ASX technology shares have lost serious momentum over the last couple of months.
In fact, the S&P/ASX All Technology (ASX: XTX) index is down more than 20% since the start of October.Â
As a result, there are some well-known companies that are now undervalued.
If you are looking for a bargain buy before the new year, here are two technology shares with appealing price targets.
CAR Group Ltd (ASX: CAR)
CAR Group is the company behind online marketplace carsales.com.au.
Since August, its share price has tumbled more than 25% and is now trading on a lower than normal price to earnings (P/E) ratio – around two-year lows at a P/E of ~28x.
It could be a buy-low opportunity for investors as this drop seems to be without an obvious driver.
Recent guidance out of Bell Potter seems to agree with this sentiment.
In a note out of the broker earlier this month, it said the company continues to screen favourably on a risk-adjusted return basis when considering the stability of earnings growth against comparable ASX-listed classifieds platforms.
The broker has a buy recommendation and $44.20 price target on CAR Group shares.
This indicates an upside of 36.53% from yesterday’s closing price.
Similarly, the team at Wilsons Advisory reinforced the recent share price falls largely reflecting a broad de-rating across technology shares.
The report said it views these concerns as largely sentiment-driven and overblown given the company’s firmly entrenched competitive moat.
SEEK Ltd (ASX: SEK)
The company operates online job marketplace Seek.com.au.
It also operates several other businesses, including Seek Learning, to help connect people with education opportunities; Seek Business, to facilitate the sale of businesses and franchises; and Seek Volunteer, which lists volunteer opportunities.
Its share price is overall up roughly 4% this year, but has fallen almost 19% since September.
This dip seems to be more cyclical rather than structural, as the core business still has solid cash flow and profitability.
At its recent AGM, the company reiterated a FY26 guidance that would result in:
- 10% revenue growth
- 15% EBITDA growth
- 32% adjusted profit growth.
Earlier this month, a note out of Macquarie reinforces it is a technology stock with plenty of upside.
Macquarie confirmed its outperform rating and $32.50 target price.
This indicates an upside of 37.37%.
The post Last minute technology shares for your Christmas wish list appeared first on The Motley Fool Australia.
Should you invest $1,000 in SEEK Limited right now?
Before you buy SEEK Limited shares, consider this:
Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and SEEK Limited wasn’t one of them.
The online investing service he’s run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.*
And right now, Scott thinks there are 5 stocks that may be better buys…
* Returns as of 18 November 2025
.custom-cta-button p {
margin-bottom: 0 !important;
}
More reading
- Wilsons Advisory names two quality cyclicals with good offshore earnings
- Seek shares tipped to storm 45% higher next year: Here’s why
- Bell Potter names the best ASX tech stocks to buy in 2026
- Top brokers name 3 ASX shares to buy today
- These ASX 200 shares could rise 30% to 40%
Motley Fool contributor Aaron Bell has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended CAR Group Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
Leave a Reply