In this article, we will list the 5 most undervalued cloud stocks to buy according to analysts. Please visit the 8 most undervalued cloud stocks to buy according to analysts, if you’d like to see an extended list and how we came up with the list of most undervalued cloud stocks to buy according to analysts.
5. BlackLine, Inc. (NASDAQ:BL)
BlackLine, Inc. (NASDAQ:BL) earns a place in our list of the 8 most undervalued cloud stocks to buy according to analysts.
As of March 20, 2026, roughly 44% of analysts covering BlackLine, Inc. (NASDAQ:BL) remain bullish, while 50% of them remain cautious. Despite the divided sentiment, the consensus price target of $50 implies a 28.29% upside. However, the company’s agentic AI plans are expected to drive analyst confidence upward.
On March 18, 2026, BMO Capital reduced its price target for BlackLine, Inc. (NASDAQ:BL) from $52 to $44 and maintained a “Market Perform” rating on the shares following the company’s investor presentation, which shed light on its AI and agentic product plan. The analyst tells investors in a research note that BlackLine is well-positioned to offer specialized agentic tools today and fully automated agentic processes in the future. BMO stated that the company has some agents in production, and more are under development, with the impact expected to become more visible as the year progresses.
BlackLine, Inc. (NASDAQ:BL) announced a $100 million increase to its share repurchase program on March 13, 2026, bringing the total to $500 million. The company has so far repurchased 5.3 million shares valued at $270.1 million.
BlackLine, Inc. (NASDAQ:BL) offers a cloud-based software platform that automates and manages financial closing and accounting procedures. It operates through the United States and International segments. Founded by Therese Tucker in May 2001, the company is headquartered in Woodland Hills, CA.
4. Salesforce, Inc. (NASDAQ:CRM)
Salesforce, Inc. (NASDAQ:CRM) earns a place in our list of the 8 most undervalued cloud stocks to buy according to analysts.
As of March 20, 2026, 75% of analysts covering the stock retain “Buy” ratings for Salesforce, Inc. (NASDAQ:CRM), with a consensus price target of $255.00, suggesting a 29.34% upside potential. Meanwhile, analyst sentiment is supported by recent insider activity and new AI solutions.
Salesforce, Inc. (NASDAQ:CRM) disclosed in a regulatory filing on March 19, 2026, that director David Kirk purchased stock on March 18 for about $0.5 million, bolstering investor optimism in the company. The development was followed by a 1.5% increase in the share price to $299.44 in after-hours trading.
In a separate development, Salesforce, Inc. (NASDAQ:CRM) introduced the Agentforce Contact Center on March 10, 2026. This AI-powered solution integrates voice, CRM data, digital channels, and AI agents into a single platform. Through AI-to-human interactions, real-time data visibility, and automated customer assistance across channels, the platform is expected to help organizations save operational costs and increase service efficiency.
Salesforce, Inc. (NASDAQ:CRM) creates cloud-based software for customer relationship management, providing solutions across sales, service, marketing, commerce, and collaboration, as well as many industries, along with training, support, and consulting services.
3. Workday, Inc. (NASDAQ:WDAY)
Workday, Inc. (NASDAQ:WDAY) earns a place in our list of the 8 most undervalued cloud stocks to buy according to analysts.
As of March 20, 2026, 60% of analysts covering the stock retain bullish ratings for Workday, Inc. (NASDAQ:WDAY), with a consensus price target of $180, indicating a 32.45% upside potential.
On March 17, 2026, Workday, Inc. (NASDAQ:WDAY) revealed in a press release that Sana, a new AI-powered platform designed to automate enterprise workflows in HR and finance, is now available globally. Along with Sana for Workday, a conversational AI interface, and Sana Enterprise, which integrates with applications such as Gmail, Microsoft Outlook, Salesforce, and Slack, the release also included the Sana Self-Service Agent, which boasts over 300 skills across areas like pay, time, and absence.
Workday, Inc. (NASDAQ:WDAY) added that the platform has been built to maintain compliance and enterprise-grade security. The platform achieves this by allowing users to carry out tasks, find information, and automate workflows within current systems. Sana is currently being utilized by customers worldwide to manage routine HR and finance functions, thereby enhancing efficiency and reducing support duties. According to Workday, Sana is integrated directly into its core platform, enabling organizations to use unified data and AI-driven automation across business processes to improve decision-making and expedite operations.
