5 Undervalued Stocks with Huge Upside Potential

In this article, we will list the 5 Undervalued Stocks with Huge Upside Potential. Please visit 8 Undervalued Stocks with Huge Upside Potential to see the extended list and the methodology behind it.

5. Check Point Software Technologies Ltd. (NASDAQ:CHKP)

Average Upside Potential: 34.77%

Check Point Software Technologies Ltd. (NASDAQ:CHKP) is one of the undervalued stocks with huge upside potential. On March 23, Check Point Software announced the launch of the Check Point AI Defense Plane. This unified security control plane is designed to help enterprises govern and secure the agentic era, where AI systems transition from content generators to autonomous actors capable of accessing data and triggering workflows.

5 Undervalued Stocks with Huge Upside Potential

Built on Check Point’s AI Security platform, the solution integrates technologies from ThreatCloud AI and recent acquisitions of Lakera and Cyata to provide discovery, governance, and runtime control across the AI execution lifecycle. The platform’s core is an AI-native security engine that delivers adaptive protection in under 50 milliseconds across more than 100 languages.

Unlike traditional guardrails that focus solely on model safety, the AI Defense Plane secures AI behavior within live production environments. It features 3 primary modules: Workforce AI Security for employee usage governance, AI Application & Agent Security for managing permissions & data access of embedded systems, and AI Red Teaming for continuous adversarial testing of agent workflows & reasoning paths. Check Point Software Technologies Ltd. (NASDAQ:CHKP) confirmed that both the Workforce and Application modules are available immediately, while the Red Teaming module has moved into limited release.

Check Point Software Technologies Ltd. (NASDAQ:CHKP) is a technology company that specializes in IT security. The company offers multilevel security for cloud, network, mobile, endpoints, and IoT, alongside technical support, professional services, and product certification or training.

4. Capital One Financial Corporation (NYSE:COF)

Average Upside Potential: 43.53%

Capital One Financial Corporation (NYSE:COF) is one of the undervalued stocks with huge upside potential. On March 23, Capital One Software announced expanded capabilities for its Databolt platform at the RSAC 2026 Conference. These new features are designed to address the complexities of enterprise data security by automatically securing sensitive elements within unstructured data, such as PDFs, emails, and transcripts.

By identifying personally identifiable information and applying semantic-preserving protection like tokenization, Databolt aims to transform previously unusable dark data into secure assets for AI and analytics workflows. The expansion includes several upcoming features intended to establish a secure-by-default standard for the entire data lifecycle.

Key updates include a 100% self-hosted deployment option for regulated businesses, enhanced protection policies for granular access control, and a centralized token analytics dashboard for system visibility. Additionally, the platform introduced logical segmentation through Domains and extensive data catalog connectivity to help organizations integrate and manage metadata across complex data stacks more efficiently.

Capital One Financial Corporation (NYSE:COF) is a financial services company that provides various financial products and services through three segments: Credit Card, Consumer Banking, and Commercial Banking.

3. Barrick Mining Corporation (NYSE:B)

Average Upside Potential: 45.00%

Barrick Mining Corporation (NYSE:B) is one of the undervalued stocks with huge upside potential. On April 2, Barrick Mining provided an update regarding the status of the Reko Diq project. This followed an earlier announcement on February 5, in which the company stated it was reviewing the project due to an escalation of security risks and incidents in the region. While Barrick maintains its belief in the long-term value of the asset, the company has decided to slow development activity and extend its comprehensive review until mid-2027 to assess the evolving security landscape, capital requirements, and project scope.

As a result of this decision, Reko Diq will remain under active management but with a reduced capital spend. Despite the slowdown in development, Barrick Mining intends to continue honoring and investing in its existing community and social programs within the country. The company noted that the development of Phase 1 was approved under these adjusted parameters as it continues to monitor the situation in consultation with its joint venture partners.

Barrick Mining Corporation (NYSE:B) anticipates that the previously disclosed capital budget and timeline for the project could see significant increases. The original estimates for Phase 1 were between $5.6 billion and $6.0 billion, while Phase 2 was estimated between $3.3 billion and $3.6 billion, with first production targeted for the end of 2028. A further update to the market is expected following the conclusion of the extended review in mid-2027.

Barrick Mining Corporation (NYSE:B) is a Canadian mineral properties company that explores for gold, copper, silver, and energy materials. The company was founded in 1983.

2. CGI Inc. (NYSE:GIB)

Average Upside Potential: 48.52%

CGI Inc. (NYSE:GIB) is one of the undervalued stocks with huge upside potential. On April 2, CGI entered into a multi-year strategic collaboration agreement with Amazon Web Services/AWS to drive AI innovation and digital transformation throughout the US public sector. This partnership aims to provide scalable, mission-critical solutions for government, education, nonprofit, and healthcare organizations.

By combining CGI’s professional services expertise with AWS’s cloud capabilities, the alliance focuses on delivering advancements in cybersecurity, fraud prevention, and operational decision support. The collaboration outlines several key objectives, such as the acceleration of trusted AI adoption and the strengthening of Zero Trust cybersecurity architectures.

The two companies will work to improve data interoperability and accessibility across agencies, modernize legacy government systems, and enhance citizen-focused digital services. To support these goals, the agreement includes dedicated investments in cloud and AI training and certification programs for CGI professionals to deepen their technical expertise. As an AWS Premier Tier Services partner, CGI Inc. (NYSE:GIB) will use its global network and specialized programs, such as ’12 Weeks to AI’, to help clients prioritize use cases and build machine-learning models.

CGI Inc. (NYSE:GIB) is an IT company that offers business process services internationally. The company specifically provides end-to-end services & solutions, as well as infrastructure services.

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.

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