15 Software Infrastructure Stocks Outperforming In 2025

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9. Samsara Inc. (NYSE:IOT)

Samsara Inc. designs and implements solutions that connect data from physical operations to its cloud platform. The company’s applications include vehicle telematics, mobile apps and workflows, and video-based safety. The company serves various industries including healthcare & education, food & beverage, transportation, construction, and other industries.

Samsara is another business benefiting from a subscription-based business model. The company’s Q3 results showed a 36% revenue surge in Q3, showcasing how its IoT solutions are helping it expand its customer base. The stock is up 24% for the year on the back of this impressive growth. However, there are concerns about its valuation. A 36% growth rate isn’t easy to sustain. The company’s own guidance points to a 22% – 23% YoY growth.

Irrespective of whether the company can deliver on these promises, volatility is likely going to stay. The stock still hasn’t reached the heights it was at just two months ago in December. It may be one of the best performers year to date, but the December dip has a big part to play in that outperformance. Investors would like to proceed with caution on this stock due to its valuation risk.

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