Undervalued ASX Small Cap Stocks To Buy Now

Team Veye | 02-Sep-2025 undervalued ASX small-cap stocks

Although it is true that not all small and micro cap stocks become multi baggers, it is also a fact that a few of such stocks if chosen at the right time open up to a good growth path. These stocks are usually backed by a sound business model and supported by other metrics. 

In the current scenario, the below given stocks are showing promise.

Aura Energy Limited (ASX: AEE)

has advanced its flagship Tiris Uranium Project in Mauritania during the June 2025 quarter. The project remains on track for uranium production by CY2027. The company has also entered a collaboration with Neu Horizon Uranium Ltd for its Häggån Polymetallic Project in Sweden and aims to leverage regulatory and technical synergies with ongoing regulatory reforms expected to allow uranium mining in Sweden from 2026. Aura’s cash balance on 30 June was at $11.7 million providing approximately 2.6 quarters of funding at current expenditure rates. No new exploration has occurred and the company is focused on project execution, stakeholder engagement and select investments to support portfolio development.

Prospect Resources Ltd (ASX: PSC)

has reported significant progress at its Mumbezhi Copper Project (Zambia) during the June 2025 quarter. It commenced an 18,000m Phase 2 drilling campaign targeting resource extensions and new discoveries. Initial results include intersections such as 49.0m at 0.52% Cu. Metallurgical testwork confirmed that the Nyungu Central sulphide mineralisation can be processed into high grade copper concentrate with strong recoveries using conventional flotation. The company remains well-funded as it raises $18.5 million in new equity and finished the quarter with approximately $21.1 million cash and zero debt. Work also progressed on regional tenement exploration and evaluating commercialisation options for non-core lithium assets.

Sunshine Metals (ASX: SHN)

has reported strong exploration results for the June 2025 quarter. The company is focusing on expanding shallow high-grade gold and VMS targets in north Queensland. At the Liontown deposit, RC drilling returned intercepts such as 10m at 31.91g/t Au and 2m at 121.5g/t Au supporting a scoping study on 95Koz Au and 652Koz Ag in shallow resource. The Sybil project was acquired confirming high-grade epithermal gold with drilling scheduled for August. Queensland Government grants totaling $393,795 were awarded for innovative exploration at Liontown North and Coronation. Sunshine Metals ended the quarter with $1.9 million cash and continues systematic drilling, metallurgical studies and resource updates across its project pipeline

(Source: Company Announcements)

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