3 FTSE Shares Hitting New Highs

LONDON -- The FTSE 100 (INDEX: ^FTSE  ) is tentatively on the march today, edging to 5,818 at the time of writing. It's nudging ever closer to its 52-week high of 5,989 points -- how soon will it make it?

If bullishness in the general markets still looks a little cautious, investors are still pushing individual shares up to new highs every day. Here are three from the FTSE indexes that are scaling fresh heights today:

Dixons (LSE: DXNS.L  )
Dixons Retail is still powering on, hitting a new high of 21.9 pence in what is one of the best retail recoveries of recent years. The shares have more than doubled from their 52-week low of 9.1 pence.

City sentiment toward the share has improved, too, with forecasts suggesting earnings-per-share growth of around 25% this year, with close to 40% penciled in for next. There's little in the way of dividends expected yet, but with a PEG ratio of 0.6 for the year to April 2013, falling to 0.3 for 2014, the share is pretty much valued as a bet on fairly priced growth.

Sainsbury (LSE: SBRY.L  )
Supermarket J Sainsbury has had a cracking few months and has gained around 25% since June to hit a new peak of 357 pence. That would be a good ride for a small-cap growth share, but it's remarkable for a 7 billion pound FTSE 100 company!

Forecasts look pretty good, too, and even after the price rise, the forecast full-year dividend stands at 4.7%. Meanwhile, the P/E ratio looks to be 12.

It's interesting to compare Sainsbury with Tesco, which offers a similar yield of 4.8% with the shares on an even lower P/E of 9.5, but Tesco's shares are still languishing after their January slump.

If you want companies paying decent dividends like these two supermarkets, the Motley Fool report "8 Shares Held By Britain's Super Investor," which looks at the holdings of ace dividend investor Neil Woodford, is well worth a read. Click here to get your free copy while it's still available.

Prudential (LSE: PRU.L  )
Prudential is also nudging its 52-week high, reaching 855 pence today for a rise of about 50% from its low point back in December. It really shows how much the financial sector is back in favor, with forecasters expecting a dividend of over 3% for the full year, rising to about 3.5% for 2013 -- and the payout should be very well-covered.

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Alan Oscroft does not own any shares mentioned in this article. The Motley Fool owns shares in Tesco. The Motley Fool has a disclosure policy. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors.


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