5 Undervalued Stocks with Huge Upside Potential

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1. Ares Management Corporation (NYSE:ARES)

Average Upside Potential: 57.47%

Ares Management Corporation (NYSE:ARES) is one of the undervalued stocks with huge upside potential. On April 2, Ares Management successfully raised ~$5.4 billion in aggregate capital to support its value-add real estate strategies in the US and Europe. This total includes equity commitments and transaction vehicles for two specific funds: Ares US Real Estate Fund XI (US XI) and Ares European Property Enhancement Partners IV (EPEP IV).

US XI reached its increased hard cap of $3.1 billion, contributing to a total of $3.5 billion for the US strategy, while EPEP IV secured ~$1.9 billion for European opportunities. The capital will be utilized by Ares Real Estate to target high-conviction ‘New Economy’ sectors such as logistics, multifamily, and self-storage. By using global insights alongside regional teams, the firm aims to acquire high-quality assets in supply-constrained markets that benefit from long-term structural demand.

At the time of the announcement, both US XI and EPEP IV had already deployed or identified ~$1.1 billion each in initial investments. As of December 31, 2025, Ares Real Estate managed ~$114 billion in assets with a global team of over 740 professionals. This scaled platform continues to execute diverse equity and debt strategies across the Americas, Europe, and the Asia-Pacific region.

Ares Management Corporation (NYSE:ARES) is an asset management company that invests in healthcare, services, energy, industrials, and consumer sectors. The firm targets investments of $1 to $500 million in companies with $10 to $250 million in EBITDA and $10 to $100 million in debt.

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

READ NEXT: 33 Stocks That Should Double in 3 Years and 15 Stocks That Will Make You Rich in 10 Years.

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