10 Cheap Software Stocks to Buy According to Analysts

2. NICE Ltd. (NASDAQ:NICE)

Forward P/E Ratio: 10.52

Analyst Upside: 50.70%

NICE Ltd. (NASDAQ:NICE) offers AI-powered cloud platforms for digital business solutions across the world. Its services include CXone for customer experience, the Enlighten AI engine, and smart self-service solutions. The company employs artificial intelligence and analytics to avoid fraud and ensure AML compliance.

On February 21, RBC Capital Markets lowered its price target for NICE Ltd. (NASDAQ:NICE) to $200 from $260, while keeping an Outperform rating on the company. The decision followed NICE’s announcement of a cloud revenue shortfall and 2025 objectives lower than market expectations. NICE’s fourth-quarter results reflected a solid contribution from its Product division, which contrasted with lower cloud revenue. Despite implementation issues, the company’s fundamentals remain robust, with a 66.7% gross profit margin and a 13.5% revenue increase over the previous 12 months. The company’s cloud revenue challenges, however, have persisted, and large-scale contract implementations have impacted revenue recognition.