According to
Zen Ratings, our proprietary rating system that evaluates 115 factors proven to drive growth in stocks and assigns each stock in our system an overall letter grade as well as 7 individual Component Grades for Value, Growth, Momentum, Sentiment, Safety, Financials, and proprietary AI algorithms, the 3 best software stocks to buy right now are:
1. 8x8 (NASDAQ:EGHT)
8x8 (NASDAQ:EGHT) is the #1 top app stock out of 229 with a Zen Rating of A. Stocks with a rating of A have had an average return of +28.5% per year.
Learn more.
The Component Grade breakdown for 8x8 (NASDAQ:EGHT) is: Value: A, Growth: B, Momentum: C, Sentiment: B, Safety: B, Financials: C, and AI: C.
8x8 (NASDAQ:EGHT) has a Due Diligence Score of 41, which is 9 points higher than the app industry average of 32.
EGHT passed 13 out of 33 due diligence checks and has strong fundamentals. 8x8 has seen its stock lose -1.98% over the past year, overperforming other app stocks by 60 percentage points.
8x8 has an average 1 year
price target of $3.13, an upside of 40.45% from 8x8's current stock price of $2.23.
8x8 stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 2 analysts covering 8x8, 100% have issued a Strong Buy rating, 0% have issued a Buy, 0% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.
2. Ringcentral (NYSE:RNG)
Ringcentral (NYSE:RNG) is the #2 top app stock out of 229 with a Zen Rating of A. Stocks with a rating of A have had an average return of +28.5% per year.
Learn more.
The Component Grade breakdown for Ringcentral (NYSE:RNG) is: Value: B, Growth: B, Momentum: B, Sentiment: C, Safety: B, Financials: A, and AI: C.
Ringcentral (NYSE:RNG) has a Due Diligence Score of 26, which is -6 points lower than the app industry average of 32. Although this number is below the industry average, our proven quant model rates RNG as a "A".
RNG passed 10 out of 38 due diligence checks and has average fundamentals. Ringcentral has seen its stock return 147.58% over the past year, overperforming other app stocks by 210 percentage points.
Ringcentral has an average 1 year
price target of $61.63, a downside of -19.05% from Ringcentral's current stock price of $76.13.
Ringcentral stock has a consensus Buy recommendation according to Wall Street analysts. Of the 8 analysts covering Ringcentral, 12.5% have issued a Strong Buy rating, 37.5% have issued a Buy, 50% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.
3. Mitek Systems (NASDAQ:MITK)
The Component Grade breakdown for Mitek Systems (NASDAQ:MITK) is: Value: C, Growth: A, Momentum: C, Sentiment: B, Safety: C, Financials: B, and AI: C.
Mitek Systems (NASDAQ:MITK) has a Due Diligence Score of 60, which is 28 points higher than the app industry average of 32.
MITK passed 19 out of 33 due diligence checks and has strong fundamentals. Mitek Systems has seen its stock return 73.41% over the past year, overperforming other app stocks by 135 percentage points.