Workday, Inc. (NASDAQ:WDAY) offers cloud-based enterprise applications for finance and human resources. These applications are designed to help organizations manage their workforce, financial operations, and analytics through integrated, data-driven solutions that are specifically engineered for the education, government, and business sectors.
2. Freshworks Inc. (NASDAQ:FRSH)
Freshworks Inc. (NASDAQ:FRSH) ranks among the 8 most undervalued cloud stocks to buy according to analysts.
As of March 20, 2026, Freshworks Inc. (NASDAQ:FRSH) boasts constructive analyst sentiment, with 50% of analysts holding a ‘Buy’ recommendation and with a consensus price target of $11.00 indicating a 33.66% upside potential. The sentiment persists despite the fact that shares have fallen over 37% in the last six months, slightly underperforming the broader software applications industry, which faced a decline of roughly 30% during the same period.
To streamline its global sales organization, Freshworks Inc. (NASDAQ:FRSH) announced a leadership change on March 5, 2026, appointing Ian Tickle as Chief Revenue Officer effective immediately. With this move, the company unified its sales organization under a single leader.
Tickle’s role in achieving strong results over the previous five consecutive quarters was highlighted by CEO Dennis Woodside. Furthermore, Mika Yamamoto, Chief Integrated Customer Growth Officer, will step down as part of the leadership change.
Changes in Freshworks Inc.’s (NASDAQ:FRSH) strategic leadership highlight an effort to improve execution and spur growth amid industry headwinds.
Meanwhile, in February, Freshworks Inc. (NASDAQ:FRSH) released its results, which showed profitability, record free cash flow, increased FY 2026 sales estimate, and reaffirmed guidance. The company also announced a $400 million share repurchase plan.
Freshworks Inc. (NASDAQ:FRSH) provides SaaS solutions, including Freshdesk, Freshservice, Freshsales, Freshmarketer, and Freshteam. Established in 2010, the company is based in San Mateo, California.
1. Atlassian Corporation (NASDAQ:TEAM)
Atlassian Corporation (NASDAQ:TEAM) earns a spot on our list of the 8 most undervalued cloud stocks to buy according to analysts.
As of March 20, 2026, analyst sentiment toward the company remains bullish. Roughly 80% of analysts covering the stock maintain bullish ratings on Atlassian Corporation (NASDAQ:TEAM), with a consensus price target of $150.00, indicating a 101.07% upside.
As the company transitions toward artificial intelligence and enterprise sales, Atlassian Corporation (NASDAQ:TEAM) plans to lay off approximately 1,600 employees. The figure is approximately 10% of the company’s workforce, according to a Reuters report published on March 11, 2026. As a result of the layoffs and office space reductions, the company anticipates restructuring costs ranging from $225 million to $236 million.
Following this announcement, Atlassian Corporation (NASDAQ:TEAM) shares rose by almost 2% during extended trading. This is an indication of investor optimism toward improved efficiency that will come with this decision.
CEO Mike Cannon-Brookes, while noting that AI is transforming workforce requirements, emphasized changes required in the skill set rather than simply removing workers.
The majority of job cuts will occur in North America (40%), followed by Australia (30%), and India (16%). The initiative is scheduled for completion by the fourth quarter, coinciding with the departure of CTO Rajeev Rajan on March 31.
Analysts see the action as a sign of a larger industry revolution, with companies using AI to enhance operations and increase profits.
On this occasion, DA Davidson’s analyst Gil Luria commented,
“Software companies such as Atlassian have an opportunity to make their business more efficient by adopting AI tools, especially within product development. By reorganizing that way, they can reduce the resources necessary to deliver their current business and grow more profitably.”
Atlassian Corporation (NASDAQ:TEAM) offers software for collaboration and productivity, including Jira, Confluence, Jira Service Management, and Loom. Established in October 2002, it is based in San Francisco, California.
While we acknowledge the potential of TEAM 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 TEAM and that has 100x upside potential, check out our report about the cheapest AI stock.
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