This FTSE100 can be a great place to find the highest value stocks. I already own Barratt Development (LSE:BDEV) shares. And their stunning all-round value for money means now could be a good time to buy even more shares.

This is why.

An improving market

Developers have had a tough time of it recently as higher interest rates have sapped demand for homes, with City analysts predicting that this has caused Barratt’s profits to fall by 60% in the last financial year to June 2024.

However, analysts expect annual profits to rise sharply from here. They predict a market recovery as the Bank of England (likely) starts cutting interest rates in the coming months.

Fresh data from today (July 15) Right move highlights how profits could potentially bounce back at firms like Barratt. It shows average asking prices fell 0.4% year-on-year to £373,493 this month.

But on a positive note, it also revealed a 15% jump in the number of sales agreed. That’s a significant escalate from the 6% escalate reported a month ago.

It looks budget-friendly

However, there are risks to the recent general recovery in the property market and, by extension, developer profits. Persistent inflation could cause the BoE to keep interest rates on hold, limiting further improvement.

Higher than usual levels of cost inflation could also remain a problem.

However, I believe these factors can be reflected in the exceptional cheapness of Barratt shares. City analysts expect earnings this year to rise by 23% in FY25. That leaves the FTSE 100 firm trading on a price-to-earnings growth (PEG) ratio of 0.7.

A reminder that any reading below one indicates the stock is undervalued.

Exaggeration?

Barratt shares fell after the firm’s full-year trading update last week, with investors spooked by a piercing fall in project completions in the 12 months to June and forecasts that they would fall to between 13,000 and 13,500 this year, from 14,004 in the previous period.

However, I think the negative market perception of the numbers may be an exaggeration. Home completions last year exceeded Barratt’s estimates, supported by a steady escalate in private net bookings from earlier lows.

This came in at 0.58 per energetic outlet per week, an improvement (albeit slight) from the 0.55 in FY2023.

Big chance

While the short-term outlook remains uncertain, I am confident that owning Barratt shares remains an attractive option for long-term investors.

Planning red tape has long been a problem for housebuilders. But Labour’s plans to ease restrictions – an idea that the recent government hopes will create 300,000 recent homes a year by 2029 – could make it much easier for builders to boost profits from there.

Barratt’s planned takeover FTSE 250 Index-listed Redraw will assist the company better capitalise on this excellent growth opportunity, also supported by the UK’s growing population and consequently increased demand for housing. The enlarged group has the potential to build 22,000 recent homes a year over the medium term, the FTSE firm says.

While it is not without risk, I believe Barratt shares could be one of the most attractive value stocks to look at right now.