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The market may be hitting record highs, but that doesn’t mean there aren’t cheap ASX shares out there for investors to buy.
For example, Bell Potter’s team recently identified two ASX 200 shares that it believes are currently being undervalued by the market.
Let’s see what this has to say about these shares:
Carr Group is an ASX 200 share highly rated by Bell Potter. It operates online automotive classifieds platforms in Australia and offshore markets. These platforms benefit from strong network effects, where buyers reinforce sellers and vice versa, reinforcing market leadership over time.
Bell Potter believes the car group can continue to grow earnings through pricing power, product enhancements and international expansion. Even when vehicle sales volumes fluctuate, the company’s dominant platform and recurring revenue streams help create long-term value.
Commenting on the company, the broker said:
Despite a defined product rollout map to drive value from market-leading networks in its large, recognizable markets, the company is trading at a P/E of ~28x for nearly two years, including C2C payments, a pay-per-lead model, regional expansion and scope, with a steady growth pipeline driven by market-based legacy advertising.
Bull Potter has a Buy rating on its shares. 42.20 is the price target.
Deans provide a very diverse range of exposure, one linked to the Australian agricultural sector.
The ASX 200 share offers a range of services to farmers, including agency, livestock, wool, real estate and financial products. This diversified model allows elders to benefit from activity in multiple segments of the rural economy rather than relying on a single commodity or season.
Bell Potter’s positive outlook reflects seniors’ scale, national influence, and strong position in agribusiness. As conditions normalize in parts of the agricultural cycle, the broker believes seniors are well-placed to deliver income flexibility and attractive returns over time. He said:
We see encouraging signs for FY26E, with cattle turn-off values up ~35% YOY through 1Q26TD, stable for rising values of crop protection active ingredients and marginally higher fertilizer price indicators. A more normalized sales pattern in FY26e, deliveries at Sesmode and backward integration initiatives, sector activity tailwinds and consolidation of Delta are expected to drive high double-digit EPS growth in FY26-27e. This view is not reflected in the current share price, with ELD trading at ~11x fy26e EPS.
Bell Potter has a buy rating and a $9.45 price target on the stock.
