Undervalued Stocks UK – Most Undervalued Stocks in 2020

Buying undervalued stocks is the objective of most seasoned investors. After all, you are buying the shares at a price lower than its perceived intrinsic value. In other words, in relation to the company’s true value, you believe that you are making an investment at a discount.

In this guide, we explore the most undervalued stocks in the UK in 2020. We also give you some background information on what to look out for when finding undervalued stocks yourself.

How to Buy Undervalued Stocks with 0% Commission

  1. Choose a 0% commission stock broker – we recommend registering with eToro.
  2. Fund your account with card, Paypal or instant bank transfer (min deposit $200).
  3. Select a company stock and open a position by clicking ‘Buy’.
  4. To buy and own physical shares, select 1x (zero leverage).
  5. To trade the share as a CFD, specify your Stop Loss, Leverage (2x or more), Take Profit and open your trading position.

To learn more, continue reading this guide.

Best Undervalued Stocks to Invest in Right Now

Before we take a more detailed look at 2020’s best undervalued stocks, here’s a quick summary of the top undervalued stocks to invest in today.

  1. Cineworld Buy Now
  2. Boohoo – Buy Now
  3. BP – Buy Now
  4. British American Tobacco – Buy Now
  5. Tesla– Buy Now

Top 5 Undervalued Stocks 2020

Although classifying a share as undervalued is subjective, it’s worth us outlining some possible examples to show you what seasoned investors typically look for.

As such, below you will find the top 5 undervalued stocks in the UK as of 2020. You should, however, perform your own research prior to taking the plunge.

1. Cineworld Group PLC (LSE)

Make no mistake it – were you in possession of Cineworld Group shares at the turn of 2020 and they are still sitting in your portfolio – you are looking at significant losses. At the start of the year, for example, the shares were priced at 220p. Fast forward to August 2020 and the very same shares are worth just 37p. This represents a decline of over 83% in just 6 months of trading. It doesn’t take a genius to figure out why the shares have been hit hard.

After all, UK cinemas have spent the vast bulk of 2020 with their doors shut. Put simply, this means that Cineworld has had virtually no incoming revenues for months on end. At the same time, it is burning through cash to meet its overheads and debt obligations.  Its share price was further impacted when Universal Pictures and AMC Entertainment formed a partnership to bring new cinema releases to TV screens from 75 days post-screening, to just 17 days.

Cineworld Group shares

The movies will end up on platforms like Netflix and Amazon Prime Video. While this isn’t ideal for the cinema chain, it should be noted that audience figures won’t necessarily be hit hard by this.  For example, as per the UK Cinema Association, admissions grew from 157.50 million in 2014 to 176.10 million in 2019. This represents growth of over 11% during a period that has seen unprecedented demand for TV streaming.

With that being said, it could be argued that Cinema Group’s decline is a substantial overreaction from the markets. If it is, this could make the shares heavily undervalued. In terms of targets, the short-term outlook is somewhat uncertain, not least because it remains to be seen when UK cinemas will re-open. But, it wouldn’t be a huge surprise if Cineworld was able to get back to June 2020 levels, where the shares were priced at 100p. If it can, this would amount to gains of 170% from its August 2020 lows.

75% of retail investor accounts lose money when trading CFDs with this provider.

2. Boohoo (AIM)

Boohoo is an online retailer that specializes in fashion for the 16-30 demographic. The firm has enjoyed an exceptional ride on the AIM exchange since its listing in 2014. Back then, you would have paid just 70p per share. Boohoo continued its sharp upward trajectory through to July 2020, where the shares breached 433p This translates into growth of 518% in the course of just 6 years. However, the online retailer was stopped in its tracks not long after its all-time high stock price.

This was because of a news scandal that accused Boohoo of facilitating slave-like working conditions in its factories. Additionally, it was also reported that a factory in Leicester – which is believed to have been sending up to 80% of its garments to Boohoo, was behind a COV-19 breakout in the city. Before the scandal broke, Boohoo was enjoying a remarkable market capitalization of over £6 billion. This would have put it firmly within the reach of the primary LSE and even the FTSE 100.

Boohoo shares

However, the shares have since tumbled, hitting lows of 224p. This translates into a mass sell-off that resulted in a share price reduction of 48%. Once again, some within the industry argue that the sell-off was a major overaction. After all, it must be noted that the financial markets have a very short memory when it comes to scandals such as this. Since hitting 224p, Boohoo shares have actually recovered to 267p – amounting to gains of 19%.

