Cheap Stocks: Banco Bilbao Vizcaya Argentaria (BBVA)
BBVA Stock Price: $11.99
Banco Bilbao Vizcaya Argentaria (BBVA) is another Spanish lender that was laid low for a time by the economic implosion overseas, but business is back and soon the stock price will be too.
BBVA is off 3% for the year-to-date, hurt partly by its exposure to Russia, but other geographical areas remain healthy. Indeed, BBVA gets the vast majority of its profits from overseas holdings far from Europe, notably Latin America.
BBVA is a great play on Mexcio, where gross domestic product is expected to accelerate from as much as 4% this year to 4.2% in 2015. BBVA also has extensive operations in the hot economies of Chile, Colombia and Peru.
And there’s no doubt BBVA lands on a list of cheap stocks. Shares fetch just 14 times forward earnings, which is a good deal for a financial sector stock. The P/B is likewise attractive at 1.2. And the dividend yield of 7.1% is hard to beat. BBVA won’t linger on a list of cheap stocks for long.