2 bargain FTSE 100 shares I’d buy now with £5k

first_img Renowned stock-picker Mark Rogers and his analyst team at The Motley Fool UK have named 6 shares that they believe UK investors should consider buying NOW.So if you’re looking for more stock ideas to try and best position your portfolio today, then it might be a good day for you. Because we’re offering a full 33% off your first year of membership to our flagship share-tipping service, backed by our ‘no quibbles’ 30-day subscription fee refund guarantee. Our 6 ‘Best Buys Now’ Shares Click here to claim your copy now — and we’ll tell you the name of this Top US Share… free of charge! I’ve got some cash to spare so I’m going to start scooping up bargain FTSE 100 shares.  Today I’ll  tell you exactly what’s on my shopping list. The first thing I’m looking for is great value. I follow Warren Buffett’s tactic: “Whether it’s socks or stocks, I like buying merchandise when it’s marked down.”5G is here – and shares of this ‘sleeping giant’ could be a great way for you to potentially profit!According to one leading industry firm, the 5G boom could create a global industry worth US$12.3 TRILLION out of thin air…And if you click here we’ll show you something that could be key to unlocking 5G’s full potential…The current P/E average across this market is 21.3 and the average dividend income payout in the FTSE 100 is 2.3%. If my picks can beat these averages? I think I should be on to a good thing. Bargain FTSE 100 shares: Aviva British insurer Aviva (LSE:AV) was once top of most investors’ favourite bargain FTSE 100 shares list. But it disappointed shareholders when it scrapped its FY19 dividend in April 2020. Yet I believe in hindsight, it was the right choice. In my eyes, CEO Amanda Blanc has done a great job of turning the business around. We heard this week that Aviva had completed the sale of its 40% stake in its Turkish operations for £122m. And Blanc has also disposed of underperforming overseas arms in Singapore and Italy to refocus on Aviva’s core markets.Dividends have returned too, albeit at a reduced rate. A 14p final dividend gives us a 3.4% yield at today’s share price. One risk is that Blanc continues to tighten Aviva’s belt and holds the dividend here, instead of adding the low-to-mid-single digit increases the City expects. But on the price side, I see these as bargain FTSE 100 shares with a P/E ratio of only 7.7. I’m wary that if the UK economy doesn’t recover as strongly as expected, we could see medium-term weakness in Aviva, however. Overall though, I see this FTSE 100 company in a good position to grow.Evraz’s juicy dividendEvraz (LSE: EVR) offers up a 5.6% dividend, way above the market average. The next one is due to be paid on 25 June, with an ex-dividend date of 25 May. The company is also unusual among FTSE 100 shares because it’s seeing extremely strong share price growth. In fact, it has added over 83% in the last six months and 161% in the last 12 months.I still think there’s far higher for this stock to go. While FY20 revenue dipped from $11.9bn to $9.7bn, FY21 revenue is expected to bounce right back to FY19 levels. And the company has forecast profits to double from $848m to $1.6bn next year. That’s an incredible leap for a massive multinational business. I want a piece of that. A recent trading update highlighted some quarterly production weaknesses. And Evraz is suffering from the same supply chain problems as many other big businesses. So the share price could suffer in the short term. However, we also have a sector-wide rally in commodity prices. So Evraz is able to sell its iron and vanadium for higher prices. Evraz could lose its bargain FTSE 100 shares status because of general market concerns over the environmental impact and sustainability of miners. It appeared in a recent study by sustainable finance manager Arabesque alongside Anglo American and BHP, which said these miners were producing CO2 emissions that could see damaging global temperature increases. In conclusion, the market can ‘mark down’ stocks for a variety of reasons. As a contrarian value investor, I have to weigh up these reasons carefully to choose true bargain FTSE 100 shares with growth potential.  2 bargain FTSE 100 shares I’d buy now with £5k TomRodgers has no current position in any of the shares mentioned. The Motley Fool UK has no position in any of the shares mentioned. 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. See all posts by Tom Rodgers Image source: The Motley Fool center_img Tom Rodgers | Thursday, 6th May, 2021 | More on: AV EVR Simply click below to discover how you can take advantage of this. Enter Your Email Address I’m sure you’ll agree that’s quite the statement from Motley Fool Co-Founder Tom Gardner.But since our US analyst team first recommended shares in this unique tech stock back in 2016, the value has soared.What’s more, we firmly believe there’s still plenty of upside in its future. In fact, even throughout the current coronavirus crisis, its performance has been beating Wall St expectations.And right now, we’re giving you a chance to discover exactly what has got our analysts all fired up about this niche industry phenomenon, in our FREE special report, A Top US Share From The Motley Fool. I would like to receive emails from you about product information and offers from The Fool and its business partners. Each of these emails will provide a link to unsubscribe from future emails. More information about how The Fool collects, stores, and handles personal data is available in its Privacy Statement. “This Stock Could Be Like Buying Amazon in 1997”last_img read more