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Looking for bargain FTSE 100 shares to buy now? I’d invest £2k in these 2 cheap stocks today

Investing £2k, or any other amount, in FTSE 100 shares today may not deliver strong returns over the coming months. In fact, an uncertain outlook for the world economy may cause challenging trading conditions for many of the index’s members.

However, over the long run the index is likely to recover from its recent crash to post new record highs. It has achieved this goal following each of its previous downturns.

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With that in mind, here are two FTSE 100 shares that appear to offer good value for money at the present time. They could be worth buying as part of a diverse portfolio of equities.

FTSE 100 miner Fresnillo

Precious metals miner Fresnillo’s (LSE: FRES) share price has bucked the wider FTSE 100 trend to post a 5% rise since the start of the year. This could be due to improving investor sentiment towards gold miners as the commodity has often been viewed as a store of wealth during uncertain economic periods.

Furthermore, Fresnillo recently released a relatively positive update for the first quarter of the year. Its gold and silver production was in line with expectations, while it is making encouraging progress on its development pipeline. This may help the FTSE 100 business to deliver rising production in the coming years after some disappointing performances over recent years.

Despite its share price rise, Fresnillo seems to offer good value for money at the present time. It trades on a price-to-earnings growth (PEG) ratio of around 0.4. This suggests that investors have not yet priced-in its growth potential, which could lead to a rising share price over the medium term.

Fresnillo may also benefit from a continued uncertain economic outlook. As such, it could deliver stronger share price performance than many of its FTSE 100 index peers.

Shell

The oil price may have rebounded over recent weeks, but it continues to trade at exceptionally low levels. This is likely to negatively impact on the performances of a wide range of oil and gas companies, including FTSE 100 stock Shell (LSE: RDSB).

In response, the business has taken actions such as reducing its dividend, cutting capital expenditure plans and aiming to slash its operating expenses. These changes could help to strengthen its financial position ahead of what is set to be a challenging period for the wider industry.

Shell’s share price has declined by 47% since the start of the year. This suggests that investors have started to factor-in the problems it could face should commodity prices remain at low levels.

Since the FTSE 100 company has greater size and scale than many of its sector peers, it may be in a stronger position to survive difficult operating conditions over the short term. Therefore, on a long-term outlook, it could offer recovery potential from its current stock price level.

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Peter Stephens owns shares of Fresnillo and Royal Dutch Shell B. The Motley Fool UK has recommended Fresnillo. 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.