Here’s Why Analysts Just Upgraded Verint Systems Inc. (VRNT)

We recently compiled a list of the 10 Companies That Analysts Just Upgraded. In this article, we are going to take a look at where Verint Systems Inc. (NASDAQ:VRNT) stands against the other companies that just upgraded.

The last week was full of negativity as the S&P went down nearly 3.5%. Matters were made worse by raging wildfires in Los Angeles, which have shocked people across the country. Amidst all this, there were a lot of positive developments as analysts continued to point out companies poised for a great performance in 2025.

Artificial Intelligence stocks continue to dominate coverage despite the fear of a slowdown in spending. With agentic AI the new hype, many companies are only just entering their AI journey, so investors still have a lot of undervalued plays that are worth looking at.

To come up with the list of 10 companies that analysts just upgraded, we only considered companies with a market cap of at least $1 billion.

A remotely located customer service desk acting as the frontline in the software industry.

Verint Systems Inc. (NASDAQ:VRNT)

Verint Systems offers customer engagement solutions to a global audience. Its Verint Open platform helps automate processes across the customer journey at the website and app level as well as at the contact center and back office. After a lackluster 2024, the company has now made it to the Needham Conviction List because of a number of catalysts in 2025.

Analysts expect companies to spend more on contact centers in 2025 after cutting down on this expenditure in 2022. What differentiates Verint Systems from competitors is that it uses AI to improve contact center operations. This spending should be well complemented by growth in recurring revenue, stock buybacks, and the company’s free cash flow. While there are risks associated with the stock, the drop in stock price in the last month covers a good part of those risks.

Overall VRNT ranks 9th on our list of the companies that just upgraded by analysts. While we acknowledge the potential of VRNT as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as VRNT but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: $30 Trillion Opportunity: 15 Best Humanoid Robot Stocks to Buy According to Morgan Stanley and Jim Cramer Says NVIDIA ‘Has Become A Wasteland’.

Disclosure: None. This article was originally published at Insider Monkey.