On September 24, Truist Wealth’s Keith Lerner and Empower’s Marta Norton joined ‘Closing Bell’ on CNBC to discuss the latest news affecting markets. On a mention of slight lag in tech, increased volatility, and the recent comment from the Fed chair about equity valuations, Marta Norton responded that the Fed chair’s comment is a sign of how extreme valuations are. While acknowledging that valuations are not a timing indicator, she pointed to data showing that when valuations reach extremes, both cheap and expensive, they become more predictive of prospective three-year returns. Norton’s general take on the Fed is that the market consistently gets its hopes up on the pace of rate cuts, which might prove less dovish than anticipated.
Norton stated that for the past several years, the market has attempted to push cuts while the Fed has held back. She illustrated this dichotomy by noting that the market is currently pricing in rates that would effectively take them below 3% by roughly this time next year, while the Fed is signaling a less dovish stance. Keith Lerner affirmed this sentiment and stated that the situation is complicated for the Fed due to the inflation backdrop and the scar tissue from previous inflation issues. Lerner then provided a historical context and stated that when the Fed has cut rates while the market is near all-time highs, the markets have been up about 90% of the time looking forward a year. He stressed that the crucial factor is that the economy avoids a recession and continues to move forward. Lerner also emphasized that interest rates are important, but not the only thing that matters.
That being said, we’re here with a list of the 11 most undervalued technology stocks to buy according to analysts.
Methodology
We sifted through the Finviz stock screener to compile a list of top tech stocks that had a forward P/E ratio under 20. We then selected the 11 stocks with an upside potential of over 30%. The stocks are ranked in ascending order of their upside potential. We have also added the hedge fund sentiment for each stock, as of Q2 2025, which was sourced from Insider Monkey’s database.
Note: All data was sourced on September 30.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
11 Most Undervalued Technology Stocks to Buy According to Analysts
11. NICE Ltd. (NASDAQ:NICE)
Forward P/E Ratio as of September 30: 10.82
Number of Hedge Fund Holders: 23
Average Upside Potential as of September 30: 31.23%
NICE Ltd. (NASDAQ:NICE) is one of the most undervalued technology stocks to buy according to analysts. On September 26, NICE announced the appointment of Jeff Comstock as President, CX Product & Technology, effective October 1. Comstock will report directly to NICE Chief Executive Officer Scott Russell and will join the company’s Executive Leadership Team.
Comstock brings over 25 years of experience from Microsoft Corp. (NASDAQ:MSFT), where he most recently served as Corporate Vice President, leading the Customer Experience applications business. His portfolio at Microsoft included Sales, Marketing, Customer Service, Contact Center, and the integrated AI-powered copilots and AI agents. Under his leadership, the Microsoft Dynamics 365 Customer Experience business achieved strong momentum, including double-digit year-over-year revenue growth in the most recently reported quarter.
Comstock is noted as a seasoned product and technology leader with more than two decades of experience building and scaling enterprise SaaS applications, possessing expertise in technical matters and product leadership, having led global, large-scale product, engineering, and AI teams. Comstock holds an MBA with High Honors from the University of Chicago Booth School of Business and a B.A. in Management Information Systems from Western Washington University.
NICE Ltd. (NASDAQ:NICE) provides AI-powered cloud platforms for customer engagement and financial crime & compliance worldwide.
10. Corpay Inc. (NYSE:CPAY)
Forward P/E Ratio as of September 30: 12.14
Number of Hedge Fund Holders: 42
Average Upside Potential as of September 30: 34.52%
Corpay Inc. (NYSE:CPAY) is one of the most undervalued technology stocks to buy according to analysts. On September 29, Corpay and Mastercard Incorporated (NYSE:MA) announced an expansion of their long-standing collaboration to enable Corpay’s business and financial institution clients to make near real-time payments to 22 new markets. The expansion covers regions across Asia, Europe, the Middle East, Africa, and Latin America.
The expanded reach is intended to help businesses and financial institutions meet the growing demand for fast and efficient transactions, especially with global cross-border payments projected to exceed $250 trillion by 2027. This builds upon a decade of collaboration between the two companies.
The announcement follows a strategic partnership established in April 2025. That earlier agreement made Corpay the exclusive provider of large-ticket cross-border payment solutions and currency risk management services for Mastercard’s financial institution clients.
Corpay Inc. (NYSE:CPAY) is a payments company that helps businesses and consumers manage vehicle-related expenses, lodging expenses, and corporate payments internationally.
Mastercard Incorporated (NYSE:MA) is a technology company that provides transaction processing and other payment-related products and services internationally.
