Sectors & IndustriesTechnologySoftware - Infrastructure

Best Software Infrastructure Stocks to Buy Now (2023)

Top software infrastructure stocks in 2023 ranked by overall Zen Score. See the best software infrastructure stocks to buy now, according to analyst forecasts for the software - infrastructure industry.

According to Zen Score, the 3 best software infrastructure stocks to buy right now are:

Dlocal (NASDAQ:DLO) is the top software infrastructure stock with a Zen Score of 64, which is 35 points higher than the software infrastructure industry average of 29. It passed 22 out of 33 due diligence checks and has strong fundamentals. Dlocal has seen its stock lose -33.48% over the past year, underperforming other software infrastructure stocks by -17 percentage points.

Dlocal has an average 1 year price target of $26.78, an upside of 60.06% from Dlocal's current stock price of $16.73.

Dlocal stock has a consensus Buy recommendation according to Wall Street analysts. Of the 9 analysts covering Dlocal, 55.56% have issued a Strong Buy rating, 0% have issued a Buy, 33.33% have issued a hold, while 11.11% have issued a Sell rating, and 0% have issued a Strong Sell.

Arbe Robotics (NASDAQ:ARBE) is the second best software infrastructure stock with a Zen Score of 57, which is 28 points higher than the software infrastructure industry average of 29. It passed 18 out of 33 due diligence checks and has strong fundamentals. Arbe Robotics has seen its stock lose -55.33% over the past year, underperforming other software infrastructure stocks by -38 percentage points.

Arbe Robotics has an average 1 year price target of $14.00, an upside of 271.35% from Arbe Robotics's current stock price of $3.77.

Arbe Robotics stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 1 analyst covering Arbe Robotics, 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.

Endava (NYSE:DAVA) is the third best software infrastructure stock with a Zen Score of 56, which is 27 points higher than the software infrastructure industry average of 29. It passed 19 out of 33 due diligence checks and has strong fundamentals. Endava has seen its stock lose -19.19% over the past year, underperforming other software infrastructure stocks by -2 percentage points.

Endava has an average 1 year price target of $100.50, an upside of 13.06% from Endava's current stock price of $88.89.

Endava stock has a consensus Buy recommendation according to Wall Street analysts. Of the 7 analysts covering Endava, 42.86% have issued a Strong Buy rating, 28.57% have issued a Buy, 28.57% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Out of 10 software infrastructure stocks that have issued dividends in the past year, the 3 software infrastructure stocks with the highest dividend yields are:

Opera (NASDAQ:OPRA) has an annual dividend yield of 11.9%, which is 9 percentage points higher than the software infrastructure industry average of 2.82%.

Opera's dividend payout ratio of 0% indicates that its high dividend yield might not be sustainable for the long-term.

Micro Focus International (NYSE:MFGP) has an annual dividend yield of 4.35%, which is 2 percentage points higher than the software infrastructure industry average of 2.82%. Micro Focus International's dividend payout is not stable, having dropped more than 10% four times in the last 10 years. Micro Focus International's dividend has not shown consistent growth over the last 10 years.

Micro Focus International's dividend payout ratio of -42.5% indicates that its high dividend yield might not be sustainable for the long-term.

Gen Digital (NASDAQ:GEN) has an annual dividend yield of 2.19%, which is -1 percentage points lower than the software infrastructure industry average of 2.82%. Gen Digital's dividend payout is not stable, having dropped more than 10% one times in the last 10 years. Gen Digital's dividend has not shown consistent growth over the last 10 years.

Gen Digital's dividend payout ratio of 48.5% indicates that its dividend yield is sustainable for the long-term.

Software infrastructure stocks were up 0.78% in the last day, and up 3.95% over the last week. Glimpse Group was the among the top gainers in the software - infrastructure industry, gaining 19.17% yesterday.

Shares of several companies in the broader tech sector are trading higher amid overall market strength following PCE data.

Based on WallStreetZen's Valuation Score, the 3 most undervalued software infrastructure stocks right now are:

Taoping (NASDAQ:TAOP) is the most undervalued software infrastructure stock based on WallStreetZen's Valuation Score. Taoping has a valuation score of 86, which is 62 points higher than the software infrastructure industry average of 24. It passed 6 out of 7 valuation due diligence checks.

Taoping's stock has dropped -47.76% in the past year. It has underperformed other stocks in the software infrastructure industry by -31 percentage points.

Euronet Worldwide (NASDAQ:EEFT) is the second most undervalued software infrastructure stock based on WallStreetZen's Valuation Score. Euronet Worldwide has a valuation score of 71, which is 47 points higher than the software infrastructure industry average of 24. It passed 5 out of 7 valuation due diligence checks.

Euronet Worldwide's stock has dropped -16.22% in the past year. It has overperformed other stocks in the software infrastructure industry by 1 percentage points.

Arbe Robotics (NASDAQ:ARBE) is the third most undervalued software infrastructure stock based on WallStreetZen's Valuation Score. Arbe Robotics has a valuation score of 71, which is 47 points higher than the software infrastructure industry average of 24. It passed 5 out of 7 valuation due diligence checks.

Arbe Robotics's stock has dropped -55.33% in the past year. It has underperformed other stocks in the software infrastructure industry by -38 percentage points.