to consider for uranium exposure is the Sprott Physical Uranium Trust (PHYS.U). This is a physical uranium fund that invests in uranium in the form of U3O8. 

Its aim is to provide investors with a liquid and convenient way to own physical uranium. It’s currently the largest physical uranium fund in the world with over $7 billion in assets under management. 

This fund is available on several platforms in the UK including Hargreaves Lansdown, AJ Bell, and IG. Its management expense ratio is 0.68%. 

If uranium prices rise from here, it should do well. However, if prices fall, it’s likely to underperform. 

Best Nuclear Energy Stocks

Across the world today, governments and businesses are embracing nuclear power in an effort to secure clean, reliable energy. As a result, nuclear energy stocks are coming into focus. 

Interested in adding some nuclear energy stocks to your Stocks and Shares ISA or SIPP? Here are five names to check out. 

Constellation Energy 

Constellation Energy Corp (CEG:NASDAQ) is the largest operator of nuclear power plants in the US today. Currently, it has a portfolio of 21 nuclear reactors across 12 facilities, generating over 22,000 megawatts (MW) of clean capacity.

Its nuclear fleet produces enough energy to power the equivalent of 15 million homes. So, the company is playing a key role in America’s transition to clean energy. 

One thing to like about this company from an investment perspective is that it’s well established and profitable, with a solid track record of growth. So, it’s not as speculative as some other nuclear energy stocks. 

Another is that it is signing long-term nuclear deals with Big Tech firms. For example, in 2024, it agreed to supply Microsoft with 100% of the energy produced from the Three Mile Island Unit 1 in Pennsylvania for 20 years.

Additionally, it is moving into the Small Modular Reactor (SMR) space. Here, it is a minority shareholder in Rolls-Royce SMR Ltd and it is partnering with the company to support the development and deployment of its SMRs both in the UK and internationally. 

It’s worth noting that Constellation Energy’s share price has come down significantly this year and as a result, its P/E ratio has fallen to about 22. At that earnings multiple, the stock looks attractive from a risk/reward perspective. 

Vistra Corp

Another major player in the US nuclear energy industry is Vistra Corp (VST:NYSE). Thanks to its recent acquisition of Energy Harbor, it has the second-largest competitive nuclear fleet in the US, delivering roughly 6,400 MW of zero-carbon capacity across four major plants.

Like Constellation, this company is well established and profitable. This year, net income is forecast to hit $3.1 billion. 

It also has long-term agreements with hyperscalers. Recently, it has signed 20-year contracts with Amazon Web Services and Meta to supply dedicated, clean energy for data centres and AI workloads. 

This stock currently sports a P/E ratio of around 16 so it’s one of the cheaper nuclear energy stocks in the market. The average analyst price target is $217, which is about 50% above the current share price. 

Rolls-Royce Holdings 

Rolls-Royce Holdings (RR:LON) offers a unique proposition in the nuclear energy space. It offers access to the theme via two distinct, high-barrier pillars: defence nuclear propulsion and civil SMRs.

On the defence side, Rolls-Royce has supplied the UK Royal Navy’s submarine fleet for over 60 years. Here, it has long-term, inflation-indexed government contracts with high visibility and minimal default risk, anchoring the company's broader defence cash flows.

Meanwhile, on the SMR side – where it operates via Rolls-Royce SMR Ltd – the company is quickly developing a reputation as a global leader in the technology. Note that recently, it was selected in the Great British Nuclear (GBN) competition to build Britain's next-generation SMR fleet.

A downside to this stock is that it’s expensive – the P/E ratio is in the high 30s. However, the company has continually raised its guidance in recent years so the high earnings multiple could be justified. 

BWX Technologies 

Those looking for a ‘picks-and-shovels’ play on the nuclear energy theme may want to check out BWX Technologies (BWXT:NASDAQ). It manufactures components for nuclear energy systems. 

BWX’s operations are divided into two main segments: government operations and commercial operations. On the government side, it is a critical supplier to the US government, and is the sole manufacturer of naval nuclear reactors and components for the US Navy. 

On the commercial side, the company serves as a key manufacturing partner for SMR designs. For example, it recently signed a multi-million-pound detailed design contract with Rolls-Royce SMR to design the nuclear steam generators for its SMRs. 

This is another stock that is a little bit expensive – the P/E ratio is in the 30s. It should be able to grow into this valuation in the years ahead, however. 

NuScale Power 

Finally, for a more speculative, high-risk/high-reward nuclear energy stock, take a look at NuScale Power (SMR:NYSE). A Small Modular Reactor specialist, it recently achieved a major milestone by becoming the first company to have an SMR design approved by the US Nuclear Regulatory Commission (NRC).

NuScale’s flagship nuclear product is the VOYGR power plant. This houses NuScale Power Modules (NPMs) – which are SMRs designed to supply energy for electricity generation, heating, desalination, and commercial-scale hydrogen production – and can be scaled to suit customer needs.

Today, this technology is well advanced. As a result, the company is now actively working on winning commercial projects across the domestic utility and technology sectors. 

Now, while this company is projected to see strong revenue growth in the years ahead, it is not profitable meaning that it is a risky investment. Given the risk levels, investors should ensure that they size positions carefully with this nuclear energy stock.