The year 2024 was not kind to us Prudent (LSE:PRU) share price. At 666.8 pence per share, one of the largest life insurance giants FTSE100Worst-performing stocks this year, down 25%.

That sinking feeling in “The Pru” didn’t simply materialize, though. In fact, the value has halved since the start of 2023 as concerns about Asian economies — and key market China in particular — have continued to grow.

I can’t support but feel that the bad news is already baked into Prudential’s low valuation. The company currently trades at a price-to-earnings (P/E) ratio of 9.2, below the FTSE 100 average of 10.8.

In fact, given how stable trading has remained in the emerging market stock, I think the market is too bearish. Here’s why I think this could be one of the best tactical Footsie buys right now.

Another solid update

In last week’s half-year statement, Prudential said up-to-date business profit remained stable at $1.47 billion during the period. That was down 1% at real exchange rates but still a solid performance given broader economic conditions.

It is hopeful, it was added that “in June we observed an increase in sales dynamics [that’s continued] until the second half of the year“.

This isn’t the first reassuring update the company has released in recent months. Indeed, the company’s adjusted operating profit rose a robust 6% between January and June, to $1.5 billion.

In other good news, Prudential reported that its free surplus ratio was a solid 232% in June. Down 10% percentage points from the same point in 2023, it remained well above its target range of 175-200%.

As a result, Prudential has increased its half-year dividend by 9% to 6.86 US cents per share.

Excellent value

As I mentioned earlier, Prudential shares are trading at a comfortable discount to the broader FTSE 100. But that’s not all. As the table below shows, its P/E ratio of 9.2 is also lower than all of its peers (bar MetLife).

One could argue that The Pru’s exposure to volatile emerging markets justifies such a discount. There may be some truth to that, but I’m not convinced.

In fact, I believe its geographic reach could give it better investment potential than its industry rivals. Specifically, it has a great chance to capitalize on rapid population growth and rising personal incomes in its outlying regions.

Indeed, according to research conducted by AllianzThe company said regional premium growth in 2023 was 14.9%, significantly higher than the long-term average of 5.2%.

In this climate, Prudential said it expects to deliver “15%-20% compound annual growth rate for up-to-date business profits and double-digit cash generation“.

Given that the company continues to expand in Asia and invest heavily in the digital sector, I wouldn’t bet on this being any different.