A Cheap Ftse Stock

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A Cheap Ftse Stock

A Cheap FTSE 100 Stock To Consider

The FTSE 100 is at record highs, which can make many think that all the shares are in green. But in reality, there are a lot of great stocks that are still dirt-cheap and have good upside potential.

One stock from the FTSE 100, which is still cheap and has a very solid base, is Fresnillo (FRES). The recent increase in the prices of precious metals has also helped uplift the stocks related to them.

Fresnillo (FRES) Is A Good Mining Stock

In general, an increase in the prices of the precious metals can also send the mining stocks higher. Right now, there's a good chance that Gold's multi-year bullish trend will continue, which means there's more upside ahead for Fresnillo (FRES).

The research from WGC shows that Gold ETFs had $19 billion in inflows at the start of 2026. This is a very solid development and tells us that Gold's trajectory is still upwards despite the short-term weakness.

WGC also commented on how the recent decline in Gold prices actually led investors to buy the dip. So, even if Gold prices dip in the coming months, it will be viewed as a buying opportunity.

Since Fresnillo (FRES) is a big name in gold mining, it can also benefit from the strength in Gold prices. Also, the US Dollar is declining, and the interest rates are also falling.

Last but not least, there are worries that the AI bubble will burst, and this is also increasing the demand for safe-haven assets like Gold.

In an environment like this, it makes complete sense to invest in mining stocks like Fresnillo (FRES). But, it is also worth noting that the stock price of such companies is tied directly to Gold prices and thus carries high risk.

In the last year, the Fresnillo (FRES) share price has gone up by 387%, which is a lot more than what Gold gained during that period.

But despite this spectacular rise, the Fresnillo (FRES) shares are still cheap, and City analysts think that earnings can increase by 75% in 2026.

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