1. Klaviyo Inc. (NYSE:KVYO)
Potential Upside: 98.9%
Number of Hedge Fund Holders: 48
Klaviyo Inc. (NYSE:KVYO) is among the best machine learning stocks to buy according to analysts. Following the company’s Q4 2025 results on February 10, Jefferies lowered its price target on its shares to $29 from $35 while reiterating a Buy rating, according to a February 11 report from The Fly.
Jefferies noted that Klaviyo Inc. (NYSE:KVYO) reported Q4 revenue growth ahead of expectations, suggesting continued demand resilience for the company’s offerings despite ongoing debate over AI-driven marketing platforms. While the company did not fully resolve longer-term questions about AI’s competitive impact, the analysts were encouraged by management’s commentary on Klaviyo’s value creation.
Ahead of the results announcement, Benchmark Co. had also lowered its price target from $46 to $30 while maintaining a Buy rating.
Following a strong Q4 result, the company raised its FY 2026 guidance and is now expecting revenue in the range of $1.50-$1.51 billion, implying a 21.5%-22.5% year-on-year growth, ahead of the consensus estimate of $1.48 billion. Management also expects the operating margin to continue expanding.
During the results call, Andrew Bialecki, Co-founder and Co-CEO at Klaviyo, said that he sees strong momentum in 2026 and highlighted three key takeaways that support this outlook:
”First, AI increases the speed, quality, and reach of consumer engagement, and customers are relying on Klaviyo to deliver that engagement. Second, our advantage is structural. Our infrastructure is what allows agents and AI tools to operate consistently as volume and complexity increase. And third, our model is built for this moment. Klaviyo is a revenue-yield engine. As AI increases, the volume and sophistication of consumer engagement, value creation, and our growth scale together.”
Klaviyo Inc. (NYSE:KVYO) is a technology company that offers a cloud-native, AI-first B2C customer relationship management (CRM) and marketing automation platform for e-commerce brands. Its Klaviyo Data Platform enables businesses to harness customer data for personalized email, SMS, and digital campaigns. Klaviyo uses machine learning to help businesses personalize marketing and customer communication.
While we acknowledge the potential of Klaviyo Inc. (NYSE:KVYO) to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than KVYO and that has 100x upside potential, check out our report about this cheapest AI stock.
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