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I usually purchase shares with a view to holding them for a decade, or extra. Listed below are two FTSE 100 shares I plan to carry in my portfolio for the following 25 years, at the least.
Barratt Redrow
Housebuilders like Barratt Redrow (LSE:BTRW) stay largely out of vogue with buyers as we speak. Justifiable fears over price inflation and future rates of interest weighed closely on the sector within the remaining months of 2024 and nonetheless do.
But I’ve clung on to my Barratt shares and plan to proceed holding them for the lengthy haul. Following its merger with Redrow final yr, it’s by far the UK’s largest builder by quantity. And it has plans to supercharge manufacturing to reap the benefits of the market upturn when it comes.
It intends to ramp house completions as much as 22,000 a yr over the medium time period, the agency introduced at autumn’s AGM. That’s up from the deliberate 16,600-17,200 properties it expects for the present monetary yr (ending June).
After home costs moved again into development final yr, trade consultants are largely assured of a sustained market restoration. Property agent Hamptons, as an example, expects common home worth development of three% this yr, accelerating to three.5% for 2026 and remaining sturdy at 2.5% the next yr.
Pushed by speedy inhabitants development, I’m anticipating home costs to take care of their regular climb by the approaching many years. And I consider Barratt Redrow, which can also be set to profit from substantial post-merger revenues and value synergies, is within the field seat to capitalise on this.
Coca-Cola HBC
Coca-Cola Hellenic Bottling Firm (LSE:CCH) affords a scrumptious mix of development potential and enduring resilience that I couldn’t resist.
As its identify suggests, the FTSE 100 agency bottles and sells among the world’s largest drinks manufacturers. Alongside Coke, it produces different heavyweight names like Sprite, Fanta and Monster Vitality.
This gives me as an investor with glorious peace of thoughts. These labels stay in excessive demand in any respect factors of the financial cycle, reflecting their repute for high quality and fashionability. Such qualities additionally permit Coca-Cola HBC to boost costs with out struggling a painful drop in volumes, permitting the agency to develop earnings over time.
Its resilience was demonstrated in November’s most up-to-date buying and selling assertion, which confirmed natural revenues up 13.9% within the third quarter and natural income per case up 9.5%. This was regardless of the robust financial circumstances and inflationary pressures in quite a few markets.
But, as I say, resilience isn’t Coca-Cola HBC’s solely engaging attribute. It additionally has distinctive development potential, because of its vast geographic footprint that additionally straddles fast-growing rising and creating economies in Japanese Europe and Africa.
On the draw back, the bottling large faces important market competitors from the likes of PepsiCo and could be very depending on its relationship with US-based Coca-Cola Co. However given its powerhouse manufacturers and powerful file of innovation, I consider it could actually proceed to thrive within the many years forward.