How to Buy Whitbread Shares UK – with 0% Commission

Whitbread PLC (WTB) is behind a number of leading UK-based hospitality brands – including the likes of Premier Inn, Beefeater, Brewers Fayre, and Thyme. The firm is publicly listed on the London Stock Exchange – so buying Whitbread shares from the comfort of your home could not be easier.

In this guide, we walk you through the step-by-step process of how to buy Whitbread shares UK from a commission-free stock broker.

Step 1: Find a UK Stock Broker to Buy Whitbread Shares

whitbread shares UK

Naturally, as Whitbread is listed on the London Stock Exchange, hundreds of UK brokers allow you to invest online.You do, however, need to explore what fees and commissions the broker charges, what payment types are supported, and whether or not the provider is regulated by the FCA.

Below you will find a small selection of the best stock brokers UK to buy Whitbread shares today.

1. eToro – Buy Whitbread Shares with 0% Commission

etoro logoOf the 100+ UK stock brokers that we have reviewed in recent months, nobody gets close to eToro. This online brokerage site is regulated by the FCA and your capital is protected by the FSCS. At the time of writing, eToro is home to over 20 million active traders. eToro stands out for several key reasons – especially when it comes to low-cost investing.

This is because the online trading platform allows you to buy Whitbread shares and many other types of shares without paying any dealing fees or commissions. Furthermore, eToro is one of the only brokers we have come across that waivers stamp duty tax. Ordinarily, when shares are listed on the London Stock Exchange – like Whitbread is, you’ll need to pay a tax of 0.5% on the purchase amount. But at eToro, you’ll pay nothing.

eToro copy trading

Past performance is not an indication of future results.

eToro is also a fan-favourite with UK investors as the broker supports fractional shares. This means that you can buy just a small fraction of Whitbread shares – as long as you meet the $50 minimum (about £37). When it comes to core investment tools, eToro offers a Copy Trading feature. This allows you to automate your investment endeavours by copying a successful eToro trader like-for-like. This cuts out the need to have any experience in the online trading arena.

In terms of the broker’s wider asset library, eToro supports thousands of other shares across 17 international markets. This includes everything from Hong Kong and the US to Germany and France. You can also buy cryptocurrency and ETFs, and even trade commodities, indices, and forex. These additional financial markets are also commission-free at eToro. Getting started should take you just a few minutes and the broker supports payment via debit/credit card, bank transfer, or e-wallets.

Pros

  • 0% commission broker
  • No stamp duty tax on UK shares
  • Over 2,400 global shares and 250 ETFs
  • CFD markets also offered
  • Social network with copy trading
  • Regulated by the FCA
  • FSCS partnered

Cons

  • Withdrawal and inactivity fees

67% of retail investor accounts lose money when trading CFDs with this provider.

2. Capital.com – Best CFD and Spread Betting Platform to Trade Whitbread Shares 

new capital.com logo

If you view yourself as a short term trader that enjoys the flexibility of dipping in and out of the market – you might want to consider Capital.com. This UK-based platform offers trading markets via CFDs and spread betting. Both options allow you to trade Whitbread shares without taking ownership and on a commission-free basis.

At Capital.com, you will also be able to trade Whitbread shares with leverage of up to 1:5. This means that for every £100 you stake, you can amplify your position to £500. Additionally, you can choose from a buy or sell order when entering your Whitbread position – meaning you can go long or short. The latter is particularly useful if you believe that the price of Whitbread shares is due to go down.

how to trade whitebread shares UK

If you elect to use the spread betting facility to trade Whitbread shares, you will also benefit from tax-free profits. This is because any proceeds from spread betting shares are viewed as gambling and thus – you don’t need to pay capital gains. When it comes to user-friendliness, Capital.com is super-popular with newbies. The trading platform is simple to use and the minimum deposit is just £20.

Capital.com also offers a free demo account platform that allows you to test your short-term trading strategies without risking any money. To assist your investment learning journey further, the platform offers a wealth of educational tools – including videos, guides, webinars, and mini-courses. Capital.com allows you to fund your account instantly with a debit/credit card or e-wallet. Bank transfers are also supported but this will delay the deposit process. Finally, Capital.com is regulated by the FCA.

Pros:

  • Educational app for new traders
  • Commission-free trading
  • Tight spreads
  • Leverage offered
  • AI assistant identifies your weak points
  • Excellent charting and analysis interface
  • £20 minimum deposit


Cons:

  • Cannot build custom investment strategies
  • CFDs only

71.2% of retail investor accounts lose money when spread betting and/or trading CFDs with this provider.

