11 Oversold Software Stocks to Buy Now

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In this article, we will discuss the 11 Oversold Software Stocks to Buy Now.

According to Bain & Company, although the market had been challenging, technology deals increased their share of all buyouts in H1 2025. Even though some deal processes have stretched out, tech investors are upbeat going into H2. The firm further added that the sector has held up better compared to most through H1 2025, rising its share of all deals to 22% as of July, versus 19% at the end of 2024.

Trends Affecting the Broader Software Market

As per McKinsey, considering the earnings reports from numerous SaaS leaders, there are some early signs of traction with AI monetization. While global enterprise spending on AI applications increased eightfold over the previous year to close to $5 billion, it only makes up for less than 1% of the total software application spending.

With AI+SaaS products increasingly performing instead of merely supporting work, McKinsey opines that the new era highlights the importance of business model aligning customer value with units of work completed.

Amidst such trends, we will now have a look at the 11 Oversold Software Stocks to Buy Now.

11 Oversold Software Stocks to Buy Now

Our Methodology

To list the 11 Oversold Software Stocks to Buy Now, we used a screener to shortlist the software stocks. After getting an extensive list, we narrowed it down by selecting the ones that have declined at least 20% over the past 6 months (as of September 24). Finally, we chose the ones popular among hedge funds, as of Q2 2025.

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 Oversold Software Stocks to Buy Now

11. WeRide Inc. (NASDAQ:WRD)

Number of Hedge Fund Holders: 14

% Decline Over 6 Months: ~27.9%

WeRide Inc. (NASDAQ:WRD) is one of the Oversold Software Stocks to Buy Now. On September 19, WeRide Inc. (NASDAQ:WRD) announced that its Robobus received Belgium’s first federal test permit for the Level 4 autonomous shuttle. As a result, WeRide Inc. (NASDAQ:WRD) is now the only technology company in the world that has products holding autonomous driving permits in 7 countries. These countries include Belgium, China, France, the UAE, Saudi Arabia, Singapore, and the US.

Elsewhere, WeRide Inc. (NASDAQ:WRD) reported Q2 2025 revenue of US$17.8 million, reflecting a rise of 60.8% YoY, showcasing the acceleration of commercial momentum. In Abu Dhabi, the company’s Robotaxi fleet size tripled since December 2024, ramping up regional commercialization and maintaining the largest Robotaxi fleet outside of the US and China. A major driver of WeRide Inc. (NASDAQ:WRD)’s momentum is increased contribution from the Robotaxi business, which has a key role in the revenue mix and overall financial strength.

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