12 Best Affordable Tech Stocks to Buy According to Analysts

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1. Verint Systems Inc. (NASDAQ:VRNT)

Current Share Price: $22.0; Forward P/E: 6.9

Upside Potential: 64%

Number of Hedge Fund Holders: 24

Verint Systems Inc. (NASDAQ:VRNT) is our top pick among the best affordable tech stocks. The company specializes in customer experience (CX) automation, offering AI-driven solutions that help businesses improve customer interactions across different platforms. Its open platform combines technologies like conversational AI, knowledge management, and engagement tools to drive better business results.

Verint Systems Inc. (NASDAQ:VRNT) is focused on the long-term potential of CX automation, recognizing that most current CX workflows are still manual, despite brands collectively spending nearly $2 trillion annually on CX workforce. While the industry remains highly fragmented, Verint differentiates itself through its hybrid cloud platform and deep domain expertise. According to Forrester Research, 70% of organizations are still in the early stages of CX maturity, meaning even incremental improvements can yield significant returns on investment (ROI). This growing demand aligns well with Verint’s offerings, reinforcing its strong growth prospects.

On that front, Needham analyst Joshua Reilly recently highlighted key developments that are expected to drive demand and long-term expansion for Verint Systems. He noted the company’s strategic shift toward financial metrics such as subscription ARR and cash contribution margin, which aim to align revenue recognition with cash flow and improve financial transparency. The analyst also pointed to Verint’s strong free cash flow outlook, with projections of $165 million for FY 2025 and $185 million for FY 2026.

Additionally, the company continues to prioritize product innovation to strengthen its competitive position. Its AI-powered platform, hybrid contact center support, and the Verint Data Hub underscore its commitment to differentiation and customer value. Considering these factors, Joshua reaffirmed a bullish stance on Verint, maintaining a Buy rating with a price target of $40.

While we acknowledge the potential of VRNT to grow, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than VRNT but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

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