So that begs the question – does Boohoo fall within the remit of an undervalued stocks investment? Well, if you believe that the online retailer will eventually recover from its scandal-related losses and resume its upward trajectory, then they potentially are undervalued. In terms of the figures, increasing from 267p to 433p would require an increase of 62%. With that said, it remains to be seen how much bigger the firm can grow in the long run, so this pick might be one for the medium-term.

72.6% of retail investor accounts lose money when trading CFDs with this provider.

3. BP (LSE)

We have discussed the potential of BP stocks several times over the past few months and our position remains the same. That is to say, there is every reason to believe that BP shares are still heavily undervalued. Before we get to that, we need to look at what impact the coronavirus pandemic had on the firm’s stock price.  At the start of 2020, you would have paid just over 500p per BP stock.

Then, as global travel came to a standstill in March, BP stocks crashed. In fact, the shares hit 52-week lows of 222p. This means that BP lost just over 55% in share value in less than one month. Fully in-line with this downfall was the sharp decline of global oil prices.

BP shares

The Brent Crude Index – which is the most commonly used oil price benchmark outside of the US, hit lows of $19 per barrel in April. This was highly detrimental for BP, which is reported to have a break-even price of around $35 per barrel. However, the Brent Crude Index is now on a notable upward trajectory.  At the time of writing in August, this stands of over $45 per barrel – gains of 189% since its 2020 lows. This is very welcome news for BP investors.

As such, BP shares are slowly but surely showing signs of recovery. At the time of writing, BP shares are trading at 313p. Compared to its 52-week lows of 222p, this represents growth of 40%, which is huge. However, it is entirely feasible that the shares still have a long way to go. If this is the case, BP could represent an undervalued share investment.

75% of retail investor accounts lose money when trading CFDs with this provider.

4. British American Tobacco (LSE)

British American Tobacco is one of the largest tobacco producers in the world. It is listed on the London Stock Exchange and it is a major constituent of the FTSE 100. With a huge market capitalization of over £58 billion as of August 2020, you might be surprised to see BAT in our list of the best undervalued stocks. However, there are two key factors that make British American Tobacco stand out from the crowd.

First and foremost, its current share price of 2,562p is far shy of its prior all-time highs. It last reached this feat in 2017 – where the stocks hit 5,578p. Since then, the shares have been moving in the wrong direction.  In fact, British American Tobacco shares are worth just under 60% less than their 2017 highs. But, this once again could be unwarranted. For example, the firm has an exceptionally strong balance sheet – which includes free cash flow levels that are more than healthy.

British American Tobacco shares

The tobacco giant is also involved in an industry that typically falls within the remit of ‘staple’ products. In simple terms, this means that tobacco is demanded by consumers no matter how good or bad the wider economy is. Moreover, and perhaps most importantly, British American Tobacco is one of the best dividend payers on the FTSE. At the time of writing, this now stands at trialling dividend yield of just over 8%.

Crucially, its short-term slump could be put down to operational and distribution challenges as per the COV-19 pandemic. As a result, not only do you stand to buy these shares at a discount, but you will be doing so with an attractive dividend yield in play. In terms of where the shares could go in the medium term, it might be worth targeting its 52-week high of 3,507p. This was achieved as recently as January 2020. If it does reach this feat, you are looking at gains of 55% as per current prices.

75% of retail investor accounts lose money when trading CFDs with this provider.

5. Tesla (NASDAQ)

This particular pick might also surprise some of you, especially when you consider that the stock is now in all-time high territory. For those unaware, Tesla is a US-based electric car maker that is also involved in other sectors such as renewable energy solutions. The firm was only launched in 2003, and it held its respective IPO as recently as 2010. Speculative investors were able to purchase Tesla shares at just $17.

Fast forward to 2020 and the stocks have hit 52-week highs of $1,794. This works out at gains of over 10,000% in just 10 years. This rapid growth was further amplified in July, whereby it was announced that Tesla became the most valuable carmaker in the world. The firm subsequently overtook Toyota – the Japanese car manufacturer that was founded way back in 1937. So, why does all of this make Tesla undervalued?

Tesla shares

Well, first and foremost, we need to look at the very short-term. With the shares priced at $1,487 as of August 2020, there is a bit of upside available if and when Tesla regains its 52-week high of $1,794. In doing so, it would represent growth of 20%. However, it is the long-term potential of Tesla that interests investors. After all, the firm is still at the very start of its carmaking journey, so arguably, revenues are still worth just a fraction of what they could be in the near future.

