5 Worst Cloud Stocks To Buy According to Short Sellers 

4. Atlassian Corporation (NASDAQ:TEAM)

Short Interest: 12.3%

On June 9, Ryan MacWilliams of Wells Fargo assigned a Buy rating to Atlassian Corporation (NASDAQ:TEAM) while increasing the price target. He raised the firm’s price target on the stock from $120 to $140. The upwardly revised price target offers an additional 53% upside from the current levels.

The analyst believes investors remain divided on AI. They question whether AI will help the company grow the number of users or revenue per user. The company disclosed in its Q2 results that customers using AI tools in Jira create about 5% more tasks, use the product more often, and add users 5% faster than those who don’t use AI tools. Moreover, customers using its AI product Rovo are growing their revenue twice as fast as those who don’t. The software company, on September 8, 2025, announced that it would shut down its older Data Center business over the next three years. As a result, the Cloud business could register growth as customers move from the Data Center to the Cloud.

Atlassian Corporation (NASDAQ:TEAM) is a software-as-a-service company that focuses on team collaboration and productivity software such as Jira, Confluence, and Loom. The company is based in San Francisco, California, and was founded in October 2002 by Michael Cannon-Brookes and Scott Farquhar.