5 Most Oversold AI Stocks to Buy According to Analysts

2. Pony AI Inc. (NASDAQ:PONY)

With an upside potential of 161.2% and a relative strength index (RSI) of 31.9, Pony AI Inc. (NASDAQ:PONY) stands out as one of the most oversold AI stocks in the market. Despite having analyst support, the stock is down nearly 40% year-to-date as of May 20, 2026.

While the stock hit a 52-week low on May 18, 2026, Pony AI Inc. (NASDAQ:PONY) continues to outline new steps toward the commercialization of autonomous driving. At Auto China 2026, in late April, Pony AI said the total vehicle cost of its Gen-7 Robotaxi in China, including the base vehicle and autonomous driving kit, is expected to fall below RMB 230,000 by 2027. The company also said it has achieved a 70% reduction in bill-of-materials cost for its Gen-7 autonomous driving kit compared with the previous generation.

That update also included new deployment and product milestones.

The Gen-7 bZ4X Robotaxi, jointly developed by Pony AI Inc. (NASDAQ:PONY) and Toyota, received an on-road testing permit in Guangzhou, with the two companies planning to deploy 1,000 bZ4X Robotaxis across major tier-one cities in China this year.

Pony AI Inc. (NASDAQ:PONY) also unveiled an L4 electric light-duty truck co-developed with Contemporary Amperex Technology (CATL) for urban logistics, extending its autonomous logistics footprint from long-haul freight into urban distribution.

Meanwhile, in a separate April update, Pony AI Inc. (NASDAQ:PONY) added more detail around PonyWorld 2.0, its upgraded proprietary world model.

Pony AI Inc. (NASDAQ:PONY) said the system can diagnose its own weaknesses, guide targeted data collection, and support more efficient training for L4 autonomous driving. PonyWorld 2.0 is already being applied across Pony AI’s L4 driverless fleet and R&D system, with the company targeting a fleet of more than 3,000 vehicles by the end of this year across 20 cities globally.

Pony AI Inc. (NASDAQ:PONY) is a global leader in autonomous driving technology that develops, tests, and operates self-driving systems for Robotaxis, Robotrucks, and passenger vehicles. It focuses on L4-level autonomous driving, with major commercial operations and international testing, including partnerships with Toyota Motor Corp.