Crucially, this is what finding the most undervalued stock is all about – looking at the current share price in relation to the firm’s predictable future cash levels. With that in mind, there really is knowing just how big Tesla will become. Its core market – electric cars, is likely to play a major role in how we view travel in years to come. This is also the case for the firm’s renewable energy venture – especially its involvement in solar.

75% of retail investor accounts lose money when trading CFDs with this provider.

What are Undervalued Stocks?

If something in life is undervalued, then it means you stand the chance of buying it at a lower cost price in relation to its ‘true value’. You could just as easily refer to this is as a discounted purchase.

This is no different from the world of stocks and shares. That is to say, by getting your hands on the most undervalued stocks, you are buying the stocks at a price lower than its intrinsic value.

For example:

  • Let’s say that you buy BP shares at 250p per stock
  • But, based on future cash flows and its predicted revenues, you feel the shares are worth 400p
  • As such, you’ve just bought some undervalued stocks

However, the key point here is that the term ‘value’ is a subjective metric. In other words, just because you ‘believe’ that BP shares have an intrinsic value of 400p, this isn’t necessarily the case. On the contrary, the markets might have it spot on at a value of 250p per stock.

As a result, finding and buying undervalued stocks is a skill-set that very few investors can master. Legendary stock market guru Warren Buffet most definitely falls within this bracket. Buffet himself has said on many occasions that the Secret Sauce of choosing which companies to invest in is to look for the most undervalued stocks.

Buffet will do this by reading through financial report after financial report – with the view of finding a hidden gem. If you are successful in buying an undervalued share, then, in theory, you should make money when it returns to its intrinsic value.

How to Find Undervalued Stocks

So now that we have discussed some of the best UK undervalued stocks of 2020, we now need to explain how you can find discounted stocks yourself. After all, you should never buy shares just because a third-party believes they are undervalued. On the contrary, you need to perform in-depth research and ultimately – make your own investment decisions.

Nevertheless, to help point you in the right direction, below we list some crucial steps that you need to take in your search for the most undervalued stocks.

Tip 1: Learn why a Company Might be Deemed to be Undervalued

First and foremost, it is somewhat difficult to find an undervalued share if you don’t quite understand why the stocks represent a good deal. After all, for a stock to be undervalued, it needs to be trading at a price lower than its perceived intrinsic value.

This will typically be for one of the following reasons:

Wider Market Crash

When the uncertainties of the COV-19 pandemic came to light, the financial markets reacted with outright fear. That is to say, virtually every stock market in the world lost value during the collapse of March 2020. This was at no fault to individual companies per-say, as the crash brought the entire markets down with it.

S&P 500 Index

With this in mind, stock market crashes are actually one of the best times to buy undervalued stocks. For example, the S&P 500 – which tracks 500 large companies in the US, went from lows of 2,237 points in March to a current price of 3,306 points. This works out at gains of over 47%.

Negative Fundamental News

Shares can react to negative news stories very quickly. For example, if a firm announces that it is planning to make a series of job cuts, this would be a cause of concern for shareholders. As such, there could be a short-lived overaction to the news, with shareholders offloading their stocks.

In turn, this would force the price of the shares down. However, if you can see beyond the news story (like in the case of Boohoo), then this could be a good opportunity to buy the shares at a discount.

Earnings Report

Most companies will release earnings reports every three months. This gives the public a breakdown of how the company has performed in the most recent quarter – and will include metrics like revenues, operating margins, cash flow levels, and more.

If it turns out that the earnings report yields worse-than-expected results, then naturally, the market will respond negatively. Once again, this provides an opportunity for shrewd investors to buy the shares at a discount. This is because the sell-off is often just a short-term reaction.

Tip 2: Focus on Sectors you Understand

On top of exploring why a company might be undervalued, you should also make sure you only focus on sectors that you actually understand. In other words, how can you be sure if a stock is undervalued if you do not know how its business model functions?

For example, do you know how Tesla generates its main source of income, or why British American Tobacco pays such an attractive dividend yield? If you don’t know the answer to these questions, then this illustrates that you need to perform additional research.

In fact, it’s best to focus on a particular sector like retail, tech, or banking – as opposed to trying to be a Jack of All Trades.

