Picture supply: Getty Pictures
We’re virtually a 3rd of the way in which into 2026. Regardless of a local weather of elevated geopolitical and financial threat, the FTSE 100 index of main British shares is now 3% larger than initially of the yr. It even hit an all-time excessive alongside the way in which, though has since fallen again from that.
Regardless of the index’s sturdy efficiency, although, not all of its 100 constituent members are doing so effectively.
Listed here are three blue-chip UK shares I believe probably look low-cost from a long-term perspective — and price contemplating.
Related British Meals
For years, Related British Meals (LSE: ABF) has confronted a few ongoing challenges.
One is find out how to persuade prospects that foodstuffs and substances deserve a value premium. Utilizing manufacturers like Twinings may help, however ABF’s portfolio comprises unbranded in addition to branded merchandise.
A second problem has been getting buyers to worth the Primark low cost clothes chain attractively. Its loyal buyer base and powerful model can typically really feel neglected by buyers.
These challenges persist as April ends.
Inflation pushed by the Center Japanese battle threaten the meals enterprise’s revenue margins, although for now the corporate has mentioned the fee penalties for this yr should be “manageable“.
This month additionally noticed plans to demerge Primark as a standalone listed firm. Over time, that would assist unlock worth if buyers understand it in a different way out of the ABF construction. In the meantime, ABF’s meals enterprise is unexciting however well-run and worthwhile.
Taken collectively, the corporate’s price-to-earnings (P/E) ratio of 14 and three.6% yield look engaging to me following a 14% share value fall thus far this yr.
Reckitt Benckiser
A FTSE 100 firm that has had an excellent worse begin to 2026 is Vanish-owner Reckitt Benckiser (LSE: RKT).
Its share value has plummeted by 1 / 4 thus far this yr. The P/E ratio of 10 is even cheaper than ABF. Reckitt’s 4.6% yield is effectively above the three.0% common of the FTSE 100 general.
Reckitt clearly has challenges which have harm its share value. Take your choose: ongoing authorized dangers in its toddler method enterprise, ingredient value inflation, weakening shopper sentiment in key markets, like-for-like gross sales declines in each North America and Europe within the first quarter – and extra.
However I believe Reckitt additionally has the instruments to take care of such challenges over time. Its premium manufacturers give it pricing energy and it operates in product classes that may endure, like detergents and cleansing brokers.
It could take years, however I count on Reckitt will in the end be price significantly greater than immediately.
WPP
Nonetheless, I may have the steadiness of dangers and potential rewards flawed with Reckitt. No person is aware of the long run. A good trickier share in that respect is advert group WPP (LSE: WPP).
The WPP share value has crashed by 21% thus far this yr. That’s on prime of a dreadful efficiency final yr, that means it has greater than halved in 12 months.
The clear wrongdoer? AI.
Traders are fretting that AI may eat advert corporations’ enterprise.
Up to now, WPP has not convincingly reassured them. Like-for-like income fell 4% yr on yr within the first quarter.
Nonetheless, with its 5.6% dividend yield, deep experience, excellent consumer roster, and its personal plans to make use of AI to assist the enterprise, WPP seems probably low-cost to me, though dangerous.
I plan to hold onto my shares.
