3 FTSE 100 Shares for the Week Ahead

LONDON -- We're moving toward the end of December 2012 reporting season, but next week will be full of company news. It's mostly results from smaller companies, but we do have a few FTSE 100 firms due to report. And we'll have some interim updates creeping in, too.

Here are three FTSE 100 companies set to bring us news during the week ahead.

J Sainsbury (LSE: SBRY  ) (NASDAQOTH: JSAIY  )
J Sainsbury will release a fourth-quarter trading statement on Tuesday ahead of full-year results due on May 8. Sainsbury's shares had a strong second half last year, gaining more than 25% between June and October to reach 360 pence. But the price has stagnated since then, closing at 354 pence yesterday -- but that's still more than 15% up on the year.

Sainsbury's has been steadily growing earnings and dividends right through the recession. The City expects earnings to grow a further 5% this year, and the dividend yield is currently just under the 5% mark. And further growth looks likely after the company's third-quarter update in January told us of a 3.9% rise in total sales, with like-for-like sales up 1.5%. And the Christmas trading period was a record one, helping Sainsbury's to its 32nd consecutive quarter of like-for-like growth.

Eurasian Natural Resources (LSE: ENRC  )
Wednesday will bring us full-year results from Eurasian Natural Resources. The shares have slumped by 50% over the past 12 months -- but they have been lower, having recovered more than 25% since the start of the year to 343 pence.

The miner, specializing in iron and ferrous alloys, has been plagued with rising operational costs, falling prices, and rising debt. But there were bright points in February's fourth-quarter production report, with ferrochrome output up by 6.8%. Iron ore production was up a similar 6.8%, with total salable iron ore product up 11.3%.

Full-year forecasts do suggest a tough year for earnings, with a fall of 70% expected. But even that still puts the shares on a P/E of 11.5, with forecasts of recovering earnings for the next two years pushing the rating down. When we receive the results, many will be looking for the 2013 outlook.

Smiths Group (LSE: SMIN  )
On Wednesday we'll also have interim results from Smiths Group. Shares in the industrial engineer took off in November and have since climbed nearly 30% to 1,308 pence after the last interim update told us that underlying revenue was up across all of the firm's divisions and that headline operating profit was ahead of the previous year's. With the divisions covering the oil, gas, medical, and military markets, an economic upturn should serve the group well.

Smiths didn't really suffer during the recession, with only a minor earnings blip in 2009. The dividend held up, too. For the year ending July 2013, forecasts suggest a 3% rise in earnings per share, with a further 7% indicated for 2014. That puts the shares on a P/E of approximately 14 for this year, dropping to 13 for 2014. The dividend is expected to keep on rising, too, up about 5% this year and 6% next for respective yields of 3% and 3.2%.

Dividends can add nicely to your investment returns -- they can be spent or reinvested, according to your needs. Whether you're investing for income or growth, good old cash is always welcome. And that's why I recommend the brand-new Fool report "The Motley Fool's Top Income Share For 2013," in which our top analysts identify a share they believe will provide handsome dividend income for years to come. But the report will be available for a limited period only, so click here to get your copy today.


Read/Post Comments (0) | Recommend This Article (0)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

DocumentId: 2312373, ~/Articles/ArticleHandler.aspx, 4/24/2014 2:30:37 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated 5 hours ago Sponsored by:
DOW 16,501.65 -12.72 -0.08%
S&P 500 1,875.39 -4.16 -0.22%
NASD 4,126.97 0.00 0.00%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

12/31/1969 7:00 PM
ENRC $0.00 Down +0.00 +0.00%
Eurasian Natural R… CAPS Rating: No stars
SBRY $318.68 Down -1.82 -0.57%
Sainsbury (J) CAPS Rating: No stars
SMIN $1268.00 Down +0.00 +0.00%
Smiths Group CAPS Rating: No stars
JSAIY $21.64 Down -0.13 -0.60%
J Sainsbury plc (A… CAPS Rating: No stars

Advertisement