3 ASX shares that are absurdly cheap right now

I love investing in discounted opportunities.

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Key points

  • Despite strong market growth, there are still opportunities to buy undervalued ASX shares, such as those trading below their net tangible assets (NTA) or at low earnings multiples.
  • Bailador Technology Investments Ltd is notably undervalued, trading at significant discounts to its NTA despite robust portfolio growth, including a 47% revenue increase in FY25.
  • Rural Funds Group and GQG Partners Inc also present compelling opportunities; Rural Funds trades at a large valuation discount, while GQG offers high dividends and trades at a low P/E ratio after recent share price declines.

It's harder to find opportunities when the share market has risen so strongly. Both the ASX share market and global share market have delivered impressive market. Despite that. There are still some extremely cheap buy ideas available.

Being cheap can come in multiple forms such as a cheap share price compared to the net tangible assets (NTA) or net asset value (NAV). Or, it could be that the business trades at a low multiple of its earnings.  

The three ASX shares I'll highlight look far too cheap for their prospects.

Bailador Technology Investments Ltd (ASX: BTI)

I think Bailador could be one of the most undervalued businesses on the ASX.

It's a company that invests in private, fast-growing technology businesses that have attractive unit economics, a large addressable market, can generate repeat revenue and have the potential for international growth.

Despite having a good track record, the business currently trades at a 38% discount to the pre-tax NTA and a 30% discount to the post-tax NTA.

But, Bailador has a track record of selling its positions at a premium to the valuation it holds the investment. In other words, it always sells its holdings at a premium to the NTA.

The businesses within the portfolio are growing at a very strong pace – FY25 revenue increased 47%. When businesses are expanding that rapidly, they're very likely to increase their underlying value.

Despite all those positives, the ASX share trades at a huge discount.

Rural Funds Group (ASX: RFF)

Rural Funds is an appealing real estate investment trust (REIT) because it owns a diversified portfolio of farmland, it's benefiting from regular and contracted rental increases and it has a distribution yield of around 6%.

Its assets include cattle farms, almond farms, macadamia farms, vineyards, cropping farms and water entitlements.

Despite a number of RBA interest rate cuts this year, the business is still trading at a very large discount to its NAV.

At 30 June 2025, Rural Funds had an adjusted NAV of $3.08 per unit. That means it's currently trading at a huge 37% discount. A recent strong reading of Australian inflation could help accelerate rental growth for the business because a significant portion of rental increases are inflation-linked.

GQG Partners Inc (ASX: GQG)

GQG is a fund manager that provides clients from across the world with different investment options including US shares, global shares, international shares (excluding US shares) and emerging market shares.

It has been a rough period for GQG, with the investment team taking a defensive position in relation to the huge run-up of AI stocks. But, recent underperformance of benchmarks has led to a relatively small amount of funds under management (FUM) being withdrawn by clients, meaning monthly net inflows have turned into net outflows.

I still believe that was a fair and prudent move by the fund managers, but the GQG share price reaction looks extremely harsh.

In September 2025, it had FUM of US$167.2 billion compared to US$161.6 billion at September 2024 – that's a 3.5% rise year-over-year. Yet, the GQG share price is down more than 40% in the last 12 months.

Based on the latest quarterly dividend, it has an annualised dividend yield of 14.75% and it's valued at 6x its annualised distributable earnings.

Further FUM outflows would be disappointing, but I think the share price decline has been significantly overdone and now it's offering huge cash payouts and a very low forward price/earnings (P/E) ratio.

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

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