Best Growth Stocks this January 2026 in the UK

Dunelm Group stands out as a promising retail company with a noteworthy potential upside of 23% based on analyst price targets. Ideal for investors seeking reliable income, it boasts a strong dividend yield of 6.55%. Additionally, with a solid B+ analyst rating, it represents an attractive opportunity in the market.

Fresnillo stands out as a compelling option for investors, boasting a PEG ratio of 0.38 and benefiting from the current high prices of precious metals amidst geopolitical tensions. With a robust dividend yield of nearly 4% and impressive returns of 496.20% over the past year, this Mexican silver and gold producer showcases strong cost discipline and a long reserve life. However, it's noteworthy that Morgan Stanley has recently downgraded its rating to Underweight, suggesting a cautious outlook despite the company's solid fundamentals.

MITIE Group stands out as a robust facilities management firm, boasting a record number of contract awards and a strong order book. With improving margins and a solid cash generation capacity, the stock offers a compelling 16% upside potential to analyst Peel Hunt's price target of 191p. Investors can also appreciate its impressive 47.72% one-year return and a substantial 296.70% increase over the past five years, reinforcing its status as a promising long-term investment.

MTO stock has increased by 308% over the past five years, indicating strong value creation, and it recently gained 25% in the last three months.

MITT stock has a consensus rating of 'Strong Buy' from five analysts, with an average price target of $9.00, suggesting a potential increase of 1.12% over the next year.

Mortgage Advice Bureau stands out as a top-rated financial services company, boasting an impressive potential upside of 85% according to Peel Hunt price targets, the highest among 21 recommended growth stocks. With a remarkable dividend yield of over 1304%, this investment may attract those seeking reliable income despite recent performance challenges, including a 5-year return of -85.87%. Analysts have given it an A+ rating, underscoring its strong market position and growth prospects.

MIC Electronics Ltd shows a weak price trend, suggesting it may decline in the short term. Consider reviewing its quality and valuation ratings before investing.

MSCI Inc appears overvalued with a Value Score of F, indicating it may not be a suitable choice for value investors, despite a Growth Score of B.

Micro-cap stocks are riskier but can offer significant returns if the companies succeed, rewarding early investors.

Rentokil Initial stands out as a top-rated pest control service provider, with 12 out of 18 analysts recommending it as a Buy due to its anticipated earnings growth of 60% from 2024 to 2027. With a dividend yield of 2.01% and a solid 1-year return of nearly 26%, this stock is attractive for investors looking for both growth potential and income. Additionally, the company's exposure to a global market that is projected to grow at 5%-6% annually enhances its investment appeal, backed by strong ratings from analysts like Oppenheimer, who maintain an Outperform stance.

Rentokil Initial PLC (RTO) has a Value Score of B and a Growth Score of B, indicating strong financial health and growth potential, making it a solid choice for value investors.

Toyota Motor Corp Ltd shows positive buy signals from both short and long-term Moving Averages, suggesting a favorable outlook for the stock.

Analysts have set a target price for LSEG between 11,000.00 GBp and 14,550.00 GBp, with an average target of 12,400.59 GBp, indicating a potential upside of 35.02%.

Berenberg has upgraded Vodafone from Hold to Buy, setting a price target of 119p, reflecting a potential 19% upside. The firm anticipates a significant 44% improvement in adjusted earnings per share over the next three years, alongside a boost in interim dividends, positioning Vodafone as an attractive investment option for those seeking reliable income in the telecommunications sector.

The target price for Vodafone shares in 2025 is estimated to be between ₹340 and ₹360.

Vodafone Idea Ltd has reported a 16.4% increase in net profits over the last three months, but its net profit margin remains negative at -48.74%.

Vodafone Idea's future depends on regulatory support, funding for network expansion, and overcoming significant debt and competition challenges.

Vodafone Idea requires new capital to meet its financial obligations; without it, survival will be difficult.

Kainos Group is a promising investment option for those seeking growth, highlighted by a robust forecast of 23% annual earnings growth and a significant £30 million share repurchase program, reflecting management's confidence. With a solid dividend yield of 2.92% and an impressive one-year return of 20.24%, this top-rated company not only emphasizes strong insider ownership at 20.6% but also offers potential for capital appreciation. Analysts project a median price target of 1,167.50, with expectations for continued upward momentum.

Yes, analysts have a median price target of 1,167.50 for Kainos Group PLC, indicating a potential 16.75% increase from the current price of 1,000.00.

Analysts project an average 12-month price target of 1,173.00 for Kainos Group, with estimates ranging from a low of 1,030.00 to a high of 1,350.00.

Computacenter PLC is well-positioned to capitalize on the growing demand for AI-driven IT infrastructure, forecasted to see a P/E ratio decline from 19 to 16 by 2027. With a solid 1-year return of 60.99% and a dividend yield of 2.72%, it offers an attractive proposition for investors seeking reliable income from a financially healthy company. The stock holds a consensus rating of Strong Buy, underscoring its favorable outlook and strategic market position.

Computacenter PLC has a consensus rating of 'Strong Buy' based on 3 buy ratings and 1 hold rating.

Computacenter recently paid a dividend of 23.6p, which went ex-dividend 4 months ago.

Computacenter offers solid revenue growth and a reliable dividend yield, making it an attractive option for investors seeking both growth and income.

CCC Intelligent Solutions Holdings Inc. is a SaaS company serving the property and casualty insurance sectors in the U.S. and China.

AO World is an attractive investment opportunity with a 25% potential upside as it seeks to expand beyond its core domestic appliance sector into various retail categories. Despite a stagnant 1-year and 5-year return of 0.00%, this strategic shift could position the retailer favorably for future growth. Investors may find value in its expansion plans, which aim to diversify and enhance revenue streams.

Palantir's shares have increased over 2,400% in the past three years, indicating strong growth and making it one of the most valuable tech companies.

APi has a Zacks Rank of #2 (Buy), with improved analyst sentiment reflected in a 0.4% increase in full-year earnings estimates over the past three months.

Analysts' recommendations for Alcoa include 33% Strong Buy, 11% Buy, 33% Hold, and 22% Sell, indicating mixed sentiment among analysts.