3 FTSE 100 dividend stocks I’d buy for my ISA today

first_img I would like to receive emails from you about product information and offers from The Fool and its business partners. Each of these emails will provide a link to unsubscribe from future emails. More information about how The Fool collects, stores, and handles personal data is available in its Privacy Statement. Image source: Getty Images Renowned stock-picker Mark Rogers and his analyst team at The Motley Fool UK have named 6 shares that they believe UK investors should consider buying NOW.So if you’re looking for more stock ideas to try and best position your portfolio today, then it might be a good day for you. Because we’re offering a full 33% off your first year of membership to our flagship share-tipping service, backed by our ‘no quibbles’ 30-day subscription fee refund guarantee. Click here to claim your copy now — and we’ll tell you the name of this Top US Share… free of charge! “This Stock Could Be Like Buying Amazon in 1997” Edward Sheldon, CFA | Friday, 10th January, 2020 | More on: BA IMB STJ I’m sure you’ll agree that’s quite the statement from Motley Fool Co-Founder Tom Gardner.But since our US analyst team first recommended shares in this unique tech stock back in 2016, the value has soared.What’s more, we firmly believe there’s still plenty of upside in its future. In fact, even throughout the current coronavirus crisis, its performance has been beating Wall St expectations.And right now, we’re giving you a chance to discover exactly what has got our analysts all fired up about this niche industry phenomenon, in our FREE special report, A Top US Share From The Motley Fool. Our 6 ‘Best Buys Now’ Sharescenter_img Enter Your Email Address 3 FTSE 100 dividend stocks I’d buy for my ISA today Simply click below to discover how you can take advantage of this. With interest rates on savings accounts still depressing low, FTSE 100 dividend stocks remain a good option for those seeking higher returns, in my view. With that in mind, here’s a look at three I’d be happy to buy for my own portfolio today.BAE SystemsOne sector I’ve been bullish on for a while now is defence. The recent conflict between the US and Iran is a good example of why. In this sector, my preferred play is BAE Systems (LSE: BA) – a multinational defence and security business that helps to protect national security and keep critical information and infrastructure secure.5G is here – and shares of this ‘sleeping giant’ could be a great way for you to potentially profit!According to one leading industry firm, the 5G boom could create a global industry worth US$12.3 TRILLION out of thin air…And if you click here we’ll show you something that could be key to unlocking 5G’s full potential…It has quite a bit of momentum at present. For example, just last month, the group signed a $2.68bn contract with the US Navy to supply laser-guided rockets, while earlier this week, it signed a smaller $175m contract for guided missile cruiser modernisation.BAE is a reliable dividend payer that sports an attractive yield of around 4%. The stock also has a very reasonable valuation right now. With analysts forecasting earnings of 47.8p for FY2020, the forward-looking P/E ratio is just 12.4. It’s worth noting analysts at Citigroup just raised their price target for BAE to 670p – 13% higher than the current share price.Imperial BrandsTobacco giant Imperial Brands (LSE: IMB) burnt me last year as it fell nearly 30%. It was the worst performer in my dividend portfolio by a long way. Yet I’m not going to give up on the stock just yet. I remain convinced that, on a P/E ratio of around seven, it’s significantly undervalued and capable of a decent rebound at some stage in the near future. It’s worth noting that directors have been buying here in recent months, which is generally a bullish signal.One of the big attractions of Imperial is its colossal yield. Just recently, the group hiked its dividend by another 10% (its 11th consecutive 10% hike) to 206.6p per share which, at the current share price, equates to a yield of 10.5%. I’ll point out there’s a chance we could see the dividend cut at some stage (analysts at RBC said earlier this week they were looking for a ‘dividend reset’), however, even if the group cut its dividend by 50%, you’re still looking at a 5%+ yield, which is high in today’s low-interest rate environment.St. James’s PlaceFinally, I also like the look of wealth management group St. James’s Place (LSE: STJ). It currently offers a prospective yield of about 4.5%.One reason I like St. James’s Place is that I expect the demand for trusted, face-to-face financial advice to remain strong in the years ahead due to the fact that the UK’s Baby Boomers are retiring (and accessing their pensions) in droves.Given that economic uncertainty remains elevated, and interest rates on savings accounts remain abysmally low, I think plenty of retirees will need financial advice. It’s worth noting STJ has a client retention rate of 96%, which suggests clients are happy with its services.St. James’s Place isn’t the cheapest stock in the FTSE 100 – currently the forward P/E ratio is 23.5. However, I think the stock is worth a premium. Analysts at Deutsche Bank – who recently described STJ as the “leading company in a growth industry” – believe the company can deliver around twice the market growth rate, due to “strong adviser growth and controlled outflows.” Edward Sheldon owns shares in BAE Systems, Imperial Brands, and St. James’s Place. The Motley Fool UK has recommended Imperial Brands. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors. See all posts by Edward Sheldon, CFAlast_img

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