BP’s (LSE: BP) share price has fallen 13% from its 18 October traded high of £5.62. Given this fall, it currently trades on the key price-to-earnings (P/E) stock valuation measurement at 11. This looks cheap compared to its peer group, the average P/E of which is 14.6. This comprises Shell at 12.6, ExxonMobil at 14.4, Chevron at 14.8, and Saudi Arabian Oil at 16.4. But how cheap in cash terms? It appears to be around 40% undervalued at its present price of £4.90, according to a discounted cash flow analysis. Therefore, a fair value would be around £8.17, although there is no guarantee it will ever reach that price. However, it underlines to me that it looks to be one of the best bargains in the FTSE 100. Shares do not stay undervalued like this over the long term if their fundamentals look good, in my experience. Q1 2024’s results showed an underlying replacement cost profit of $2.7bn, against $3bn the previous quarter. This drop principally reflected lower oil and gas prices in the markets over the period and lower refining margins. As it stands, consensus analysts’ estimates are that BP’s earnings per share will grow by 10% a year to end-2026....