3 of my favourite FTSE 100 bargain shares for February!

The FTSE 100 is packed with brilliant value shares even after last year’s solid gains. Here are three that have caught my eye.

| More on:

The content of this article was relevant at the time of publishing. Circumstances change continuously and caution should therefore be exercised when relying upon any content contained within this article.

Black woman using loudspeaker to be heard

Image source: Getty Images

When investing, your capital is at risk. The value of your investments can go down as well as up and you may get back less than you put in.

Read More

The content of this article is provided for information purposes only and is not intended to be, nor does it constitute, any form of personal advice. Investments in a currency other than sterling are exposed to currency exchange risk. Currency exchange rates are constantly changing, which may affect the value of the investment in sterling terms. You could lose money in sterling even if the stock price rises in the currency of origin. Stocks listed on overseas exchanges may be subject to additional dealing and exchange rate charges, and may have other tax implications, and may not provide the same, or any, regulatory protection as in the UK.

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More.

Searching for cheap FTSE 100 stocks to buy? Here are three I think investors should seriously consider.

WPP

Created with Highcharts 11.4.3WPP PriceZoom1M3M6MYTD1Y5Y10YALLwww.fool.co.uk

A case can be made that WPP (LSE:WPP) is one of the Footsie’s best bargains based on predicted earnings.

At 738p per share, it trades on a forward price-to-earnings (P/E) ratio of 8.4 times. This is based on forecast earnings of 87.6p per share in 2025, representing a 1% increase on last year’s expected earnings.

Should you invest £1,000 in Safestore Plc right now?

When investing expert Mark Rogers has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for nearly a decade has provided thousands of paying members with top stock recommendations from the UK and US markets. And right now, Mark thinks there are 6 standout stocks that investors should consider buying. Want to see if Safestore Plc made the list?

See the 6 stocks

This isn’t to say that profits are guaranteed to rise this year and beyond. As a provider of advertising and marketing services, its earnings are highly sensitive to broader economic conditions. Promotional spending is one of the first things companies slash when times get tough.

However, WPP also has significant growth potential over the long term as the global economy expands. This is thanks to its market-leading offerings across the communications and advertising spectrum.

A strong balance sheet gives it scope to grow profits through further acquisition activity too. Its net debt-to-EBITDA ratio was a reasonable 1.6 times as of the halfway point of 2024.

Vodafone

Share pickers seeking strong paper value might also want to research Vodafone (LSE:VOD) today. The telecoms giant looks cheap based on predicted earnings and dividends, but this is not all.

With a price-to-book (P/B) value of below 1, at 0.8, its shares trade at a discount to the value of the company’s assets.

For 2025, Vodafone’s P/E ratio is 9.9 times, based on its current share price of 68.3p. And its corresponding dividend yield is a bulky 6.9%.

I’m not surprised on one hand by Vodafone’s cheap valuation. It’s slashed the dividend in response to help mend its balance sheet. And net debt remains high, at €31.8bn, fuelling market fears of further dividend cuts down the line..

But I also think Vodafone has significant long-term investment potential. Broadband and mobile services providers could profit handsomely as the digital economy rapidly grows. And Vodafone’s huge investment in 5G and fibre rollout could see it thrive in this landscape.

I also think the company’s operations in fast-growing African nations could prove highly lucrative.

F&C Investment Trust

Created with Highcharts 11.4.3F&c Investment Trust Plc PriceZoom1M3M6MYTD1Y5Y10YALLwww.fool.co.uk

At £11.56 per share, the F&C Investment Trust (LSE:FCIT) has risen sharply at the start of 2025. Yet it still trades at a near-10% discount to its net asset value (NAV) per share of £12.85.

Like other funds and trusts, it gives investors a chance to spread risk across a raft of companies (more than 400) in all. However, with a large weighting of US tech stocks, it could be in for a bumpy ride in the near term.

Less than sparkling results from the likes of Apple, Meta and Microsoft later this week could see the trust fall in value. In addition, fears concerns over Chinese company DeepSeek’s chatbot and its impact on the AI market may also push its price down.

Yet I believe these threats are baked into the trust’s low valuation. On balance, the tech market still looks in good shape for long-term growth as our lives become increasingly digitalised. What’s more, F&C Investment Trust’s diversification across many sectors helps to mitigate any tech-related stress.

Should you invest £1,000 in Safestore Plc right now?

When investing expert Mark Rogers has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for nearly a decade has provided thousands of paying members with top stock recommendations from the UK and US markets.

And right now, Mark thinks there are 6 standout stocks that investors should consider buying. Want to see if Safestore Plc made the list?

See the 6 stocks

Should you invest, the value of your investment may rise or fall and your capital is at risk. Before investing, your individual circumstances should be assessed. Consider taking independent financial advice.

Randi Zuckerberg, a former director of market development and spokeswoman for Facebook and sister to Meta Platforms CEO Mark Zuckerberg, is a member of The Motley Fool's board of directors. Royston Wild has no position in any of the shares mentioned. The Motley Fool UK has recommended Apple, Meta Platforms, Microsoft, and Vodafone Group Public. 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.

More on Investing Articles

Investing Articles

Here’s the dividend forecast for Rolls-Royce shares as Trump rocks the markets

Rolls-Royce shares have joined in the volatility over the past week. However, with the direction being largely downwards, the dividend…

Read more »

Young Asian man drinking coffee at home and looking at his phone
Investing Articles

Dividend yields of up to 11%! Here are 3 UK passive income stocks to consider

Searching for ways to supercharge your passive income with UK dividend stocks? Here are three that have grabbed our writer's…

Read more »

Young Caucasian woman at the street withdrawing money at the ATM
Investing Articles

£10,000 invested in NatWest shares at the start of 2025 is now worth…

NatWest shares surged into 2025, but things have become a little more complicated in recent weeks. Dr James Fox explores.

Read more »

Investing For Beginners

Why the FTSE 250 could outperform the FTSE 100 for the rest of the year

Jon Smith explains why the FTSE 250 could do better than its big brother when factoring in domestic exposure and…

Read more »

Three signposts pointing in different directions, with 'Buy' 'Sell' and 'Hold' on
Investing Articles

Tariff fears send the Lloyds share price tumbling, but the dividend yield is climbing

Just when the Lloyds Banking Group share price had been rising steadily, along comes a global upheaval to knock it…

Read more »

Bus waiting in front of the London Stock Exchange on a sunny day.
Investing Articles

Here’s how a stock market crash could help an investor retire years early

A stock market crash can be alarming -- but for the well-prepared investor, it can also be an exceptional opportunity…

Read more »

Investing Articles

1 key fact to remember in this stock market correction

This writer takes a look at a FTSE 100 investment trust that is catching his eye after the recent massive…

Read more »

Investing Articles

I was wrong about the Tesla stock price!

Tesla stock's been affected more than most by ‘Liberation Day’. But our writer has other concerns about Elon Musk’s company.

Read more »