3 FTSE 250 stocks to buy today

The FTSE 250 recently hit a new all-time high. However, despite this performance, I think there are still plenty of bargains to be had in this mid-cap index. 

With that in mind, here are three companies I’d buy for my portfolio today. 

FTSE 250 stocks to buy 

I think some of the best investments on the market right now could be recovery plays. A great example is ITV (LSE: ITV). I own shares in this business because I think it’s deeply undervalued. 

Based on current analyst projections, the stock is trading at a forward P/E multiple of just 11.4. That’s below the company’s long-term average ratio of around 15. Of course, these are just estimates at this stage and the company isn’t guaranteed to hit these targets. 

Still, I think the outlook for ITV has improved dramatically over the past few months. Advertising revenue has recovered, and its studio business is reporting inquiries from companies all over the world. 

That said, the group is still fighting for market share with the large American streaming companies. It needs to keep on spending to try and maintain its market share. This could hold back growth in the long run but, as an FTSE 250 recovery play, I’d buy more of this business. 

Construction growth

Initial indications show that the construction industry is already roaring back to health. This implies the outlook for companies like Morgan Sindall (LSE: MGNS) is, well, looking up. 

Despite the brightening outlook for these businesses, the stock is still trading at a forward P/E of 11.3. That looks too cheap to me, considering the company’s potential in the near term.

Construction is a relatively cyclical business. So, if the economic recovery doesn’t live up to expectations, Morgan may suffer more than most. That’s something investors need to be aware of in the current market climate. The company’s tight profit margins also means it has little room for manoeuvre if costs rise significantly. 

While these risks and challenges are worth keeping an eye on, I’d buy the stock for my FTSE 250 recovery shares portfolio. 

Economic growth

Another industry that could benefit significantly from improving economic growth over the next few quarters is the financial sector. One of my top FTSE 250 picks in this sector is Virgin Money UK (LSE: VMUK). 

Like most financial institutions, this challenger bank has suffered from rising loan losses and low interest rates throughout the pandemic. Unfortunately, it doesn’t look as if interest rates are going to rise anytime soon. This is the biggest challenge the lender faces right now. 

However, with the stock trading at a 2022 P/E of less than nine and a price-to-book value of less than 0.6, I think these figures look incredibly cheap. Which is why I’d add the stock to my portfolio of recovery shares today.

As the UK economy begins to awake from its slumber, I think Virgin should benefit from increased consumer confidence, leading to more borrowing and spending.