Is it time to buy these 2 beaten-up ASX shares in 2025?

These ASX shares could be great buys right now.

| More on:
a man and a woman kneel in a boxing ring with exaggerated make-up injuries, posing in humorous stance with the woman leaning back on her knees and the man leaning against her bright pink boxing glove as he gasps for air.

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Certain beaten-up ASX shares could be appealing after dropping noticeably in the last several months, which could have opened up a buying opportunity for brave investors.

Just because a business has fallen doesn't automatically mean it's going to rebound. However, I think the two businesses I'll discuss have been oversold and could be good buys.

In a falling interest rate environment, I think investors could do well with the following ASX shares.

Australian Clinical Labs Ltd (ASX: ACL)

This ASX share is one of Australia's largest private providers of pathology services. It provides pathology services for a range of clients, including doctors, specialists, patients, hospitals, and corporate clients. It's also one of the largest private hospital pathology businesses in Australia.

As the chart below shows, the Australian Clinical Labs share price has declined by approximately a quarter of its value since 25 February 2025.

In the company's FY25 half-year results, it reported total revenue growth of $31.9 million to $369.2 million. Statutory operating profit (EBIT) rose $11 million to $26.9 million, and statutory net profit increased $6.8 million to $11.8 million.

I think this could be a compelling option for investors looking for a relatively defensive business that can deliver growth.

The beaten-up ASX share is looking to drive top-line growth through sustainable and profitable collection centre network expansion and hospital services growth at "margin accretive rates". The company is trading at 13x FY26's estimated earnings according to Commsec, with a potential grossed-up dividend yield of 6.8% including franking credits.

Siteminder Ltd (ASX: SDR)

Siteminder is another ASX share that is now trading at a much cheaper price. It's down approximately 30% from its February 2025 high, as the chart below shows.

This company provides the Siteminder software, which is a hotel distribution and revenue platform. It also offers Little Hotelier, an all-in-one hotel management software that aims to provide pleasing usability and efficiencies for smaller hotels.

The company is growing revenue at a strong rate, so I believe Siteminder's share price decline is only temporary and is likely to recover in the medium term. In the FY25 half-year result, the business reported its annualised recurring revenue increased 18.4% to $216.2 million.

Its increasing scale is helping the company's profit margins increase. In the HY25 result, its underlying gross profit improved by 118 basis points (1.18%) to 66.9% thanks to its operating leverage. This helped the company achieve positive underlying earnings before interest, taxes, depreciation, and amortisation (EBITDA) of $5.3 million, an improvement from the $1.2 million loss in the FY24 first half.

I'm expecting the company to be much more profitable in the next few years and continue winning more hotel customers, with a particular focus on larger ones.

Motley Fool contributor Tristan Harrison has positions in SiteMinder. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended SiteMinder. The Motley Fool Australia has positions in and has recommended SiteMinder. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Cheap Shares

A bland looking man in a brown suit opens his jacket to reveal a red and gold superhero dollar symbol on his chest.
Cheap Shares

Is the 2025 ASX share selloff your chance to buy generational bargains?

These shares don't often trade at such a discount.

Read more »

A young boy in a business suit giving thumbs up with piggy banks and coin piles demonstrating dividends and ex-dividend day approaching.
Cheap Shares

2 ASX shares now trading at crazy cheap prices!

These stocks are trading really cheaply. I think they’re good buys!

Read more »

Five arrows hit the bullseye of five round targets lined up in a row, with a blue sky in the background.
Cheap Shares

Why investors should be bullish on these 2 compelling ASX 200 shares

These under-the-radar stocks have a lot going for them…

Read more »

person sitting at outdoor table looking at mobile phone and credit card.
Cheap Shares

Down 86%! Thank goodness I didn't invest $10,000 in this ASX share five years ago – but should I buy today?

Has this ASX share been significantly oversold?

Read more »

Image of a fist holding two yellow lightning bolts against a red backdrop.
Cheap Shares

A forecast dividend yield of 5% and 12% undervalued, is it time for me to buy more of this ASX powerhouse?

It's rare to find a quality investment at a 12% discount right now.

Read more »

A woman peers through a bunch of recycled clothes on hangers and looks amazed.
Cheap Shares

3 ASX shares that are absurdly cheap right now

I love investing in discounted opportunities.

Read more »

A man reacts with surprise when her see a bargain price on his phone.
Cheap Shares

These 2 ASX shares are cheap buys, here's why

I think these ASX shares have a strong outlook.

Read more »

long term and short term on white cubes
Cheap Shares

1 oversold ASX stock down 19% that I'd buy for decades of income

The decline of this business looks like an opportunity.

Read more »