2 magnificent FTSE shares I’m eyeing for June

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It seems as if FTSE shares can’t slow down. They’re soaring and I want to capitalise on it.

The UK stock market has underachieved in years gone by. From Brexit to the recent pandemic, we’ve faced severe challenges.

But could it be that we’re seeing light at the end of the tunnel with the recent rally? Hopefully.

Here are two Footsie stars I’ve got my sights firmly set on for this month. If I had the cash, I’d buy them today.

Marks & Spencer

After a cracking 2023, Marks & Spencer (LSE: MKS) has carried its fine form into this year. So far, it’s up 11.5%.

There are a few reasons I like the look of its shares this month. First, it seems we could be edging closer to interest rate cuts. When that does occur, that should lead to an uptick in spending. That’ll provide Marks & Spencer with a major boost.

Second, the business has been making impressive headway with its turnaround strategy and I’m keen to get in now while its shares still look like decent value trading on 14.8 times earnings.

Last year the company saw growth in sales, market share, and free cash flow and that turned investors even more bullish on the stock. Since taking over in 2022, CEO Stuart Machin has done an amazing job in reviving the business.

The cost-of-living remains an ongoing threat and while rate cuts are expected, if the economy takes a turn for the worse that could produce a slowdown in sales.

There’s also the income perspective to consider. While its yield clocks in at just below 1%, there’s growth potential with its payout. Analysts expect a payout of 5.6p per share for this year. That’s an 87% jump from last year.

London Stock Exchange Group

Shares in London Stock Exchange Group (LSE: LSEG) haven’t quite posted as strong a performance as their Footsie counterpart. Nevertheless, with them up 3.4% in 2024, they’re trending in the right direction.

I’m eyeing the stock for one main reason. It recently signed a 10-year partnership with Microsoft. The deal will see the firms “jointly develop new products and services for data and analytics” and enhance LSEG’s “position as a world-leading financial markets infrastructure and data provider”.

It’s no secret that the artificial intelligence (AI) sector will continue to grow and expand, so I think this is an exciting move. Some predict that generative AI will become a $1.3trn market by 2032, growing at a compound annual growth rate of 42% over the next decade. It’s expected that we’ll begin to see the first products from the partnership used in the coming months.

One downside is that the stock does look rather expensive. Another risk is weaker financial markets could see less trading activity. It also faces lots of competition in the financial data sector.

But over the long run, I’m excited to see what the business can keep doing. Hopefully, its deal with Microsoft is a sign of more of what’s to come. I think its shares could be a savvy buy today.