2 dirt-cheap UK shares I’d buy in February to hold for 10 years!

I am looking for the best UK value stocks to buy for my portfolio next month. Here are two at the top of my shopping list.

Current pressure

At face value, Netflix‘s latest results last week were hugely encouraging. A 7.7m increase in the number of customers during the fourth quarter smashed forecasts of around 4.5m.

But the streaming giant faces an uphill battle in 2023 as the cost of living crisis deepens. This naturally poses a danger to companies that provide streaming services like Zoo Digital Group (LSE:ZOO), too.

At $16.8bn, Netflix is ​​spending $863m less on content creation in 2022 than in the previous year. Further reductions are anticipated across the industry as streaming companies protect their profit margins.

AIM starlet

That said, as a long-term investor, I believe the streaming industry remains a good place to put your money. After all, forecasters think the global market will expand with a compound annual growth rate (CAGR) of 21.3% between 2022 and 2030.

And I believe Digital Zoo can be the best way to do this. This AIM business allows TV and film companies to globalize and localize their products.

The problem with investing in streamers like Netflix is ​​that the competition is fierce. Disney, Amazon, and Apple only a few others fight a bloody battle for customers. And of course the business has to compete with free-to-air broadcasters and cable service providers.

This is why investing in Zoo Digital’s ‘pick-and-shovel’ stock might be a better idea for me. Providing tools for streamers to produce content, advise in a fast-growing but competitive market.

The key to big returns?

For the same reason, I trust software development service providers Keyword Studios (LSE: KWS) is a top buy. In fact, these are the tech stocks I already hold in my Stocks & Shares ISA.

The video game market is also very cut-throat. But this part of the UK – which provides technical and creative services to game studios – is also unaffected by strong competition.

Well, the demand for Keyword services can also be affected by the cost of living crisis. And the lack of acquisition targets can also undermine long-term growth plans.

But the level at which the end market is also tipped to grow still makes AIM an exciting show for me. The launch of new consoles and the rapid growth of the emerging market should fill the video game market for the next decade.

Two stocks above the UK value

I think these two hot growth stocks are great buys for patient investors. And I think, at the current price level, it’s probably too cheap to pass up.

Zoo Digital is trading at a forward price-to-earnings growth (PEG) ratio of 0.1. Any reading below indicates that the stock is undervalued by the market. And Keywords Studios carries a PEG ratio of 0.3.

With cash to spare to invest I will be looking to buy two shares of this value for my ISA in February.