I’m always trying to find shares which can offer improving total returns, which is why I’m focusing on the investment prospects of Ocado Group PLC (LON:OCDO) (OCDO.L), Aviva plc (LON:AV) (AV.L), National Grid plc (LON:NG) (NG.L) and Banco Santander SA (LON:BNC) (BNC.L).
Ocado’s partnership agreement announced yesterday boosted investor sentiment. Its share price gained over 50% at times, with investors looking ahead to what could be a more prosperous period for the company.
With Ocado having the capacity to expand into new markets with new partners, the company could have a bright future in my view. Therefore, while still expensive, I feel it has investment potential.
Aviva’s strategy seems to be sound in my opinion. The company is expanding into fast-growing markets while also maintaining a strong position in core markets. This could lead to a balanced growth outlook which proves to be sustainable.
With Aviva expected to deploy £3 billion of excess capital over the next two years, the company could enjoy an improving outlook. Therefore, with a 5%+ dividend yield, I feel it has investment appeal.
Santander’s share price could move higher over the medium term. The prospects for the global economy continue to be generally upbeat, and this could act as a tailwind on the company’s performance.
With Santander having made progress in areas such as its financial strength and its efficiency, it seems to be in a good position to generate improving stock price performance. With a diverse business model, I believe it has a solid risk to reward ratio.
National Grid’s update released yesterday showed that the company seems to be performing well and is executing its strategy. Its potential for RPI-matched dividend growth appeals to me at the moment and could be a means by which investor sentiment improves.
With National Grid continuing to invest heavily in its asset base, I believe it could enjoy a strong long-term outlook. While not a popular stock at the moment, it could become more highly demanded if market volatility increases.