Share price tips! How to turn £25 into £12,609 – three stocks to invest in NOW

Scottish Sun

21-07-2025

Sun reader Megan Norman reveals how she managed to grow her savings by 18 per cent in just four years by savvy investing
CASH COW Share price tips! How to turn £25 into £12,609 – three stocks to invest in NOW
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INVESTING isn't just for the super wealthy, you can start with as little as a quid - and buying shares is a good place to start.
Investing pro Holly Mead, who has 14 years' experience, exclusively reveals her tips with Sun readers below - and shares how you could grow your pot from £25 to £12,609 in 20 years.
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Investing can be a great way of boosting your savings - but beware of the risks and do your research
Credit: Shutterstock Editorial
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Investing expert Holly Mead has top tips for dipping into the stock market
Credit: The Times
Investing in the wrong companies could see you lose your hard-earned cash - but the right ones could see your savings soar.
The first thing to do is to check if you have enough money to start.
Experts say you should have three to six months' worth of wages in a savings account you can access before you begin investing.
You can start with just £1, but how much you can make depends on how much you invest and where.
If you invested £25 into the FTSE 100, which is the collective name for the 100 largest UK companies by value, you could turn £25 into £4,465 after 10 years, assuming that your investment grew at a rate of 5 per cent a year after charges.
Over 20 years, that pot would grow to £12,609.
Picking the right companies to invest in is therefore really important.
So how do you do it? Here, Holly explains.
What type of investor are you?
New investors often choose a ready-made fund, which is where an expert does the hard work and chooses a mix of assets to invest in, including company shares, bonds, property and gold.
This can be a lower-risk way of investing, because your money is spread across lots of different investments.
But many people like the idea of choosing for themselves where their money goes. This can feel more exciting, and means you know you are backing businesses you really believe in.
So if you want to pick your own businesses to invest in, start by opening a stocks and shares Isa.
You can invest up to £20,000 each tax year in these accounts and any gains you make are tax-free.
Many investing apps let you open an account with £25 or less.
Read reviews and check the fees you will be charged before selecting an app.
For example, NatWest charges a fee of 0.55% of the value of your investment.
That works out at 55p for every £100 of your investments.
In comparison, Barclays charges a 0.25% fee, which works out at 25p for every £100 you invest.
Some offer free research or 'best buy' lists of funds and stocks they expect to do well, which can help narrow down your choices.
Be a bookworm before investing
Research the companies you are considering backing. Use sites like Investegate to read the latest reports and accounts.
Look at a company's 'fundamentals' - which means checking things like whether it is profitable, if sales and customer numbers are growing, and making sure it doesn't have too much debt.
Have a solid reason for investing - maybe the company has developed cutting-edge technology or is a leader in its industry - don't just invest because everyone else is.
Choosing something you know can be a good starting point.
Maybe you are a loyal customer because you believe it is better than any of its competitors, or you know a lot about a certain sector because you work in that industry - this extra knowledge can help you make more informed choices.
Once you have picked, it's as simple as selecting the stock and choosing the amount you want to invest.
You can usually invest a one-off sum, or set up a regular investing plan where you put in a set amount each month.
What are the risks?
BEFORE you start investing, you need to understand the risks.
The return you make will depend on how much you invest and where.
As we have seen recently, the stock market can dramatically fall.
The American stock market saw its biggest drop since the start of the Covid pandemic after US President Donald Trump announced plans to introduce punitive tariffs on goods imported to the US from other countries.
The UK's own stock market, the FTSE 100, fell by more than 10 per cent after the news.
You must be prepared to lose it all - so only invest money you can afford to lose.
You need to be willing to invest cash for at least five years to mitigate any dips and allow your money to recover. If you can't afford to lock up your money for this long, investing may not be right for you.
It's usually better to drip feed money into your investments instead of putting down a big chunk of money in one go.
Three stocks to consider right now
Marks & Spencer
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A huge cyberattack hit M&S in April, but the British stalwart still has plenty going for it.
In its latest results, M&S reported pre-tax profits were up 22% to £875 million in the year to March.
It is undergoing a transformation plan, which includes overhauling its clothing division and expanding its food stores.
Tom Stevenson, investment director at Fidelity International, says the stock was the fourth most-bought by Fidelity users in April.
He said: 'The continued popularity of M&S, even after a widely publicised cyberattack, highlights investor confidence in its long-term prospects.'
The share price is up 250 per cent over five years, currently trading at 339p.
Three things to always remember when investing
Ben Kumar, head of equity strategy at the wealth manager, 7IM, says:
1. There is no right way to invest
"We all have different views on things, and that's true in investing too.
"The key is to be clear on your reasons for investing: that could be because you like the company's ethos, you know about the sector, or because it pays a dividend."
2. You will get things wrong
"Even the best investors make bad choices.
"What's important is how you behave after that happens - keep calm, take stock, do your research, and try to decide whether it will recover and you should stick it out, or whether it's time to cut your losses.
3. Enjoy it
"Stock investing is risky, but that is also what makes it exciting.
"There is a real buzz about having the chance to own a piece of a business that is doing well."
Crowdstrike
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Tech stocks can be exciting, but make sure they're not just the latest fad.
Lale Akoner, global market analyst at eToro, says: 'Companies in software, cloud, and digital infrastructure enjoy steady income and strong demand from businesses investing in AI and digital upgrades.'
If the M&S cyberattack taught investors anything, it's that security is key for businesses.
Akoner points to Crowdstrike, a US-based cybersecurity firm, as one option. '[It] could offer consistent long-term growth without any exposure to tariffs or currency volatility," he says.
Crowdstrike shares dropped last year after a faulty upgrade for customers, but its latest results reported that sales were up 20% to $1.1 billion.
Shares have risen 27.5% over the past year to $505, and are up 389% over five years.
Bear in mind that exchange rates can affect your returns when investing in overseas stocks.
Legal & General
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Insurance companies might not sound as exciting, but they should be a steady choice as their services are always needed, says Akoner.
This makes the earnings of these businesses predictable and reliable.
Legal & General is one of the UK's biggest insurers, founded in 1836.
In its latest financial results, the firm said operating profit had increased by 6% to more than £1.6billion, helped by record sales of annuities (a type of financial product that pays an income in retirement).
L&G shares are up 19% over the past year to 250p, and it also pays a dividend (when a company gives out some of its profits to investors), which can boost your returns.
And one to avoid
Nike
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From collaborations with sporting legends such as Michael Jordan and Serena Williams, and the rise of the ath-leisure fashion trend, Nike looked to have it all.
But Kumar thinks the brand is now being left behind by companies focusing on high-performance sports gear like the running shoe specialists Hoka and On.
In its latest results, Nike said sales were down 9% at $11.6 billion.
Shares have dropped 35 per cent over the past year to $76.37 and Kumar thinks they could fall further.
He said: 'Nike's sales are expected to fall 10% this year, and its earnings are expected to fall by nearly 50%. For investors, it's a case of: don't do it.'