5 Small-Cap Software Infrastructure Stocks to Buy Now

In this article, we will list the 5 Small-Cap Software Infrastructure Stocks to Buy Now. Please visit 11 Small-Cap Software Infrastructure Stocks to Buy Now if you’d like to see an extended list and the methodology behind it.

5. PicS N.V. (NASDAQ:PICS)

PicS N.V. (NASDAQ:PICS) is one of the best 11 small-cap software infrastructure stocks to buy now.

On June 3, Wolfe Research reduced its target price on PicS N.V. (NASDAQ:PICS) from $16 to $15, which still results in more than 41% upside potential at the prevailing level. The firm upheld its Outperform rating on the stock.

5 Small-Cap Software Infrastructure Stocks to Buy Now

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Wolfe Research noted that despite the company reporting earnings that exceeded broader estimates, shares traded flat after hours due to low volume. The firm highlighted that topline upside for the company is not linked to its core operations. Rather, it is associated with the impact of hedge accounting and derivatives.

Later on June 22, PicS N.V. (NASDAQ:PICS) responded to recent press reports concerning an inquiry in Brazil’s Federal District, around suspected amounts that had been unlawfully deducted from paychecks, impacting some public officials. The company mentioned that the product in question allowed employees to gain access to their wages that had been earned but not yet collected.

The company emphasized that this particular product was neither a conventional credit offering nor a salary-based loan. In fact, the total revenues attributed to this product amount to roughly BRL 9 million, which represents a minor component of the company’s broader operations.

Management also offered clarity on the company’s existing model, under which workers could ask for early access to a certain chunk of the amounts they have already earned. PicS ensured its commitment to compliance with relevant regulations and its cooperation with governing authorities.

PicS N.V. (NASDAQ:PICS) is a provider of digital financial services through its proprietary mobile application and digital wallet, as well as its website. It offers various transactional products such as Pix instant payment, peer-to-peer payments, bill payment, and payroll porting.

4. Wix.com Ltd (NASDAQ:WIX)

Wix.com Ltd (NASDAQ:WIX) is one of the best 11 small-cap software infrastructure stocks to buy now.

On June 15, Wix.com Ltd. (NASDAQ:WIX) disclosed its partnership with Microsoft to bring the creation of the Wix Harmony website into Microsoft 365 Copilot. Individuals can access the website directly with the support of Copilot for the OpenAI Apps SDK.

The integration will allow businesses and entrepreneurs to establish their online presence, handle business logic, and evaluate performance directly within the interface of Microsoft 365. Users across Microsoft 365 Copilot can easily explain their desired website using text or voice solutions or share details about their objectives and brand identity.

Such a process will help users in creating a fully functional and production-ready Harmony website, based on the robust infrastructure of Wix’s enterprise. It will contain embedded features for commerce, payments, scheduling, GEO and SEO, accessibility, safety, performance, and more.

Wix’s General Manager of Developer Platform, Shahar Talmi, reflected on how Wix Harmony will enable ideas to be turned into reality and will optimize users’ digital experience. He stated:

“With this collaboration, users can now also build within Microsoft 365 Copilot, eliminating the need to jump between tools. As creation moves into chat-based interfaces, Wix Harmony ensures that building a professional website is as simple and intuitive as asking for it in the platform you’re already on.”

Wix.com Ltd. (NASDAQ:WIX) is a cloud-based web development platform that allows registered users to manage and grow their online businesses through AI-enabled tools. The company offers various services such as Wix Editor, Wix Studio Velo by Wix, Wix App Market, Wix Marketplace, and more.

3. PowerFleet Inc. (NASDAQ:AIOT)

PowerFleet Inc. (NASDAQ:AIOT) is one of the best 11 small-cap software infrastructure stocks to buy now.

On June 30, PowerFleet Inc. (NASDAQ:AIOT) shared that the company has received Board approval for a $30 million share buyback program, which could be executed over the course of the next 2 years. As a component of the company’s capital allocation strategy, this repurchase program offers flexibility to buy back shares periodically, depending on several underlying factors.

