The last few months may have been kind to shareholders of Fortescue Metals Group Limited (ASX: FMG) who have watched on as their shares rocket higher and higher.
But unfortunately not all shares have fared so well. Some have been beaten down to such a degree that I can't help but think they could be the biggest bargains on the S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) right now. The three shares are as follows:
BWX Ltd (ASX: BWX)
In the last month BWX's share price has dropped by just under 20%, possibly as a result of profit taking. I believe this has left the personal care company's shares at a great price for a buy and hold investment. BWX is best known for its Sukin premium skincare brand. Thanks largely to its growing popularity the company reported a 25% jump in net profit after tax to $12 million. With the product range due to launch in Boots pharmacies in the UK shortly, I'm optimistic on the company's future. At 21x estimated FY 2017's earnings according to CommSec, I believe this is relatively cheap for its growth prospects.
Monash IVF Group Ltd (ASX: MVF)
This leading IVF specialist has also dropped 20% in the last month in response to rival Virtus Health Ltd (ASX: VRT) warning that it was experiencing weakness in the industry. Although conditions may be weaker, Monash IVF has a habit of outperforming the industry. Last year its IVF patient treatments in Australia grew 12.9% compared to the industry average 8.2%. At 14x estimated FY 2017's earnings Monash IVF looks like a bargain to me. However, investors may want to hold off investing until after it provides an update at its AGM on November 24.
TPG Telecom Ltd (ASX: TPM)
In the last three months the telco giant's share price has lost 44% of its value, leaving its shares trading at just 18x forecast full year earnings. An underwhelming full year profit guidance and concerns over NBN margins were largely to blame. I feel these concerns have been overblown and expect that TPG Telecom will still deliver strong earnings growth over the next five years. This could make it a great time to add the company to your portfolio in my opinion.