Step 2: Research Whitbread Shares

Whitbread is involved in the UK hospitality sector - with a strong focus on hotels and pubs. With that said, you'll be investing in a sector that has been heavily impacted by the coronavirus pandemic. As such, it's important that you do lots of independent research before you buy Whitbread shares.

In the sections below, we help clear the mist by outlining the most important considerations that need to be made before you add Whitbread stocks to your investment portfolio.

Whitbread Share Price History & Market Capitalisation

Launched in 1742, Whitbread has a long-standing history in the UK hospitality sector. As a public company, the firm first saw its shares listed on the London Stock Exchange way back in 1948. With a market cap of over £6 billion, Whitbread is also a constituent of the FTSE 100 index.

In terms of its stock market history, it's been somewhat of a bumpy road for the firm over the past five years. For example, between May 2006 and February 2020, Whitbread shares enjoyed a slow and steady upward trajectory - going from 3,366p to highs of 4,097p.

whitbread share price

However, then came the COVID-19 pandemic and the shares fell off a cliff. In fact, in the space of just 1 month, Whitbread shares dropped to lows of 1,997p - translating into a rapid decline of 51%. This huge capitulation was the case across the wider UK hospitality sector and ultimately - was it no fault of Whitbread itself.

On the flip side, those that were able to look past the pandemic in March 2020 by investing at lows of 1,997p are now looking at superb gains. This is because, at the time of writing in May 2021, Whitbread shares are trading at 3,051p. This equates to gains of 52% in just over 13 months. Crucially, Whitbread shares still have a long way to go to get back to pre-COVID levels of 4,097p. For this to happen, the stocks would require a further upside of 34%.

Whitbread EPS and P/E Ratio

Financial ratios are completely skewed at present in the case of Whitbread, owing to its share price collapse since the pandemic began. Nevertheless, as per its 2021 fiscal posting, Whitbread reported an EPS (Earnings Per Share) of -4.82. In the two years prior, this stood at 1.25 and 0.83, respectively.

In terms of its P/E (Price-to-Earnings) ratio, the most recent figures we have available to us are based on the firm's 2020 end of year report. This put the Whitbread P/E to The London Stock 27.92 - down from 42.13 the year prior. We'll need to wait for the 2021 end of year results to assess where its most recent P/E stands.

Whitbread Shares Dividend Information

Whitbread was historically a solid dividend payer before the pandemic. In terms of yields, this stood at 2.50%, 3.10%, and 2.40% in 2017, 2018, and 2019 respectively. However, like a lot of companies operating within the UK hospitality sector, dividends are currently on hold.

According to the Whitbread board, this will remain the case for as long as its revolving credit facility waiver is in place - which is expected to expire in Q1 2023. A return to its dividend policy could come soon - but this will ultimately depend on how quickly Whitbread is able to recover from the impact of extended lock restrictions.

Should I Buy Whitbread Shares?

So now that we have explored the firm's stock price history, we now need to look at the fundamentals. That is to say, the sections below will explore the main factors that might have an impact on the future Whitbread stock price.

UK Economy is Reopening

After an extended lockdown period - where the vast bulk of Whitbread hotels and bars remained closed - there is finally light at the end of the tunnel. In the coming weeks, it is hoped that that wider restrictions in the hospitality sector will be lifted. This is in direct correlation with the UK's successful vaccine rollout.

how to buy whitebread shares UK

67% of retail investor accounts lose money when trading CFDs with this provider.

This will, of course, have a major impact on Whitbread - especially when the UK tourism sector reopens. After all, the firm is currently behind over 800 hotels which consist of over 79,000 rooms.

Discounted Shares

We mentioned earlier that Whitbread shares have recovered by over 52% since their lows of 1,997p in March 2021. With that said, the shares still need to increase by a further 34% to get back to pre-pandemic levels of 4,097p. As such, you still have the chance to buy Whitbread shares at a discounted price.

Expanding Into International Markets

While the pandemic has been devastating for Whitbread, this hasn't hindered its international objectives. In fact, Whitbread has since entered the German hospitality market - which currently consists of 30 hotels and 5,000+ rooms.

New Normal

Perhaps the biggest threat to Whitbread over the coming months and years is with respect to the 'New Normal'. That is to say, although the UK and European hospitality sector is slowly but surely reopening, it remains to be seen how new restrictions and guidelines will impact hotels and bars.

