If you are on the hunt for undervalued ASX 300 shares, then Bell Potter thinks it has found one.
Let's see what the broker is recommending to its clients.
Which ASX 300 share?
The share that Bell Potter thinks is dirt cheap is energy exploration and development company Amplitude Energy Ltd (ASX: AEL).
It highlights that the ASX energy share has just signed a deal to acquire 50% of the Artisan discovery from ASX 200 energy producer Beach Energy Ltd (ASX: BPT). It appears to see this as a good transaction for the company, de-risking the East Coast Supply Project (ECSP). It said:
AEL will acquire 50% of the Artisan discovery (62PJ gross 2C Contingent Resource, VIC/L35 Production Licence granted) from Beach Energy (BPT, Hold, TP$1.15/sh) for $58m in upfront cash consideration plus a $3.75/GJ royalty. The acquisition is fully funded from existing cash and available debt. O.G. Energy will lift its 40% stake in Artisan to 50% on the same terms, aligning interests; OGE is JV partner in AEL's existing Otway Basin assets.
Artisan derisks the ECSP through adding scale and blending opportunities to the existing Annie discovery (65PJ gross 2C Contingent Resource) and less reliance on exploration success (at Juliet and Nestor). Artisan more than doubles ECSP gas reserves, enabling 60TJ/day gross production over an initial 5-year period. Artisan gas with low inerts (less than 2%) can blend Annie gas (7.6% inerts) to within pipeline specifications without material processing capex.
Potentially undervalued
Based on Bell Potter's current earnings estimates, Amplitude Energy's shares are trading at just 6.4x FY 2027 earnings.
It sees this as undervaluing its shares and has put a buy rating and $2.90 price target on them. Based on its current share price, this implies potential upside of approximately 70% for investors over the next 12 months.
Commenting on its investment thesis for the ASX 300 share, Bell Potter said:
Debottlenecking at Orbost should incrementally lift near-term production. AEL's realised prices should incrementally lift as new Gas Sales Agreements are signed. Spot gas prices in peak seasons provide some upside. AEL's ESCP is fully funded and should lift group production from 2028, with the development of two existing discoveries and at least one relatively low-risk exploration prospect. The ESCP utilises latent capacity in existing pipeline and processing infrastructure.
The post This ASX 300 share trades at 6x FY27 earnings and has 70% upside: Broker appeared first on The Motley Fool Australia.
The Motley Fool's purpose is to help the world invest, better. Click here now for your free subscription to Take Stock, The Motley Fool's free investing newsletter. Packed with stock ideas and investing advice, it is essential reading for anyone looking to build and grow their wealth in the years ahead. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson. 2026