5 Best Software Application Stocks to Buy Now

4. Braze Inc. (NASDAQ:BRZE)

Braze Inc. (NASDAQ:BRZE) is one of the 11 best software application stocks to buy now.

On March 12, J.P. Morgan reduced its price target for Braze Inc. (NASDAQ:BRZE) from $45 to $32. The firm reiterated an Overweight rating on the stock, which currently yields an adjusted upside potential of more than 66%.

The downward revision in the target price is based on the potential risk of AI-led disruptions across the segment. The firm still fancies Braze Inc. (NASDAQ:BRZE), given some favorable industry trends in terms of the replacement cycle. Moreover, given the stock’s current valuation range, the firm sees potential for further growth.

Back on February 9, Stifel also reduced the firm’s price target on Braze Inc. (NASDAQ:BRZE) from $45 to $40, resulting in an adjusted upside of almost 108% despite the revision. The firm maintained its Buy rating on the shares.

Stifel noted that recent AI-related announcements have caused a negative sentiment towards Braze Inc. (NASDAQ:BRZE). But it believes that the company still remains a strong long-term play. The firm highlighted its overlooked competitive moat and considers it to be a potential AI winner over time.

Braze Inc. (NASDAQ:BRZE) facilitates communication between brands and consumers across the globe through its customer engagement platform. Some of its services include data ingestion, online notifications, and interstitial messages. The company also helps brands sync and transform consumer data in a structured way.