4 of the best cheap UK shares to buy in June

These British stocks all look incredibly cheap on paper. Here’s why I think they could be some of the best UK shares to buy right now.

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Who doesn’t love a good bargain? I’m a sucker for a great deal, whether it be in my everyday life, or when I’m hunting for the best UK shares to buy. Here’s a handful of some top stocks I’m considering adding to my Stocks and Shares ISA this June.

#1: Bank on it

It’s my opinion that Bank of Georgia Group offers some of the best all-round value out there. City brokers think earnings will rise around 75% in 2021, leaving the company trading on a forward PEG of just 0.1. A reading below 1 suggests a share could be undervalued.

Also, the UK banking share offers a corresponding dividend yield a fraction shy of 4.9%. It’s true that the persistence of rock-bottom interest rates to aid the economic recovery poses a big risk to future profitability. But I’d still buy Bank of Georgia as economic activity in the company’s Eurasian emerging markets look set to explode again following Covid-19.

#2: One of my existing ISA holdings

I already own shares of Ibstock in my Stocks and Shares ISA. And at current prices, I’m thinking of adding more. The number crunchers think earnings here will rocket more than 200% year-on-year in 2021. This also leaves this UK share trading on a forward PEG multiple of 0.1.

Ibstock makes bricks and other masonry products, making it one of the best UK shares to buy to ride the house construction boom. The UK government plans to build 300,000 new homes a year by the middle of the decade. Remember that profits could take a hit if raw material prices spike however.

#3: 8%-plus dividend yields!

Like Bank of Georgia, I think Raven Property Group offers some mighty value from both an earnings and income perspective. The company — which operates logistics and warehouse buildings in Russia — trades on a forward price-to-earnings (P/E) ratio of around 9 times.

It boasts a stunning 8.3% dividend yield too. I think this is a great way to ride e-commerce in Russia, one of the fastest growing online shopping markets. But long-term investors should remember that the possibility of falling oil demand, and its potential impact on the Russian economy, could pose serious problems here.

#4: One of the best UK media shares to buy

At current prices, Scottish broadcaster STV Group trades on an undemanding P/E ratio of 12 times. It’s a rating I don’t think reflects the strong rebound in advertising revenues during this economic recovery.

It’s also one which fails to price in the huge progress this media company’s made in the digital arena. Its STV Player video on-demand service was the fastest growing broadcaster-run platform in the UK in 2020. Do bear in mind though, that the likes of Netflix, Amazon’s Prime service and Disney’s Disney+ streaming services all pose serious long-term risks to STV’s ability to keep growing rapidly.

Should you invest, the value of your investment may rise or fall and your capital is at risk. Before investing, your individual circumstances should be assessed. Consider taking independent financial advice.

John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool’s board of directors. Royston Wild owns shares of Ibstock. The Motley Fool UK owns shares of and has recommended Amazon, Netflix, and Walt Disney. The Motley Fool UK has recommended Ibstock and recommends the following options: long January 2022 $1920 calls on Amazon and short January 2022 $1940 calls on Amazon. 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.

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