ASX Value Stocks: Uncovering 3 Companies Possibly Trading Below Fair Value Estimates

As the ASX 200 rebounds with a 0.9% gain to 8,245 points, Australian investors are cautiously optimistic despite looming uncertainties such as upcoming U.S. tariffs. With all sectors in the green and Energy leading the charge, this environment presents an opportunity to explore stocks that may be trading below their fair value estimates; these stocks often offer potential for growth when market conditions stabilize or improve.

Top 10 Undervalued Stocks Based On Cash Flows In Australia

Name	Current Price	Fair Value (Est)	Discount (Est)
Acrow (ASX:ACF)	A$1.06	A$2.03	47.7%
Nido Education (ASX:NDO)	A$0.86	A$1.63	47.3%
Domino's Pizza Enterprises (ASX:DMP)	A$27.58	A$50.80	45.7%
SciDev (ASX:SDV)	A$0.42	A$0.81	48.1%
PointsBet Holdings (ASX:PBH)	A$1.125	A$2.11	46.7%
Audinate Group (ASX:AD8)	A$8.88	A$16.45	46%
Electro Optic Systems Holdings (ASX:EOS)	A$1.12	A$2.22	49.5%
ReadyTech Holdings (ASX:RDY)	A$2.78	A$5.21	46.7%
Pantoro (ASX:PNR)	A$0.14	A$0.26	45.7%
Adriatic Metals (ASX:ADT)	A$4.37	A$8.23	46.9%

Click here to see the full list of 41 stocks from our Undervalued ASX Stocks Based On Cash Flows screener.

Here's a peek at a few of the choices from the screener.

Cettire (ASX:CTT)

Overview: Cettire Limited operates as an online luxury goods retailer in Australia, the United States, and internationally, with a market cap of A$411.74 million.

Operations: The company generates revenue primarily through online retail sales amounting to A$781.98 million.

Estimated Discount To Fair Value: 37.4%

Cettire is trading at A$1.08, significantly below its estimated fair value of A$1.72, indicating potential undervaluation based on cash flows. Despite a recent decline in net income to A$4.75 million, the company's earnings are forecast to grow at 43.4% annually, outpacing the Australian market's growth rate of 11.8%. However, profit margins have decreased from 3.6% to 0.3%, and revenue growth is expected at a moderate pace of 14.7% per year.

• Upon reviewing our latest growth report, Cettire's projected financial performance appears quite optimistic.
• Navigate through the intricacies of Cettire with our comprehensive financial health report here.

Integral Diagnostics (ASX:IDX)

Overview: Integral Diagnostics Limited is a healthcare services company that provides diagnostic imaging services to general practitioners, medical specialists, and allied health professionals in Australia and New Zealand, with a market cap of A$798.95 million.

Operations: The company's revenue is primarily derived from the operation of diagnostic imaging facilities, amounting to A$491.32 million.

Estimated Discount To Fair Value: 45%

Integral Diagnostics is trading at A$2.15, well below its estimated fair value of A$3.91, suggesting it may be undervalued based on cash flows. Recent earnings showed a net loss of A$0.396 million for H1 2025, but the company has become profitable this year with revenue growing to A$253.42 million from last year's figures. Despite shareholder dilution and interest payments not being well covered by earnings, revenue growth is projected to outpace the Australian market significantly over the next three years.

• Insights from our recent growth report point to a promising forecast for Integral Diagnostics' business outlook.
• Unlock comprehensive insights into our analysis of Integral Diagnostics stock in this financial health report.

Select Harvests (ASX:SHV)

Overview: Select Harvests Limited is an Australian company involved in the cultivation, processing, packaging, and sale of almonds and related by-products, with a market cap of A$652.27 million.

Operations: The company generates revenue primarily from its almond segment, which amounted to A$337.29 million.

Estimated Discount To Fair Value: 26.5%

Select Harvests is trading at A$4.59, below its estimated fair value of A$6.24, indicating potential undervaluation based on cash flows. The company recently became profitable and earnings are forecast to grow significantly at 34.3% annually, outpacing the Australian market's growth rate of 11.8%. Despite past shareholder dilution and a low future return on equity forecast of 8.8%, revenue is expected to increase faster than the market average over the next few years.

• The growth report we've compiled suggests that Select Harvests' future prospects could be on the up.
• Dive into the specifics of Select Harvests here with our thorough financial health report.

Taking Advantage

• Discover the full array of 41 Undervalued ASX Stocks Based On Cash Flows right here.
• Already own these companies? Bring clarity to your investment decisions by linking up your portfolio with Simply Wall St, where you can monitor all the vital signs of your stocks effortlessly.
• Streamline your investment strategy with Simply Wall St's app for free and benefit from extensive research on stocks across all corners of the world.

Ready For A Different Approach?

• Explore high-performing small cap companies that haven't yet garnered significant analyst attention.
• Diversify your portfolio with solid dividend payers offering reliable income streams to weather potential market turbulence.
• Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com