5 FTSE 100 shares driving wealth in my Stocks and Shares ISA
Despite all the uncertainty stirred up by President Trump’s tariffs, it’s turning out to be an excellent year for my ISA. And it’s not just US growth stocks driving it forward as a handful of FTSE 100 shares have also been performing very strongly.
Here, I’ll highlight the five best-performing ones (from the 13 that I hold).
Advancing defence stocks
Let’s start at the top with BAE Systems (LSE: BA.). Shares of the defence giant have soared 47% so far this year, massively outperforming the FTSE 100, which is up just 4.7%.
The catalyst for this surge has been a commitment from European NATO members to massively bolster their defence capabilities. Under its ReArm Europe Plan, the EU has proposed up to $800bn in additional military spending. European defence bonds are set to be launched to finance these large-scale military investments.
One risk here is that the vast majority of this spending goes to EU-based firms, with BAE missing out. However, management says its range of products aligns perfectly with Europe’s capability requirements. These include combat aircraft and vehicles, air defence, missile systems, artillery, munitions, drones, and electronic warfare technology.
BAE says recent trading has been in line with expectations. Full-year sales are expected to increase 7%-9% to around £31bn, with underlying earnings per share growing 8%-10%.
Rolling on
Elsewhere in my portfolio, Rolls-Royce stock continues to outperform. It’s up 39% in 2025, bringing the one-year return to 87%.
Rolls’ defence division also looks set to benefit from increased EU military spending. Meanwhile, recent trading has been resilient for the engine maker despite global trade disruptions. Management still expects an underlying operating profit of £2.7bn-£2.9bn this year, up from £2.5bn.
Of course, uncertainty around global tariffs remain a risk, as does a potential slowdown in international travel. But for now, aftermarket revenue growth remains strong as long-haul flying hours continue to increase.
Top-tier brands
The third-best-performing Footsie stock in my ISA this year is Coca Cola HBC (LSE: CCH). It has risen by just under 39% and recently hit a record high.
The company is a bottling partner for the Coca-Cola, making and selling brands like Sprite, Fanta, Monster, and Coca-Cola in 29 countries across parts of Europe, Asia, and Africa.
Earnings have almost doubled in the past five years, driven higher by strong demand for these brands in emerging markets like Nigeria and Egypt. In Q1, organic net revenue grew 11%, with emerging markets delivering a very robust 20% rise in organic sales.
A global recession could hurt Coca-Cola HBC’s growth trajectory, especially in tourist hotspots. However, I remain bullish long term, as the firm’s powerful portfolio of top brands and geographic diversification should continue driving further growth.
Best of the rest
I’ve also been impressed with Aviva (+24%) and Games Workshop (+18%). The former has been growing its insurance business by double digits, while Games Workshop continues to enjoy insatiable demand for its Warhammer products.
| Company | Year-to-date price return | Forward P/E ratio (2025) | Dividend yield |
|---|---|---|---|
| BAE Systems | +47% | 22.5 | 1.9% |
| Rolls-Royce | +39% | 32.5 | 0.8% |
| Coca-Cola HBC | +39% | 17.5 | 2.3% |
| Aviva | +24% | 11.5 | 6.1% |
| Games Workshop | +18% | 30 | 3.3% |
Which one do I think is worth considering? Aviva still looks great value to me, trading at 11.5 times forward earnings and sporting a 6.1% dividend yield.
And while a UK recession could threaten its positive earnings trajectory, the forthcoming £3.7bn takeover of rival Direct Line is expected to yield cost synergies and boost profits.
The post 5 FTSE 100 shares driving wealth in my Stocks and Shares ISA appeared first on The Motley Fool UK.
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Ben McPoland has positions in Aviva Plc, BAE Systems, Coca-Cola Hbc Ag, Games Workshop Group Plc, and Rolls-Royce Plc. The Motley Fool UK has recommended BAE Systems, Games Workshop Group Plc, and Rolls-Royce Plc. 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.
