Hochschild Mining (LSE: HOC) is one company that has seen its share price retreat in response to this fall, a drop that’s been driven primarily by a pick-up in the US dollar (a development which of course makes the greenback-denominated commodity more expensive to buy).

But as I’ve explained before, there remains plenty of geopolitical and macroeconomic uncertainty out there that could play havoc with risk appetite and supercharge gold demand again. It’s the reason why UBS for one is predicting bullion prices will charge through the $1,400 per ounce milestone within the next 12 months.

Current forecasts suggest Hochschild will deliver earnings rises of 63% and 36% in 2019 and 2020, respectively, figures which leave it dealing on a forward PEG reading of just 0.5 (comfortably below the accepted bargain watermark of 1). Such a low valuation makes the digger a brilliant buy today, and particularly given the prospect of a fresh metal price surge.

10%-plus dividend yields

A dirt-cheap price also makes Bovis Homes (LSE: BVS) a great buy today. Right now it carries a prospective P/E multiple below the widely-regarded bargain benchmark of 10 times, at 9.2 times.

The housebuilder has seen its share price retrace 16% from the 2019 peaks hit in early March, reflecting growing market fears over the Brexit process and how this will impact property prices in the near term and beyond. Yet all the evidence from Bovis and its peers suggest the market remains as robust as ever.

Just last week, chief executive of the FTSE  250 firm Greg Fitzgerald lauded “[the] strong period of trading” since the start of the year, a timeframe in which the average private sales rate per site boomed 17% year-on-year to 0.61 and the company continued to report a “strong forward sales position.”

It’s no wonder that City analysts expect the firm to keep increasing profits through the next couple of years at least, helped by Bovis’s drive to boost build rates and the steps it’s taking to reduce margins too.

A final sweetener. Right now the company sports gigantic dividend yields of 10.3% and 10.7% for 2019 and 2020, respectively.

Value + dividends

Bakkavor Group’s (LSE: BAKK) share price may have remained unmoved since I last covered it at the end of April, but trading at the firm has been solid enough despite the persistence of poor shopper confidence and inflationary stresses in the UK.

News last week that the fresh food producer’s trading has been in line with expectations since the start of the year may not be enough to merit fireworks. But it’s further sign the company is still showing green shoots of recovery.

City analysts still expect the business to recover from an earnings dip this year by bouncing back into growth in 2020, reflecting the huge investment Bakkavor’s making in bright international marketplaces (US and China) and the massive investment it’s making elsewhere to improve its food ranges. Just this month, it purchased Blueberry Foods to bolster its desserts portfolio.

As I type, Bakkavor trades on a forward P/E ratio of 8.9 times and carries big dividend yields of 4.6% for this year, and 5% for next year too. These factors make it worthy of serious attention, in my opinion.

The post Is now the time to buy these FTSE 250 stocks (like this 10%-plus yielder)? appeared first on The Twelfth Magpie.

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Royston Wild has no position in any of the shares mentioned. The Motley Fool UK has no position in any of the shares mentioned. 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.

Under pressure

In that full-year release there was plenty to admire. Despite the pressures on shopper spending power Bakkavor — whose fresh produced foods can be found on the shelves of all of the so-called Big Four’supermarkets like Tesco and Sainsbury’s, as well as other major retailers like Aldi and Waitrose — still managed to raise like-for-like sales in its home territory by 1.8%.

The result paid tribute to the quality of its fresh products but there are signs that the FTSE 250 firm is starting to seriously succumb to the tough trading environment. It warned in February that “subdued consumer confidence and inflationary pressures have continued into 2019, and therefore we remain cautious and expect little improvement in underlying market conditions.” Indeed, Bakkavor said that it expected “limited growth” in its UK marketplace this year.

Turning point

It’s understandable that shareholders were minded to sprint for the exits again following that worrying commentary. The political and economic problems in Britain make things tough for the food industry, and as I type there are no signs of improvement on either front.

That said, I believe that Bakkavor’s share price could make a comeback in the coming months. In February’s update the firm said that it expected a “significant improvement” in trading during the second half of 2019 and a rise in UK turnover in response to recent contract wins in its core categories, evidence of which would put a rocket under market appetite once again.

A big deal abroad

But this is not the only reason to be optimistic. Bakkavor may be troubled at home but it’s not suffering the same misfortune abroad, territories in which its major clients include the likes of Starbucks and McDonalds. International like-for-like sales boomed 16% in 2018, reflecting changing global trends where consumers are turning their backs on frozen and long-life foods in favour of healthier, fresher products.

And the business is investing heavily to keep sales shooting higher in foreign climes, building two new factories in the US last year and three in its other white-hot growth market of China.

Because of this, City analysts are tipping Bakkavor to bounce back immediately from an expected 7% earnings decline in 2019 with a 5% rise in 2020. They predict that this will give the firm the confidence to keep paying generous dividends too (yields sit at 4.4% and 4.8% for this year and next respectively).

In spite of current troubles at home, the future remains extremely bright for the firm, an outlook I don’t feel is reflected in its dirt-cheap rating, a sub-10 forward P/E ratio. I reckon the foodie’s a great contrarian buy that could make you richer in the years ahead.

The post An embarrassingly-cheap FTSE 250 dividend stock I’d buy today appeared first on The Twelfth Magpie.

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Royston Wild has no position in any of the shares mentioned. The Motley Fool UK has recommended Tesco. 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.