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Here are some historically cheap stocks with upside including Facebook

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A giant digital sign is seen at Facebook’s corporate headquarters campus in Menlo Park, California, on October 23, 2019.

Josh Edelson | AFP | Getty Images

The recent rotation into value stocks has scrambled trader’s shorthand descriptions for which sectors are cheap and which ones look too pricey.

For much of 2020, the market was split into two, with high-growth tech and companies well-positioned for the pandemic surging to new heights while cyclical stocks lagged. However, the gap has closed over the past four months, and there is a growing list of exceptions to those simple rules in addition to stocks that still look cheap despite dramatic outperformance.

Some of the biggest examples are megacap tech stocks, many of which have underperformed year-to-date. CNBC’s Jim Cramer said Monday that he was intrigued by Facebook’s price-to-earnings valuation.

In that vein, the CNBC Pro screen below shows stocks whose forward price-to-earnings ratios are within 5% or below their three-year average. We then looked for stocks that Wall Street analysts are bullish on, expecting double-digit upside from here over the next 12 months, according to FactSet.

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