When compelling ASX shares trade at low prices, they could be unmissable buys. Falling to near 52-week lows may be the best price we can buy at.
Of course, just because something has fallen doesn't mean it's going to rise again quickly. But I think investing at the lower price gives brave investors a much better margin of safety and will hopefully lead to stronger returns.
With the above in mind, let's look at two compelling ASX shares.
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Temple & Webster Group Ltd (ASX: TPW)
Temple & Webster is one of the leading online retailers in Australia, selling hundreds of thousands of products across homewares, furniture and home improvement.
A significant majority of the products sold are shipped directly by suppliers to customers. This means the company operates with a capital-light model and can offer a vast range compared to competitors with physical stores.
The digital nature of its operations also means it can provide digital tools to customers such as AI chat, augmented reality (see a product in your room) and so on.
While the current retail conditions are challenging – with a higher cost of living and lower house prices – I think things will improve at some point, we just don't know when. I believe this is why the Temple & Webster share price has fallen so far and why it makes sense to invest now.
Overall FY26 revenue may have only increased by 11% to $665 million, but home improvement revenue increased by 39% to $59 million. I think the home improvement segment could become increasingly important to the overall business as the years go by.
I believe online shopping adoption will help the company grow earnings in the coming years. The ASX share looks like great value to me, trading at 23x FY29's estimated earnings after falling around 80% in the past year (and close to its 52-week low).
Propel Funeral Partners Ltd (ASX: PFP)
The Propel share price is also near its 52-week low after dropping more than 40% over the past year. I think the market is punishing Propel partly because of higher interest rates (hurting the valuations of stocks like Propel), as well as higher inflation.
Propel is one of the largest funeral providers in Australia and New Zealand. It operates from more than 210 locations, including 42 cremation facilities and nine cemeteries.
It's a morbid idea, but the company has compelling long-term growth tailwinds because of Australia's ageing and growing population.
Propel says that Australian projected deaths are expected to grow at a compound annual growth rate (CAGR) of 2.8% between 2026 to 2035 and then a further 2.3% between 2036 to 2045. In other words, there's clear revenue tailwinds for two decades.
With rising average revenue per funeral and an ageing demographic, I think the ASX share is a good long-term hold while it trades near a 52-week low.
