3 FTSE 100 stocks for 2022

Rupert Hargreaves explains why he thinks these FTSE 100 stocks could make great additions to his portfolio for the year ahead.

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I have been looking for FTSE 100 stocks to add to my portfolio for 2022. Three companies currently stand out to me as incredibly attractive opportunities, considering their prospects for the year ahead. I would acquire all of them for my portfolio today. 

FTSE 100 growth stock

The first company is the online car sales platform Auto Trader (LSE: AUTO). Over the past two years, the demand for second-hand vehicles has jumped, which has sparked significant activity in this market.

Auto Trader has benefited from this action, and analysts expect activity in the market to remain buoyant for at least the next year. 

At the same time, the company is developing its position as one of the premiere websites in the country for selling vehicles. Considering its reputation, I think it is unlikely it will be unseated as a driving force in the sector anytime soon. It has a substantial competitive advantage and awareness with consumers. 

Based on these qualities, I think the FTSE 100 stock has tremendous potential in 2022 and beyond. Challenges that could hold back growth include competition (despite its brand awareness, no business is completely immune from competition). A potential slowdown in the used-car market may also hit growth. 

International growth

In my opinion, one of the best companies to buy in the FTSE 100 with exposure to the global economy is Standard Chartered (LSE: STAN). 

The emerging markets-focused bank helps organisations around the world manage their finances. If the global economy grows, its revenues should follow. Rising interest rates worldwide may also allow the corporation to increase rates it charges to borrowers, pushing up profitability.

These twin tailwinds could help the enterprise outperform over the next couple of years. Few other companies in the lead index offer the same kind of potential. 

Still, despite its position in emerging markets, the company’s growth is far from guaranteed. Rising inflation could reduce growth in emerging economies as consumers hold back spending. Further waves of coronavirus may also prove to be a growth headwind for the lender. 

Recovery play

FTSE 100 airline group IAG (LSE: IAG) is another excellent way to invest in the global economic recovery. I think this company, which owns the British Airways brand, has potential, but it also has a lot of debt.

With this being the case, I would only buy the stock as a speculative position in my portfolio. If another coronavirus variant emerges, it could struggle to survive. 

However, in the best-case scenario, the airline group will return to 2019 levels of activity within the next few years. This will enable it to begin repaying debt and investing in growth initiatives.

The company may also be able to expand its network to capitalise on the global economic recovery and rising demand for air travel. In this best-case scenario, I think there is a high chance the stock could more than double my money. 

RISK WARNING: should you invest, the value of your investment may rise or fall and your capital is at risk. Before investing, your individual circumstances should be assessed. Consider taking independent financial advice. The Motley Fool believes in building wealth through long-term investing and so we do not promote or encourage high-risk activities including day trading, CFDs, spread betting, cryptocurrencies, and forex. Where we promote an affiliate partner’s brokerage products, these are focused on the trading of readily releasable securities.

Rupert Hargreaves has no position in any of the shares mentioned. The Motley Fool UK has recommended Auto Trader and Standard Chartered. 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.

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