3 ASX shares that look way too cheap to ignore right now

Just because the market may be trading within sight of a record high doesn’t mean there aren’t any cheap ASX shares out there for value investors to buy.

For example, the three listed below have been named as buys and described as cheap by analysts. Here’s what you need to know about them:

Inghams Group Ltd (ASX: ING)

This poultry company could be undervalued according to analysts at Morgans. Particularly given its market leadership and low price to earnings multiple. It recently said:

ING remains undervalued trading on a low PE multiple, especially for what is a market leader, with a vertically integrated operating model and assets that are difficult and costly to replicate. It is also leveraged to poultry – the affordable, healthy, sustainable and growth protein. Additionally, ING offers an attractive fully franked dividend yield.

Morgans has an add rating and $4.40 price target on its shares. The broker also expects 5.5%+ fully franked dividend yields from its shares in the coming years.

Rural Funds Group (ASX: RFF)

Another ASX share that could be cheap is Rural Funds. That’s the view of analysts at Bell Potter. They believe the market is undervaluing the rural property company’s shares given their significant discount to net asset value (NAV). The broker explains:

RFF continues to trade at a material 26% discount to 1H24 reported NAV and 35% discount to 1H24 market NAV, with the disconnect between private and public asset values at historically high levels. In the near term disposing of assets at or around market value is a positive catalyst for NAV confirmation and debt reduction, while recovering commodity values benefits farm related earnings and counterparty profitability.

Bell Potter has a buy rating and $2.40 price target on its shares. It also expects dividend yields of approximately 5.8% in FY 2024 and FY 2025.

Woolworths Limited (ASX: WOW)

Finally, Goldman Sachs thinks Woolworths is a cheap ASX share to buy following recent share price weakness. The broker highlights that the supermarket giant’s shares are trading on multiples materially lower than recent averages. This is despite having a positive outlook. It explains:

We forecast WOW 2-yr sales CAGR FY24-26e of +3.2% and EBIT growth of +4.8%. The stock is trading at FY24E P/E of 20x vs 2-yr EPS CAGR of 6% and against an average of 26x since 2018.

Goldman currently has a buy rating and $39.40 price target on its shares. It also expects 3.4%+ dividend yields in the coming years.

The post 3 ASX shares that look way too cheap to ignore right now appeared first on The Motley Fool Australia.

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Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Goldman Sachs Group. The Motley Fool Australia has positions in and has recommended Rural Funds Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.