In this article, we discuss the 5 best undervalued UK stocks to buy now. If you want to read about some more undervalued UK stocks, go directly to 10 Best Undervalued UK Stocks to Buy Now.
5. Redrow plc (LSE:RDW.L)
PE Ratio: 8.26
Redrow plc (LSE:RDW.L) focuses on house building activities in the United Kingdom. It is involved in acquiring land; and develops and sells residential housing properties. Redrow plc was founded in 1974 and is based in Flintshire, the United Kingdom. Harrow estates PLC, Redrow Homes, Redrow Regeneration and Image Lines Limited are subsidiaries of Redrow plc. On 26 August 2022, Redrow plc (LSE:RDW.L) revealed that it had acquired an eight-acre site in Oldham borough, with full planning permission for up to 77 new homes. The site acquisition represents a fifth in recent years for Redrow in Oldham.
Redrow plc (LSE:RDW.L) expects annual revenue to be around GBP 2.1 billion in 2022, roughly in line with financial year 2022 expectations. Its operating margin is expected to be 18%, down from 19.3% a year prior. The previous Redrow plc dividend was 22p. There are typically 2 dividends per year, and the dividend cover is approximately 6.4.
Redrow plc (LSE:RDW.L) was founded by Steve Morgan. In 1978, the company expanded into building contracting. In 1980, Redrow achieved its first million-pound contract. In 1982, the Redrow Homes development subsidiary was formed.
4. Schroders plc (LSE:SDR.L)
PE Ratio: 13.26
Schroders plc (LSE:SDR.L) is a publicly owned investment manager. The firm also provides advisory and consultancy services. It provides its services to financial institutions, high net worth clients, large corporate and local authorities. Cazenove Capital, Schroders Capital, Greencoat Capital LLP and Schroder Investment Management are subsidiaries of Schroders plc.
On March 03, Schroders plc (LSE:SDR.L) posted its earnings and revenue for fiscal year 2022. The revenue was £2.96 billion, up 17.9% compared to the revenue over the same period last year. Annual dividend yield of Schroders is 4.58% and quarterly dividend amount is 5.19 GBP.
Schroders plc (LSE:SDR.L) bears the name of the Schröder family, a prominent Hanseatic family of Hamburg with branches in other countries. The Schroder family, through trustee companies, individual ownership and charities, control 47.93 per cent of the company’s ordinary shares.
3. Mondi plc (LSE:MNDI.L)
PE Ratio: 7.19
Mondi plc (LSE:MNDI.L) engages in the manufacture and sale of packaging and paper products in Africa, Western Europe, Emerging Europe, Russia, North America, South America, Asia, and Australia. It employs 21,000 people with around 100 production sites. Mondi SCP, Mondi Limited, Simet S.A, Mondi Aberdeen Limited are subsidiaries of Mondi plc.
On August 04, Mondi plc (LSE:MNDI.L) posted its earnings and discussed its revenue, which was €4.51 billion, up 35.4% compared to the revenue over the same period last year. An interim dividend for the year ending 31 December 2022 of 21.67 euro cents per ordinary share was paid recently as well.
Mondi plc (LSE:MNDI.L) has its roots in South Africa where, in 1967, the company’s former owner, Anglo American plc, built the Merebank Mill in Durban. In 2000 the company increased its holdings in Neusiedler AG and Frantschach AG, both Austrian businesses, to 100% and 70% respectively.
2. JD Sports Fashion plc (LSE:JD.L)
PE Ratio: 20.46
JD Sports Fashion plc (LSE:JD.L) engages in the retail of branded sports fashion and outdoor clothing, footwear, accessories, and equipment for kids, women, and men. It operates through Sports Fashion and Outdoor segments. Its sports fashion brands include JD, Size, Footpatrol, Finish. Its outdoor brands include Blacks, Millets, Ultimate Outdoors, Tiso, Go Outdoors, Fishing Republic and Naylors. On September 9, JD Sports Fashion plc (LSE:JD.L) said that it has partnered up with OOOOO Entertainment Commerce, a mobile commerce platform, to launch live video commerce in the UK. JD will develop video commerce content on its growing platform with OOOOO Entertainment.
JD Sports Fashion plc (LSE:JD.L) recently announced that it grew revenues 38.85% from 6.17 billion GBP to 8.56 billion GBP while net income improved 64.82% from 224.30 million GBP to 369.70 million GBP, in 2022. 16 to 24-year-olds make up a large chunk of JD’s target audience. JD seeks to inspire the emerging generation of globally minded consumers through a connection to the universal culture of sport, music and fashion.
1. DCC plc (LSE:DCC.L)
PE Ratio: 13.92
DCC plc (LSE:DCC.L) is an Irish international sales, marketing and support services group. It was founded in April 1976 in Dublin, Ireland. The company’s DCC LPG segment sells and markets liquefied petroleum gas (LPG), refrigerants, and natural gas. Jones Oil ltd, DCC Energy, DCC Technology are subsidiaries of DCC Plc.
On May 17, DCC plc (LSE:DCC.L) posted earnings for the fiscal year of 2022, reporting earnings per share of £430.10p. The revenue over the period was £17.74 billion, up 32.3% compared to the revenue over the same period last year and missing market estimates by £3.43 billion.
You can also take a peek at 11 Best Micro-cap Dividend Stocks To Buy and 15 Best E-Commerce Stocks To Buy.
