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 236 with a Zen Rating of A. Stocks with a rating of A have had an average return of +28.5% per year.
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The Component Grade breakdown for 8x8 (NASDAQ:EGHT) is: Value: A, Growth: B, Momentum: C, Sentiment: C, Safety: B, Financials: C, and AI: B.
8x8 (NASDAQ:EGHT) has a Due Diligence Score of 38, which is 7 points higher than the app industry average of 31.
EGHT passed 12 out of 33 due diligence checks and has average fundamentals. 8x8 has seen its stock return 24.32% over the past year, overperforming other app stocks by 76 percentage points.
8x8 has an average 1 year
price target of $3.13, an upside of 35.87% from 8x8's current stock price of $2.30.
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. Vtex (NYSE:VTEX)
Vtex (NYSE:VTEX) is the #2 top app stock out of 236 with a Zen Rating of A. Stocks with a rating of A have had an average return of +28.5% per year.
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The Component Grade breakdown for Vtex (NYSE:VTEX) is: Value: C, Growth: B, Momentum: C, Sentiment: A, Safety: C, Financials: B, and AI: C.
Vtex (NYSE:VTEX) has a Due Diligence Score of 47, which is 16 points higher than the app industry average of 31.
VTEX passed 15 out of 33 due diligence checks and has strong fundamentals. Vtex has seen its stock lose -29.39% over the past year, overperforming other app stocks by 23 percentage points.
Vtex has an average 1 year
price target of $4.55, an upside of 8.85% from Vtex's current stock price of $4.18.
Vtex stock has a consensus Buy recommendation according to Wall Street analysts. Of the 2 analysts covering Vtex, 0% have issued a Strong Buy rating, 50% have issued a Buy, 50% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.
3. Ringcentral (NYSE:RNG)
Ringcentral (NYSE:RNG) is the #3 top app stock out of 236 with a Zen Rating of A. Stocks with a rating of A have had an average return of +28.5% per year.
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The Component Grade breakdown for Ringcentral (NYSE:RNG) is: Value: B, Growth: B, Momentum: C, Sentiment: C, Safety: B, Financials: A, and AI: C.
Ringcentral (NYSE:RNG) has a Due Diligence Score of 26, which is -5 points lower than the app industry average of 31. 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 116.38% over the past year, overperforming other app stocks by 168 percentage points.
Ringcentral has an average 1 year
price target of $43.57, a downside of -30.85% from Ringcentral's current stock price of $63.01.
Ringcentral stock has a consensus Buy recommendation according to Wall Street analysts. Of the 7 analysts covering Ringcentral, 14.29% have issued a Strong Buy rating, 14.29% have issued a Buy, 71.43% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.