Tip 3: Learn Key Financial Ratios

While the fundamentals are always a good place to start, there are several financial ratios that can help you find undervalued stocks.

This includes:

  • Price-to-Earnings Ratio: This is a ratio that looks specifically at whether a company is potentially over or undervalued. You need to take the current share price and divide it by the firm’s annual earnings. While there are other metrics to take into account, a low P/E ratio could indicate that the shares are trading at below market value.
  • Debt-to-Equity Ratio: The debt-to-equity ratio looks at the size of the firm’s debt levels to that of its shareholder equity. The larger the ratio, the more debt it has on its books. This could illustrate that the stock is overvalued, so do bear this in mind.
  • Price-to-Earnings to Growth: As the name suggests, this ratio is used in conjunction with the price-to-earnings. You will be left with a ratio once you divide the P/E into the firm’s projected earnings growth. In particular, if the stock has a high P/E and high PEG, it could be undervalued.

There are many other accounting ratios that you can use to determine the true value of a stock. As such, it’s well worth doing some independent research.

Tip 4: Look at the Bigger Picture

There are some metrics in the stocks and shares space that cannot be found on the balance sheet. Instead, you sometimes need to look beyond the numbers. Amazon is a prime example of this. Due to the fact that its online retail business has virtually no competition, Amazon is in full control of its pricing model.

That is to say, during times of economic uncertainties, Amazon has the capacity to reduce its prices in order to attract even more customers. Other online retails operating in the space would not be able to do this, as they don’t have a balance sheet or market share anywhere near as strong as Amazon.

This relates to the process of finding the most undervalued stocks, not least because you sometimes need to think outside the box.

Why Buy Undervalued Stocks?

If you were able to get your hands on a £50 note for just £30, would you view this as good value? Well, this is exactly how you should view the most undervalued stocks of 2020. As we discussed in great detail earlier on, you are essentially buying shares at a discount. This is because the price you pay is lower than the stock’s true intrinsic value. If your perception of the stock’s value is correct, then you stand to make money if and when the shares eventually reach their projected value.

For example:

  • Let’s say that HSBC shares are priced at 330p
  • As per your research, you believe that the intrinsic value of HSBC shares is 500p
  • As such, you decide to buy 1,000 shares
  • This takes your total investment to £3,300
  • Although it takes 18 months, HSBC finally hits your projected share price of 500p
  • You sell 1,000 shares at 500p, which amounts to £5,000
  • On an initial stake of £3,300, you made a profit of £1,700

Although the above example is arbitrary, it illustrates just how lucrative buying undervalued share can be when your projection is correct.

How to Calculate Undervalued Stocks 2020

The only way that you can calculate undervalued stocks is to use one of the accounting ratios that we discussed earlier. This won’t necessarily give you a sure-fire way of knowing whether or not a share is undervalued, but it will point you in the right direction.

To illustrate this, below we give you an example of how the ratios can help us find an undervalued share.

Example of P/E Calculation

  • Let’s say that Facebook has a stock price of $250
  • We’ll say the firm made annual profits of $25 billion
  • We’ll also say that 2 billion shares are in circulation
  • The Earnings Per Share (EPS) would, therefore, amount to 12.5 ($25 billion / 2 billion)
  • To get the P/E ratio, we would need to divide 12.5 into Facebook’s share price of $250
  • This leaves us with a P/E ratio of 20x

So now that you know that the P/E ratio of Facebook shares is 20x, then what? After all, you would need to be able to compare this to another metric in order to assess the value of the stock. Well, as Facebook is listed on the NASDAQ, it would be wise to see what the average P/E ratio is for that particular exchange.

  • If the average P/E ratio on the NASDAQ was 35x, the Facebook shares could be undervalued
  • If the average P/E ratio on the NASDAQ was 10x, the Facebook shares could be overvalued

You could go even deeper by looking at the average P/E ratio for firms operating in the same sector as Facebook, such as Twitter.

Example of Price-to-Book Ratio

  • The price-to-book (P/B) ratio looks at the firm’s book value against that of its current share price
  • The book value looks at the firm’s value in terms of its balance sheet
  • If the ratio is below 1, then this could mean that the shares are undervalued
  • Let’s say that Company XYZ has a share price of $30
  • It also has a book value of $50
  • This means that its P/B ratio is 0.6x ($30/$50)

As you can see from the above, as Company XYZ has a P/B ratio of less than 1, it could be undervalued.

