I like a discount as a lot as the following investor. The flagship FTSE 100 of main British shares has not too long ago been using excessive. However there are nonetheless bargains to be discovered, each within the FTSE 100 and the broader market. I’ve been searching for low-cost shares to purchase – and assume I discovered some!

Listed here are three I not too long ago purchased.

Victrex

I’m a longstanding shareholder in polymer producer Victrex (LSE: VCT) – and typically that doesn’t appear to be a sensible selection.

On paper, the moderately boring industrial feels like a doubtlessly nice funding.

It makes polymers to be used in safety-critical operate in automobiles, planes, and the like. That offers it pricing energy. It has plenty of proprietary merchandise, which makes it sound like Victrex has a license to print cash.

In follow, although, the share has halved in price over the previous 5 years.

There’s a danger from rising competitors. The important thing and high-margin medical section continues to be underperforming in relation to demand, and enter value inflation has made the enterprise more difficult than it as soon as was.

Nonetheless, the 6% yield is engaging. Whereas the present valuation seems excessive relative to earnings, the previous a number of years have seen earnings effectively beneath what I imagine Victrex is able to over the long term. As a long-term investor, I see its present price as a discount.

Greggs

Whereas Victrex could also be moderately obscure, the identical can’t be stated of ubiquitous bakery chain Greggs (LSE: GRG).

It has taken a easy, confirmed retail components and tweaked the enterprise mannequin to its personal benefit.

Distinctive product strains assist construct buyer loyalty and provides Greggs pricing energy. An unlimited property of branches affords economies of scale, permitting the chain to part-produce some merchandise at centralised factories earlier than delivery them out to retailers for onsite ending.

Client confidence is weak, doubtlessly hurting gross sales. Income are additionally threatened, by the extra wage and payroll prices imposed by final autumn’s Finances.

However final week’s share price fall following outcomes publication regarded overdone to me.

Greggs was on my record of shares to purchase for a very long time – so I made a transfer when it fell to what I noticed as a pretty price.

Related British Meals

If I requested you to call a elaborate tea model, there’s a truthful likelihood you’ll say Twinings. If I requested you to call a excessive road retailer specialising in low-cost garments, there’s a truthful likelihood you’ll say Primark.

And so forth – we may work by means of the record of well-known model belongings owned by Related British Meals (LSE: ABF) in such a approach for fairly some time.

Such a portfolio helps the FTSE 100 agency make strong earnings.

However considerations about competitors to Primark, weak commodity prices, and uneven demand within the agriculture enterprise have helped push ABF shares down to a degree the place it now sells for below 10 occasions earnings.

Like Greggs, this enterprise had lengthy been on my record of shares to purchase if the price was proper.

The present price seems engaging to me, which is why I not too long ago bought some ABF shares for my portfolio.