As the FTSE 100 slumps, here are 2 great bargain shares to consider!

The FTSE 100 index of shares is on course for its worst week so far in 2025. Down 1.8%, it’s slumped as fears on potential ‘Trump tariffs’ — and the threat of retaliatory action from the US’ trade partners — steadily grow.

News today (7 March) that Chinese imports collapsed 8.4% in January and February hasn’t helped the mood, potentially reflecting manufacturers’ fears over the impact of new trade wars.

President Trump’s decision to delay some tariffs this week gives reason for hope. But markets hate uncertainty, and more volatility on the Footsie (and other major indexes) can be expected as mixed signals from Washington continue.

But this shouldn’t cause long-term investors to panic. The Footie is up year to date and over 12 months. And I’m scouring the stock market to any find brilliant bargains that have been sold off in the panic.

Here are two I think deserve serious consideration from savvy investors.

Smurfit WestRock

Packaging manufacturer Smurfit WestRock (LSE:SWR) is one that’s grabbed my attention. At £36.26, its price-to-earnings (P/E) ratio has tumbled to 14.2 times for 2025 following recent price weakness.

But what’s really appetising is its rock-bottom price-to-earnings growth (PEG) ratio of 0.2. Any reading below one indicates that a share is undervalued. Smurfit shares clearly fall well below this threshold.

Smurfit sells cardboard boxes and other packaging products across the globe, and is an especially large player across Europe and North America. But it faces significant headwinds if punishing trade tariffs come in to dampen consumer and business spending.

On the plus side, its significant exposure to defensive industries could help limit any turbulence. It sells product across each part of the food and beverages supply chain, and is also a key supplier to fast-moving consumer goods (FMCG) and foodservice customers.

What’s more, its earnings outlook remains robust over the long term. Major structural opportunities (like the growth of e-commerce and emerging markets growth) exist. Furthermore, its steady transition to providing sustainable products puts it more in line with growing customer needs.

With its forward dividend yield also now peaking above the FTSE average (at 3.6%), I think it’s a great dip buy to consider.

Scottish Mortgage Investment Trust

The Scottish Mortgage Investment Trust (LSE:SMT) is another blue-chip faller I think merits serious attention.

Tech trusts like this have fallen sharply due to the cyclical nature of their holdings’ operations. But this is not the whole story. With large holdings in SpaceX and Tesla, investors fear it could be an indirect victim of the ‘Elon Musk trade’ (with those who don’t align to his political views shunning assets and products associated with the billionaire).

These risks deserve serious consideration. But I also believe they may be baked into Scottish Mortgage’s ultra-low valuation.

At 980.2p, it now trades at a 14% discount to its net asset value (NAV) per share. This is the widest it’s been for almost a year.

I also believe that, on balance, the potential benefits of owning Scottish Mortgage shares outweigh the risks. Over a long-term horizon, I expect fast-growing tech sectors like artificial intelligence (AI), cloud computing and robotics to drive earnings through the roof.

This post was originally published on Motley Fool