Best Shares Brokers for Undervalued Stocks in the UK

If and when you find undervalued stocks, you will then need to locate a suitable stock broker. There are heaps of platforms active in the online space, so you need to find one that meets your needs.

For example, you don’t want to use a broker that charges high fees, as this will eat into your share dealing profits. Similarly, you’ll want to ensure the platform is heavily regulated, and that it accepts your preferred payment method.

With this in mind, below you will find a selection of stock brokers that allow you to buy undervalued stocks in the UK.

1. eToro – Best All-Round UK Stock Broker with Zero Commission

As we briefly covered above, buying undervalued stocks is all about maximizing your potential profit. As such, you’ll want to use a stock broker that allows you to buy shares in a cost-effective manner. In this context, it really doesn’t get much better than eToro.

The broker – which is now home to over 12 million clients, allows you to buy over 800+ shares, including many of the best shares to buy, on a commission-free basis. Not only does this include shares listed in the UK, but 16 international markets. This covers the likes of the NYSE, NASDAQ, and TSE. On top of zero fees, eToro also stands out as the go-to broker for beginners.

This is because the platform is super-easy to use, so you do not need any prior investment experience. Once you have found an undervalued share you like the look of, you can invest from just $50 per stock. This is great, as it allows you to diversify with ease. Other notable features include the eToro Copy Trading tool. This allows you to copy portfolios from seasoned investors. You can also copy their ongoing stock trades.

In terms of the specifics, eToro allows you to deposit funds with a debit/credit card, e-wallet, or UK bank account. Minimum deposits start at $200 (about £160), and a 0.5% currency conversion charge will apply. The platform is heavily regulated, including a license with the FCA. eToro is also partnered with the FSCS, meaning your funds are protected up to the first £85,000.

eToro fees:

Pros:

  • Super user-friendly online stock broker
  • Buy stocks without paying any commission or share dealing charges
  • 800+ stocks listed on UK and international markets
  • Deposit funds with a debit/credit card, e-wallet, or UK bank account
  • Ability to copy the trades of other users
  • FCA and FSCS protections

Cons:

  • Not suitable for advanced traders that like to perform technical analysis

75% of retail investors lose money trading CFDs at this site

 

2. Plus500 – Commission-Free Stock CFD Trading Platform

Plus500 is a completely different kettle of fish in comparison to eToro, as it does not offer traditional share dealing services. On the contrary, the platform is a specialist CFD (contracts-for-differences) provider. This means that you will be speculating on the future value of a stock without you taking ownership.

Although somewhat different to traditional investing, this does come with a number of benefits. For example, you can choose from both a buy (long) and sell (short) order. This means that you can speculate on whether you think the stock CFDs will increase or decrease in value. All trades at Plus500 are commission-free, too.

Plus500 is also favoured by UK traders because it offers leverage facilities. On stock CFDs, this stands at 1:5 if you are a retail client. This goes up to 1:30 when you trade major currency pairs. Outside of stock CFDs, the platform hosts a range of other financial instruments. This covers CFDs in the form of indices, commodities, cryptocurrencies, forex, and interest rates.

If you like the sound of trading stock CFDs on a commission-free basis, Plus500 allows you to open an account in minutes. It requires a minimum deposit of just £100. You can choose from a debit card, credit card, Paypal, or a bank account transfer. There are no fees to deposit or withdraw funds. Plus500UK Ltd is authorized & regulated by the FCA (#509909).

Pros:

  • Commission-free CFD platform – only pay the spread
  • Thousands of financial instruments across heaps of markets
  • Retail clients can trade stock CFDs with leverage of up to 1:5
  • You can short-sell a stock CFD if you think its value will go down
  • Takes just minutes to open an account and deposit funds

Cons:

  • CFDs only
  • More suitable for experienced traders

80.5% of retail investors lose money trading CFDs at this site

3. IG – Trusted UK Share Dealing Platform With 10,000+ Equities

IG is a very well established broker that provides access to over 10,000 shares. On top of hundreds of UK-based companies, this also covers shares listed in the UK, South Africa, Australia, Canada, and more. This gives you the best chance possible of finding an undervalued share.

On the one hand, IG does not offer free share dealing purchases like eToro. But, you can still get your hands on stocks for a relatively good price. This starts at £8 per order, which you will pay when you buy shares and again when you sell them. This is especially useful if you trade larger volumes, as a percentage-based commission can hit you hard.

