Two men have been shot by an unknown gunman while walking along a street in Melbourne’s south-east this morning.

Police said the 40-year-old Ashwood man and 37-year-old Bentleigh man were walking along Woonah Street in Chadstone when they were shot just after 5am.

Both men each suffered a single gun-shot wound to their lower body, police said.

SES scour the scene for evidence after the shooting this morrning. (9NEWS, @NearyTy_9)

Witnesses told 9NEWS they heard arguing before two shots were fired.

“It’s terrible. I’m in shock,” witness Yuping Yang said.

The injured men remain in the Alfred Hospital in a stable condition.