The FTSE 100 hits 4-year highs at 7,800+! Have I missed an investment opportunity?

Share on London Stock Exchange which is soaring at the beginning of 2023. The FTSE 100 has just reached a four-year high above 7,800 points. A bigger hike could be around the corner as people rush to build their investment portfolios.

Stock market sentiment rose on news of falling inflation in the US. Consumer prices fell 0.1% month-on-month in December, the first decline since spring 2020. Stock investors believe this may translate into through lower interest rates and reduced pressure on consumer spending.

The stock market can go down as quickly as it goes up. And dangers like rising Covid-19 cases in China and the conflict in Ukraine could pull the FTSE 100 back. But now, the UK’s main index looks set to pass the record high of 7,877.45 points in May 2018.

Stay cool

I am a British stock investor, so I like to see the value of shares on the London Stock Exchange rise.

And unlike many investors, I’m not kicking myself for not adding to my own portfolio before the New Year’s rally begins. This is because I invest with a long-term view.

Buying stocks with the intention of holding them for decades protects me from temporary volatility. And over this time scale, the gains made by FTSE 100 shares so far in January have had little impact on overall returns.

2 cheap stocks on my radar

On top of this, there are still plenty of dirt-cheap stocks out there for me to buy if I choose to jump in. Here are some of the FTSE 100 shares that offer brilliant all-round value today.

#1: Airtel Africa

At the current price of 114p, Airtel Africa trading at a forward price-to-earnings (P/E) ratio of 7.4 times. It also produces a dividend yield of 4%, higher than the FTSE index average of 3.7%.

Political unrest in key markets like Nigeria remains a threat to earnings. So is the increasing competition in the African telecommunications market.

But the business still appeals to me as a long-term investor. Demand for the mobile and financial services Airtel provides looks set to grow as Africa’s population and wealth levels rise. The latest trading numbers show the total customer base rose by almost 10% year-on-year to 134.7m in the six months to September.

#2: Legal & General Group

As a dividend investor, I am particularly attracted by Legal & General GroupThe highest dividend yield is 7.1%. The low P/E ratio of 7.3 times is also very attractive to me as a stock lover.

Demand for life insurance and investment products can fall sharply during difficult economic periods. This explains why this particular FTSE 100 stock is undervalued at the start of 2023.

But I would buy Legal & General stocks because of their bright long-term prospects. Sales of pensions and pension products should increase significantly as Western populations age rapidly. So need to get investment services as people become more active in wealth management. I expect the company’s share price to rise from its current level of 258.8p.