5 cheap FTSE shares that I believe are set for big growth

first_img “This Stock Could Be Like Buying Amazon in 1997” 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. Image source: Getty Images Edward Sheldon owns shares in Clipper Logistics, ASOS, and Alpha FX. The Motley Fool UK owns shares of and has recommended ASOS. The Motley Fool UK has recommended Alpha FX and Clipper Logistics. 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. Simply click below to discover how you can take advantage of this. UK stocks have had a good run over the last few months. Since the stock market began rebounding from the Covid-19 sell-off in late March, many stocks have risen 50%, 100%, or more.There is still plenty of value to be found within the market, however. Here’s a look at five exciting FTSE small-cap stocks that I think look cheap right now.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…Cheap FTSE small-cap stocksOne FTSE stock that stands out to me as cheap at the moment is Clipper Logistics. It’s an innovative logistics company that offers a wide range of services, including warehousing, delivery, and returns management. Its customers include the likes of ASOS, Asda, and PrettyLittleThing.Clipper has grown rapidly in recent years (three-year revenue growth of 60%) and I see the potential for plenty of growth ahead. Recently, the company said it expects to benefit from evolving trends in the retail sector as Covid-19 accelerates the shift to e-commerce. The stock is not expensive, however. Currently, CLG shares trade on a forward-looking P/E ratio of 17. I think that’s an attractive valuation. Operating in a similar field is Urban Logistics. It’s a real estate company that invests in urban warehouses. These are designed to help businesses operate their distribution networks smoothly.Urban Logistics has grown its top line by nearly 450% over the last three years, and this year, analysts expect top-line growth of 67%. You don’t have to pay a premium for this growth though. Currently, SHED shares trade on a forward-looking P/E ratio of just 18.3.Another FTSE company that could benefit from the growth of online shopping is Macfarlane. It’s a leading packaging distributor that serves more than 15,000 businesses across the UK, Europe, and the USA. Its customers include Argos, Acer and Selfridges.Macfarlane supports companies in a wide range of growing industries including internet retail, consumer goods and healthcare. So I expect it to generate solid growth in the years ahead. The stock currently trades on a forward P/E ratio of just 8.9, which I think is a steal.Turning to the financial sector, one stock that stands out to me as a bargain is AFH Financial Group. It’s an under-the-radar wealth management company that has assets under management of around £6bn.AFH has grown at an impressive rate over the last five years, registering top-line growth of nearly 400%. Analysts expect the FTSE company to continue growing at a solid clip in the years ahead. The stock’s valuation doesn’t reflect this growth, however. Currently, the shares can be picked up on a forward-looking P/E ratio of just 10.9. I see that as top value.Finally, I also like the look of Alpha FX right now. It’s an innovative FTSE AIM 100 company that provides foreign exchange (FX) hedging services to small- and medium-sized businesses.Alpha FX is a highly profitable company that has grown at a phenomenal rate recently. Over the last three years, revenue has increased by 320%. I expect demand for its services to remain strong going forward.AFX shares currently trade on a forward-looking P/E ratio of 21.4 using next year’s EPS forecast. That’s an attractive valuation, in my view. 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. Click here to claim your copy now — and we’ll tell you the name of this Top US Share… free of charge!center_img 5 cheap FTSE shares that I believe are set for big growth 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. Edward Sheldon, CFA | Friday, 10th July, 2020 Enter Your Email Address Our 6 ‘Best Buys Now’ Shares See all posts by Edward Sheldon, CFAlast_img read more