12 Best Technology Stocks According to Wall Street Analysts

1. Clearwater Analytics Holdings Inc. (NYSE:CWAN)

Number of Hedge Fund Holders: 41

Average Upside Potential as of June 19: 60.55%

Clearwater Analytics Holdings Inc. (NYSE:CWAN) is one of the best technology stocks according to Wall Street analysts. Earlier on June 11, Oppenheimer analyst Brian Schwartz adjusted the price target for Clearwater Analytics to $36 from $40, while maintaining an Outperform rating on the shares. This revision was made due to group multiples compression in the market.

In Q1 2025, Clearwater Analytics’ revenue reached $126.9 million, which was a 23.5% year-over-year increase. ARR grew by 22.7% to $493.9 million. The company maintains a high client retention rate with a gross revenue retention rate of 98% and a net revenue retention rate of 114%, although the latter saw a slight decrease from 116% in the previous quarter. Despite the lowered price target, Oppenheimer is confident in the company’s profitable growth strategy, paired with its recent acquisitions.

The acquisition of Enfusion, valued at ~$1.5 billion, was finalized on April 21 and added a market-leading front-office platform for hedge funds and asset managers. The acquisition of Beacon, completed on April 30 for ~$560 million, enhanced cross-asset trading and risk management capabilities. Additionally, Blackstone’s Bistro platform was acquired for ~$125 million on March 31 and brought private credit assets data visualization.

Clearwater Analytics Holdings Inc. (NYSE:CWAN) develops and provides a SaaS solution for automated investment data aggregation, reconciliation, accounting, and reporting services for insurers, investment managers, corporations, institutional investors, and government entities.

While we acknowledge the potential of CWAN 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 CWAN and that has 100x upside potential, check out our report about this cheapest AI stock.

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Disclosure: None.