The UK’s mid-cap FTSE 250 index can be a great place to find compelling investment opportunities. In this index, there are a lot of under-the-radar companies that offer growth at a reasonable price. Looking for the best FTSE 250 stocks to buy for 2025? Here are three names to check out.
Computacenter
First up, we have Computacenter (CCC:LON). It’s a leading provider of IT infrastructure solutions. I see this FTSE 250 stock as a good play on the technology revolution. As businesses move to take advantage of technologies such as cloud computing, data analytics, artificial intelligence (AI), and cybersecurity, it should benefit.
To my mind, there’s a lot of value on offer here as we start 2025. Currently, CCC trades on a forward-looking price-to-earnings (P/E) ratio of just 11. Given that revenue and earnings per share (EPS) are forecast to grow 5% and 10% respectively this year, and that there’s plenty of long-term growth potential, I think that’s an attractive valuation. The dividend yield of 3.6% also stands out as attractive.
It’s worth noting that analysts at JP Morgan have a price target of 2,900p for this stock. That’s about 42% above the current share price. There are no guarantees it will hit this level, of course. But I believe it’s an achievable share price in the years ahead.
IG Group
Another FTSE 250 stock that’s worth a look for 2025 is IG Group (IGG:LON). It operates one of the UK’s most popular financial trading platforms. I suspect we will see some volatility in the world’s financial markets this year. If we do, this company should benefit.
This is another stock that appears to offer considerable value right now. Currently, it trades on a P/E ratio of 9.7 and offers a dividend yield of about 4.9%. And recently, the company has been buying back its own shares. This could lead to share price upside over time as earnings per share are boosted.
It’s worth noting that IG Group shares also look interesting from a technical perspective. Currently, they are in a strong uptrend and in recent weeks they have broken out to new all-time highs. This share price momentum is very encouraging, in my view, especially given the fact that the UK market has been weak. That said, trends can sometimes come to an end abruptly.
Worldwide Healthcare Trust
Finally, I want to highlight an investment trust that’s in the FTSE 250 and that’s the Worldwide Healthcare Trust (WWH:LON). As its name suggests, this trust focuses on the Healthcare sector. Globally diversified, it provides exposure to a range of top healthcare companies including the likes of Eli Lilly, Novo Nordisk, Intuitive Surgical, and AstraZeneca. Overall, there are more than 50 healthcare companies in the portfolio.
One reason I’m bullish here is that the Healthcare sector had a weak year in 2024. I wouldn’t be surprised to see the sector rebound in 2025. General economic uncertainty could help. Healthcare is a relatively defensive sector and it often outperforms during periods of uncertainty.
I also like the fact that it provides exposure to innovative companies that are generating strong growth. Today, Eli Lilly and Novo Nordisk are both having a lot of success with their GLP-1 weight-loss drugs. Meanwhile, Intuitive Surgical is having success with its Da Vinci robotic surgery platform. Overall, there’s a lot of innovation going on within the Healthcare sector at present.
It’s worth pointing out that this trust has an ongoing fee of 0.9%. That is relatively high for an investment trust. The good news, however, is that the trust currently trades at a substantial discount to its net asset value (NAV). So, investors are potentially getting a bargain.
Edward Sheldon owns shares in Novo Nordisk
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Based in London, Edward is a distinguished investment writer with an extensive client portfolio comprising a diverse array of prominent financial services firms across the globe. With over 15 years of hands-on experience in private wealth management and institutional asset management, both in the UK and Australia, he possesses a profound understanding of the finance industry.
Before establishing himself as a writer, Edward earned a Commerce degree from the prestigious University of Melbourne. Complementing his academic background, he holds the esteemed Investment Management Certificate (IMC) and is a proud holder of the Chartered Financial Analyst (CFA) qualification.
Widely recognized as a sought-after investment expert, Edward’s insightful perspectives and analyses have been featured on sites such as BlackRock, Credit Suisse, WisdomTree, Motley Fool, eToro, and CMC Markets, among others.
You can contact Ed at edward@goodmoneyguide.com