Jasmine Birtles
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5 Best FTSE 250 Stocks to Watch in August 2026
Ruby Layram
12th Aug 2026
The FTSE 250– the index of the UK’s 250 mid-sized listed companies- just smashed through a record high, topping its previous 2021 peak and climbing above 24,000 points for the first time ever.
If you’re a beginner investor wondering what’s driving the rally and which companies are worth putting on your watchlist, you’re in the right place. In this guide, we’ll explain what the FTSE 250 actually is, why it’s having a moment right now, and five stocks from the index that are catching investors’ attention this August.
* Some of the links in this article are affiliate or partner links. If you choose to purchase through them, MoneyMagpie may receive a commission at no additional cost to you. We only recommend products and services we believe offer value to our readers, and our editorial content is always produced independently.
What Is the FTSE 250?
Think of the FTSE 250 as the UK stock market’s “second division”- it tracks the 250 largest companies listed on the London Stock Exchange that sit just below the FTSE 100 giants (household names like Shell and HSBC).
Because FTSE 250 firms tend to earn more of their revenue inside the UK, the index is often seen as a barometer of the domestic economy, rather than global trade.
Why the FTSE 250 Is in the Spotlight Right Now
The index has surged more than 8% year-to-date, adding almost 2,000 points since January and closing above its previous all-time high from 2021.
A run of strong company results, hopes that interest rates have further to fall, and renewed investor appetite for UK-focused “value” stocks have all helped fuel the rally. For beginners, that’s a useful reminder: index moves are usually a combination of many company-level stories adding up, not one single cause.
5 FTSE 250 Stocks to Watch
Here are five FTSE 250 names that have been making headlines this August. This is not a “buy” list- it’s a starting point for your own research.
1. Greggs
What it is: The bakery and food-to-go chain that’s become a genuine UK high street institution, with thousands of shops nationwide.
Why it’s relevant now: Greggs led the FTSE 250’s risers this month after half-year results showed sales up over 7% to around £1.1 billion, driven by new store openings and stronger like-for-like sales.
Key risk: Consumer spending is sensitive to the cost of living- if shoppers tighten their belts, footfall and spending per visit can both suffer.
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2. Travis Perkins
What it is: A builders’ merchant supplying materials to the construction and DIY trade- you may recognise its Toolstation brand.
Why it’s relevant now: Shares surged sharply after first-half results showed price increases and cost-cutting had helped offset weak demand in the UK’s subdued construction market- a sign the business is managing a tough backdrop well.
Key risk: Performance is closely tied to the health of the UK housing and construction market, which can be slow to recover after a downturn.
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3. Raspberry Pi
What it is: The Cambridge-based computing company known for its low-cost, credit-card-sized computers used by hobbyists, schools and industry.
Why it’s relevant now: The stock has been one of the FTSE 250’s standout performers in 2026, with shares up well over 100% year-to-date as demand for its hardware in industrial and educational applications has grown.
Key risk: Fast-growing tech-hardware stocks can be volatile, and a run-up this large raises the risk of sharp pullbacks if growth expectations aren’t met.
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4. CMC Markets
What it is: A UK-listed financial services company offering trading and investment platforms to retail and institutional clients.
Why it’s relevant now: CMC Markets has been another of the FTSE 250’s top gainers this year, benefiting from higher trading volumes across markets during a volatile 2026.
Key risk: Trading-platform revenues can swing with market activity levels- a quieter, calmer market can mean lower income for the business.
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5. Keller Group
What it is: The world’s largest ground engineering (specialist construction) contractor, working on foundations and geotechnical projects globally.
Why it’s relevant now: A recent trading update pointed to record half-year revenue and profit, stronger underlying performance, and an increased dividend — all signs of a business firing on all cylinders.
Key risk: As a construction-linked business, Keller’s order book can be affected by global infrastructure spending cycles and interest rates.
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What to Do Next
If any of these names have piqued your interest, here’s how to take it further without rushing in:
- Read beyond the headlines. Look at each company’s latest results (most are on their investor relations pages) before you consider buying anything.
- Check you have a suitable account. You’ll need a Stocks and Shares ISA, General Investment Account, or SIPP with a UK investment platform to buy individual shares.
- Think about diversification. Buying a handful of individual stocks is riskier than a broad index fund- many beginners hold a mix of both.
- Start small. You don’t need thousands to begin; many platforms let you invest from £25 a month.
- Be patient. Share prices move daily, but investing works best over years, not weeks.
A note on risk
This article is for general information and education only and does not constitute regulated financial advice. The value of investments can go down as well as up, and you may get back less than you invest. Past performance is not a reliable indicator of future results. If you’re unsure whether an investment is right for you, consider speaking to a financial adviser regulated by the FCA.
* Some of the links in this article are affiliate or partner links. If you choose to purchase through them, MoneyMagpie may receive a commission at no additional cost to you. We only recommend products and services we believe offer value to our readers, and our editorial content is always produced independently.
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