You then have the growing costs involved with enhanced hygiene requirements, which is likely to be a major blow to Whitbread if its hotel occupancy rates remain low.

Step 3: Open an Account and Deposit Funds

Now that you have performed research on Whitbread, it's then time to open an account with your chosen broker. As we covered in our mini-reviews earlier, eToro is the best platform for the job. To reiterate, the FCA-regulated broker allows you to buy Whitbread without paying any commission or stamp duty tax.

eToro sign up

To get the ball rolling, visit the eToro website and register an account. You'll need to provide your personal information, contact details, and national insurance number. You also need to confirm your mobile number and email address.

Next, you'll be asked to upload a copy of your passport or driver's license - as per UK anti-money laundering laws. You can do this later if you are not planning to invest more than $2,250 (about £1,600).

In terms of depositing funds into your eToro account, you can choose from the following payment methods:

  • Visa
  • MasterCard
  • Maestro
  • Skill
  • Paypal
  • Neteller

The minimum deposit for UK residents is $200 (about £140).

Step 4: Buy Whitbread Shares

Now that you have a funded eToro account you can buy Whitbread shares. This part of the process should take you no more than a couple of minutes.

First, enter 'Whitbread' into the search box and click on the 'Trade' button. Then, you'll see an order box like the image below.

how to buy whitebread shares etoro

In the 'Amount' box, enter the size of your investment in US dollars (minimum $50).To complete your Whitbread investment, click on the 'Open Trade' button.

Whitbread Shares Buy or Sell?

There is no getting away from the fact that Whitbread - like the vast bulk of hospitality providers, has had a horrid time since the pandemic began. But, there is light at the end of the tunnel and thus - you can still buy Whitbread shares at an attractive price. Based on current share prices, there is still a further upside of 34% on the table for Whitbread to get back to pre-COVID levels of 4,097p.

eToro – Buy Whitbread Shares With Zero Commission

This guide has explained the ease with which you can buy Whitbread shares online in the UK. The most challenging part is finding a top-rated online broker to complete the investment with. We found that eToro is the best share dealing platform for the job - as you can buy Whitbread shares commission-free and without paying any stamp duty tax.

Getting started at eToro is simple and fast, so you could have Whitbread shares in your portfolio in less than 10 minutes!

67% of retail investor accounts lose money when trading CFDs with this provider.

FAQs

What is Whitbread?

Launched way back in 1742, Whitbread is behind a number of leading UK-based hotels and pub chains. This includes the Premier Inn, Beefeater, Brewers Fayre, Thyme, and Cookhouse & Pub. Whitbread also has 30 hotels in Germany.

What stock exchange are Whitbread shares listed on?

Whitbread is listed on the London Stock Exchange (LSE) - where it's been since 1948. The firm is also a constituent of the FTSE 100 index.

Does Whitbread pay dividends?

Before the pandemic came to fruition, Whitbread was a solid dividend payer. Unfortunately, dividends are currently on hold. Management has suggested that this could be the case until Q1 2023.

Where can you buy Whitbread shares?

If you're wondering how to buy Whitbread shares in the UK, you'll need to open an account with a trusted stock broker. eToro is a popular option, as the user-friendly broker allows you to buy Whitbread shares without paying any commission or stamp duty.

Does Whitbread own Pizza Hut?

Whitbread sold its position in Pizza Hut back in 2006.

Who is the Chief Executive Director of Whitbread?

Alison Brittain is the current CEO of Whitbread and has held the positon since 2016.

Can I invest in Whitbread shares via an ISA or SIPP?

Whitbread shares - like all UK and international stocks, can be added to your ISA or SIPP account. You will, of course, need to ensure that your chosen ISA/SIPP provider offers access to Whitbread shares.

 

About Kane Pepi PRO INVESTOR

Kane Pepi is a British researcher and writer that specializes in finance, financial crime, and blockchain technology. Now based in Malta, Kane writes for a number of platforms in the online domain. In particular, Kane is skilled at explaining complex financial subjects in a user-friendly manner. Academically, Kane holds a Bachelor’s Degree in Finance, a Master’s Degree in Financial Crime, and he is currently engaged in a Doctorate Degree researching the money laundering threats of the blockchain economy. Kane is also behind peer-reviewed publications - which includes an in-depth study into the relationship between money laundering and UK bookmakers. You will also find Kane’s material at websites such as MoneyCheck, the Motley Fool, InsideBitcoins, Blockonomi, Learnbonds, and the Malta Association of Compliance Officers.

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