2 FTSE 100 shares I’d buy as stocks fall

As equity markets around the world struggle to digest the awful news from Eastern Europe, I have been looking for undervalued FTSE 100 shares to add to my portfolio. 

I am looking for companies that have a solid competitive advantage. And I am searching for firms operating in markets that might not be disrupted by the current geopolitical uncertainty. 

With that in mind, here are two FTSE 100 stocks that have recently caught my attention. 

FTSE 100 shares to buy

Veterinary pharmaceuticals group Dechra Pharmaceuticals (LSE: DPH) is one of the UK’s premier blue-chip stocks. 

The company develops and sells pharmaceutical products for the animal industry around the world. This market is very competitive and highly regulated.

Overcoming these challenges are probably the biggest risks to the company’s growth. Nevertheless, the corporation has performed well over the past couple of years by investing heavily in new products and research and development. 

Net profit has grown at a compound annual rate of 34% over the past six years. Analysts are expecting this growth to continue. 

Two trends could drive the company’s sales over the next five to 10 years. Demand for veterinary pharmaceuticals is increasing as the global population is growing. On top of this, the world needs more food, and farming animals is one of the best ways to meet rising demand. Keeping these animals healthy is vital, and Dechra’s products will play an important role here. 

Considering these challenges, I think the FTSE 100 group has a bright future, no matter what happens in Eastern Europe. As such, I would be happy to buy the stock from my portfolio today. 

Market growth

Flutter Entertainment (LSE: FLTR) is one of the largest online sports betting and gaming companies in the world. 

A surge in consumers using its platforms during the pandemic helped the enterprise generate windfall profits in 2020. And management is using this money wisely. The additional cash is helping to fund the company’s expansion in the US, which has the potential to be a massive growth market for the firm. 

That said, the FTSE 100 enterprise is not the only business to recognise the potential of this market. This too is a highly competitive industry, and larger players are throwing money at capturing market share. Flutter needs to keep investing, or it could be left behind. This is the most significant risk the corporation faces today. 

Still, I think it is unlikely the company’s operations will be disrupted significantly by the ongoing political crisis.

As such, I think the FTSE 100 business looks cheap compared to its potential after the recent sell-off. As the enterprise continues to expand around the world, I think it should benefit from increasing awareness of its brands and more significant economies of scale. These should help push down costs and improve profit margins.