These factors include the company’s strategic priorities, ongoing financial position, legalities, and other corporate concerns. The authorization might as well be adjusted, deferred, or dismissed at the company’s discretion and does not put the company under any compulsion to repurchase a certain number of shares.

Back on May 27, Powerfleet Inc. (NASDAQ:AIOT) disclosed a strategic collaboration with Accenture to expand intelligent safety technologies in Central Europe. Under this collaboration, Accenture has chosen Powerfleet as its strategic partner for safety solutions.

Accenture is also actively promoting and suggesting Powerfleet’s comprehensive portfolio, including its on-road safety offerings and Connected Warehouse, to its own enterprise clients in the region. Powerfleet’s technologies will now be featured as a key component of Accenture’s safety and digital transformation solutions.

These technologies also allow businesses to experience real-world use cases of risk reduction, connected safety, and operational performance.

PowerFleet Inc. (NASDAQ:AIOT) is a SaaS provider that specializes in artificial intelligence-of-things (AIoT). It offers the Unity platform, which is part of its Unity solutions portfolio. The platform helps integrate AIoT devices and business systems with a data highway that generates AI-enabled insights for customers. The company also provides SaaS-based unity modules that include vehicle, video, and in-warehouse IoT solutions.

2. Kodiak AI Inc. (NASDAQ:KDK)

Kodiak AI Inc. (NASDAQ:KDK) is one of the best 11 small-cap software infrastructure stocks to buy now.

On June 15, Craig-Hallum initiated its coverage on Kodiak AI Inc. (NASDAQ:KDK). The firm assigned a Buy rating, reflecting its positive outlook for the stock. It estimated a target price of $12, which yields more than 136% upside potential at the current level.

The firm believes that Kodiak’s autonomous “Kodiak Driver” carries the potential to disrupt the trucking industry as it utilizes redundant hardware, could verify the software that operates the vehicle, and has the ability to function in unstructured environments. This makes its technology stack applicable across all industries.

Additionally, the firm noted that early success with industrial and military deployments will support its strategy of operating on highways. Craig-Hallum identified Kodiak AI as an important point of transformation, as the company moves from validating its technology to commercializing it.

Back on May 30, Kodiak AI Inc. (NASDAQ:KDK) filed a registration statement to allow certain selling stockholders to sell 30.77 million shares of the company’s stock from time to time. Kodiak does not intend to sell any of its own shares in connection with this filing. Therefore, it will not receive any cash proceeds from the sales made by the selling stockholders.

Kodiak AI Inc. (NASDAQ:KDK) specializes in developing autonomous vehicle technology solutions.  It offers a virtual driver that integrates AI-enabled software with vehicle-neutral hardware. It also delivers driver-as-a-service to its customers.

1. Rezolve AI PLC (NASDAQ:RZLV)

Rezolve AI PLC (NASDAQ:RZLV) is one of the best 11 small-cap software infrastructure stocks to buy now.

On June 23, Rezolve AI PLC (NASDAQ:RZLV) disclosed that Subsquid Labs GmbH has moved into a new stage of institutional expansion and rising demand for blockchain data structures. The served data of SQD has grown over fivefold during a span of four months, from around 240 TB per day back in February to a record high of 1.4 PB per day.

SQD infrastructure-based applications and protocols now handle more than 20 billion USD in AUM, up from around 11 billion USD. For the company, SQD is a core component of its broader platform for AI-led transactions, commerce and real-time digital transaction intelligence. SQD delivers the proprietary blockchain database platform that can facilitate AI agents and commerce platforms needing immediate access to on-chain data.

A new leadership team has been named to lead this expansion. Investor Wanja S. Oberhof has been designated as the CEO, and Robert Jung, former EY partner, joins as Head of Transformation. SQD supports more than 225 networks via a single data streaming API and has been benchmarked for data accuracy and low-latency performance, with a recorded P90 latency of 48.5 ms. Production implementations cover Morpho, PancakeSwap, zkVerify, GMX, RAILGUN, Lambda, and Deutsche Telekom.

Rezolve AI PLC (NASDAQ:RZLV) offers generative artificial intelligence technologies to the e-commerce and retail industry in the United States and the United Kingdom. Its customer portfolio includes different brands, producers, retailers, banks, and other corporate clients.

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

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