Image source: Getty Images After a blistering run, International Consolidated Airlines Group (LSE: IAG) shares have dropped 9% in the last month. Is this an opportunity to buy them at a dirt cheap valuation, or a warning of worse to come? I should start by saying I bought shares in the British Airways owner in April. And they’ve done brilliantly. I snapped them up on a dip, after they’d been beaten down (like the rest of the stock market) by Donald Trump’s ‘Liberation Day’ tariffs. I’d been waiting for an opportunity to buy IAG, as it’s also known, and decided…
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Image source: Getty Images A popular way many investors assess a company’s value is through the price-to-earnings (P/E) ratio. I use a benchmark figure of 10 for the ratio fair value, but I can also look at the index average to compare it against. A low figure can indicate a stock is undervalued and here’s a FTSE 100 share with a significantly lower value than its peers! Cheap versus potential I’m referring to easyJet (LSE:EZJ). The airline operator currently has a P/E ratio of 7.37, well below the FTSE 100 average of 18.2. Over the past year, the stock’s down…
The Tesco (LSE:TSCO) share price has outperformed the broader FTSE 100 so far in 2025. It’s up an impressive 21% in the last year, but like most, I’ve already got an eye firmly on what could happen in 2026. As part of assessing how the stock could perform, I looked at analyst ratings, with some interesting results. Taking note of targets Four major banks have a 12-month price target of 500p for Tesco shares right now. The research teams at Goldman Sachs, JP Morgan, Barclays and BNP Paribas all have the same forecast for the stock for 2026. For reference,…
Image source: Unilever plc Shares of The Magnum Ice Cream Company (LSE:MICC) started trading today (8 December), making them eligible for an ISA portfolio. This came after the ice cream business was demerged from Unilever over the weekend. Unilever shareholders will receive one Magnum share for every five Unilever shares they own. However, I’m not a Unilever shareholder. So, should I buy some Magnum shares for my ISA? A sweet business After digging into the company, I see a few things I like here. First off, this is the world’s largest ice cream business, with four of the five leading…
Image source: Getty Images The FTSE 100 index has risen an incredible 17% so far in 2025. While I’m surprised by some of its strongest performers — Lloyds and BP, I’m looking at you — I’m not shocked by the stunning gains some other UK blue-chip shares have enjoyed. Take Aviva (LSE:AV.) and Games Workshop (LSE:GAW). These FTSE firecrackers have risen a stunning 36% and 46% respectively since 1 January. I’m convinced they can continue their impressive ascents too. So much so, in fact, that I’ve bought both of them for my own portfolio. But what could thrust these top…
Image source: Getty Images FTSE 100 banking heavyweight NatWest (LSE) is trading around a 17-year high. But I think there is still enormous value in the stock. Robust results, rising shareholder rewards, and growth fundamentals all underpin this view. So, how high could the shares go? What’s the stock’s ‘fair value’? A discounted cash flow analysis shows the shares are 43% undervalued at their current £6.18 price. This is despite its strong bullish run. The method uses cash flow forecasts for the underlying business to identify a stock’s true worth (or fair value). Therefore, the fair value of NatWest’s shares…
Tesla‘s (NASDAQ:TSLA) business operations have experienced a volatile year. This has been reflected in the sharp moves in Tesla stock. It’s up 20% over the past year, but my focus is now on 2026. I have my own views on where it will go in the coming year, but I wanted to get a second opinion, so I turned to ChatGPT to see what it thought. An underwhelming answer The chatbot told me it would expect the stock to finish in a range of $440-$520. For context, the share price is currently at $454. It explained why it offered this…
Image source: Getty Images easyJet’s (LSE: EZJ) share price is down 16% from its 12 December one-year traded high of £5.90. But this does not automatically make it a bargain. It all depends on whether there is a gap between price and value. So, is there one here, and if so, how wide is it? The gap Comparisons of key stock measures can be a useful starting point. If an entire sector is mis‑valued, component stock values can be distorted. However, this does not apply to the global airlines sector. Currently, it has an average trailing price-to-earnings (P/E) ratio of…
When Katie Wilson pulled off an upset win in the primary race to be Seattle’s next mayor, she set off a firestorm of speculation about whether the first-time candidate could persuade the public she was ready for office — and do it largely off the strength of a long resume as a transit organizer with no previous experience in electoral politics.Now that she’s poised to move into City Hall next month, some say the 43-year-old Transit Riders Union co-founder, renter, cyclist, bus rider, and mom has proved that running on a bold vision for transportation reform is a recipe for…
Image source: Rolls-Royce plc It’s finally happened! The Rolls-Royce (LSE:RR) share price has begun slipping after years of uninterrupted growth. After a mind-boggling 700% rise over five years, this past month (November) saw the shares dip 10%. Does this mean it’s over for one of the FTSE 100′s longest rallies? Or could a shift in focus keep the share price rising? Let’s take a look at why Rolls has another trick up its sleeve. Nuclear ambitions Recently, Rolls has been shifting its focus away from aerospace in an attempt to boost revenues elsewhere. This ambitious new chapter in its corporate…