You can actually get your share dealing fee down to £3 if you traded three or more equities in the previous 30 days. IG offers two stock trading platforms to choose from. This covers MT4 and its own proprietary platform. Both are packed with advanced trading tools and technical indicators, which is ideal if you are looking to perform chart analysis. You can also trade via the IG mobile application. This is useful if you want to have access to your portfolio while on the move.

IG allows you to open an account online or via your mobile phone in minutes. You will need to deposit at least £250. Supported payment methods include a UK debit/credit card or bank account. The former is instantly processed, while the latter can take a few days. Much like eToro, IG is heavily regulated – including that all-important FCA license.

Pros:

  • Trusted UK broker with a long-standing reputation
  • Good value share dealing services
  • Leverage and short-selling also available
  • Spread betting and CFD products
  • Access to UK and international markets
  • Great research department

Cons:

  • Minimum deposit of £250
  • US stocks have a $15 minimum commission

How to Buy Undervalued Stocks in the UK

In the final stage of our guide, we are going to show you how to buy the most undervalued stocks in the UK. The guidelines below are based on our top-rated broker eToro, which offers one of the best share dealing accounts in the UK and allows you to buy shares on a commission-free basis.

Step 1: Open an Account and Upload ID

Before you can buy shares at eToro, you will need to open an account.

eToro sign up

The process takes just minutes and simply requires some personal information.

This includes your:

  • Full Name
  • Home Address
  • Date of Birth
  • National Insurance Number
  • Contact Details

As noted earlier, eToro is licensed with the FCA and partnered with the FSCS. This means that it must ask all new account holders to upload some ID.

This includes:

  • Passport or driver’s license
  • Proof of address – Utility bill or bank account statement

Step 2: Deposit Funds

You will now be asked to deposit some funds.

  • The minimum deposit is $200 (about £160)
  • All deposits come with a 0.5% currency conversion fee
  • You can choose from a debit/credit card, e-wallet, or bank transfer
  • Unless you are using a bank account, all deposit methods are instant

Step 3: Buy the Most Undervalued Stocks

As soon as you have funded your eToro account, you can begin buying undervalued stocks. First, you will need to search for the company that you wish to invest in. In our example, we are buying shares in top-rated dividend stock British American Tobacco.

Search for undervalued shares on eToro

Then, we need to click on the ‘Trade’ button.

Trade undervalued shares on eToro

To complete your investment, you simply need to enter the amount of shares that you want to buy. This needs to be stated in US dollars. As per the example below, we are buying $50 worth of undervalued stocks.

Buy undervalued shares on eToro

And that’s it – you’ve just bought some undervalued stocks without paying any commission!

Conclusion

In effect, undervalued stocks allow you to invest in companies at a discount. This is because you are potentially buying the shares at a lower price in comparison to its intrinsic value. The difficult part is knowing how to find undervalued stocks.

After all, if it was that easy, we would all be doing it. On the flip side, we hope that our explainers have helped point you in the right direction.

If you have a share in mind that you think is undervalued, and you wish to make a purchase right now, you can do so with eToro without paying any dealing fees. By clicking the link below, you could have your first undervalued share purchased completed in minutes!

eToro – Buy Undervalued Stocks with No Commission

75% of retail investor accounts lose money when trading CFDs with this provider.

FAQs

What are undervalued stocks?

If you buy shares at a lower price than their intrinsic value, then you are technically buying undervalued stocks.

Which stock market is best for finding undervalued stocks?

Undervalued stocks can be found on all stock markets. This includes everything from the LSE, AIM, NASDAQ, and NYSE.

What is the best ratio to find undervalued stocks?

There are several ratios that seasoned investors use to find undervalued stocks. This includes the likes of the P/E ratio and P/B ratio.

Which shares are undervalued?

The term 'undervalued stocks' is a subjective one. After all, what is undervalued to one investor might appear overvalued to the next! As such, you need to do some research in order to find the best undervalued stocks.

How do I buy undervalued stocks in the UK?

You can buy undervalued stocks from eToro without paying any dealing fees.

All trading carries risk. Views expressed are those of the writers only. Past performance is no guarantee of future results. The opinions expressed in this Site do not constitute investment advice and independent financial advice should be sought where appropriate. This website is free for you to use but we may receive commission from the companies we feature on this site.
Kane Pepi

About Kane Pepi

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.