3 AI Stocks To Watch With Up To 72% Fair Value Upside

Anthropic’s planned IPO, with bankers chasing a valuation in the trillions, shows how much capital is flooding into companies building and supplying AI. Money is racing toward the infrastructure behind ChatGPT style tools, yet many listed players tied to chips, cloud and AI software still trade on cheaper tags. This article breaks down three such undervalued AI stocks and why they may deserve a closer look now.

The three undervalued AI stocks discussed below are just a sample, and the full screen surfaced 132 more businesses with equally compelling narratives that are not covered here. If you want to move quickly from ideas to a focused watchlist, head straight to the Undervalued Artificial Intelligence/ AI Stocks screener to identify, filter, and analyze the highest conviction AI plays.

PagerDuty (PD)

Overview: PagerDuty runs a digital operations platform that uses AIOps and generative AI to spot, prioritize, and fix software incidents in real time for global enterprises.

Operations: PagerDuty generates about US$495 million from software and programming, with roughly US$350 million from the United States and US$144 million from international customers.

Market Cap: US$1.39b

PagerDuty matters for this AI screen because its AIOps and generative tools sit directly in the workflow where outages get spotted, triaged, and resolved, turning raw system noise into decisions that keep digital services running.

"While management highlights that usage-based products such as AIOps, PagerDuty Advance and Operations Cloud are nearly 10% of ARR, and that Operations Cloud ARR nearly doubled sequentially earlier in FY27, the modest Q2 FY27 revenue of US$124.4 million and flat full-year revenue outlook suggest that the shift away from seat-based pricing may continue to dilute near-term monetization and keep revenue growth subdued even as platform utilization rises."

For investors watching PagerDuty, the real test is what happens if one quiet pricing shift meaningfully changes how that growing AI usage converts into earnings.

If that pricing shift is on your radar, read the full narrative for PagerDuty to see how usage, margins and valuation could be decoupling for PagerDuty.

Systena (TSE:2317)

Overview: Systena is a Tokyo based IT services group that builds and tests AI, IoT, robotics, and cloud based digital transformation solutions.

Market Cap: ¥160.9b

Systena gives you direct exposure to AI and IoT build out, while a 4% dividend and a P/E of about 14.1x keep the entry price grounded. The key question is how much of its diversified digital transformation work ultimately leans into higher margin AI and automation projects, and what happens if a single key assumption breaks there.

If that hinge point matters to you, run Systena through the analysis report for Systena to see whether AI upside already feels fully priced in.

Marketingforce Management (SEHK:2556)

Overview: Marketingforce Management runs AI powered cloud platforms that automate marketing, sales, customer acquisition, and talent management for Chinese enterprises.

Operations: Marketingforce Management generates about CN¥2.1b from AI application services and CN¥1.7b from precision marketing, almost entirely in Mainland China.

Market Cap: HK$13.0b

Marketingforce Management applies AI algorithms to support marketing decisions, customer targeting, and sales automation, while also generating revenue from broader precision marketing services. The company has recently moved into profitability and raised new equity capital for expansion, alongside analyst forecasts that indicate double digit earnings and revenue growth.

Those forecasts only tell part of the story, so go straight to the analyst forecasts for Marketingforce Management to see where Marketingforce Management’s earnings momentum could really start to bite.

Seeking Alternatives Before The Crowd?

Fresh opportunities move fast. Some tickers are building quiet momentum, others are dropping into bargain territory, all before the crowd catches on. Scan them while it matters and get in early.

• Spot cash generative compounders early by reviewing the curated 29 high quality undervalued stocks that balance earnings strength with disciplined balance sheets before valuations start flying.
• Target resilient income ideas by scanning the hand picked 5 dividend fortresses built for investors who want yield without losing sleep over payout durability.
• Zero in on rare future platforms by working through the focused 25 quantum computing stocks where quantum technology leaders remain under the radar for now.

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