In this article, we cover the 7 Most Oversold Data Center Stocks to Invest In.
A number of data center stocks remain oversold as of the start of April amid increased execution and operational risks, despite massive expansion plans.
To meet the growing demand, technology companies continue to invest in cloud infrastructure and artificial intelligence despite fear-driven sentiment.
For instance, Meta has increased its commitment to $10 billion (up from $1.5 billion earlier) for its AI data center in El Paso, Texas. By 2028, the plant is expected to reduce local water consumption, add more than 5,000 megawatts of clean power to the grid, generate 300 permanent jobs, hire over 4,000 construction workers at peak, and put 1 gigawatt of capacity online.
Crossing the Atlantic, Mistral, the top AI provider in Europe, raised $830 million to purchase 13,800 Nvidia chips for a large data center near Paris. This was the company’s first debt raise, Reuters reported on March 30, 2026. The move demonstrates growing investor confidence as AI companies strive to compete with U.S. tech titans in cloud and AI services.
Meanwhile, environmental activists in the United Kingdom organized protests against new data center developments in February 2026, citing their extensive community impact and high electricity and water requirements. Oliver Hayes, Head of Campaigns at Global Action Plan, issued a statement:
“Big Tech’s unchecked construction of hyperscale AI data centers is putting the UK’s climate targets at risk.”
At the same time, broader tech companies, which continue to drive U.S. equity indices, are currently under pressure amid macro volatility, including the worsening Iran crisis, as of the end of March.
Rapid AI infrastructure buildouts, execution risks, and macroeconomic uncertainty have gradually pushed several data center stocks into oversold territory. However, that backdrop may present new opportunities for investors who are looking to gain access to cloud infrastructure, high-performance computing, and artificial intelligence.
With this background in mind, we will now jump to our list of the 7 most oversold data center stocks to invest in.
Our Methodology
To compile the list of the most oversold data center stocks, we used the Finviz screener to identify stocks with an RSI below 40. Additionally, while these stocks have declined over 15% year-to-date, they hold upside potential of at least 15%. We also limited our selection to companies that have recently reported noteworthy developments likely to affect investor sentiment. Finally, we ranked the stocks by their upside potential.
7. QUALCOMM Incorporated (NASDAQ:QCOM)
QUALCOMM Incorporated (NASDAQ:QCOM) is one of the most oversold data center stocks to invest in.
Analysts’ views on Qualcomm Incorporated (NASDAQ:QCOM) remain divided as of April 1, 2026, with roughly 60% of covering analysts holding mixed ratings. Yet the $150 consensus price target implies roughly 20% upside.
Recently, analysts at Goldman Sachs discussed QUALCOMM Incorporated (NASDAQ:QCOM)’s outlook.
Goldman Sachs initiated coverage on Qualcomm Incorporated (NASDAQ:QCOM) on March 30, 2026, with a “Neutral” rating and a $135 price target. According to analyst James Schneider, Qualcomm Incorporated (NASDAQ:QCOM) is leveraging its intellectual property in related industries, including data centers, PCs, and automobiles, to diversify its revenue sources. At the same time, the firm anticipates that the company’s short-term fundamentals would be impacted by share losses at key smartphone customers, especially Apple.
Previously, on March 26, Bernstein reduced its price target from $175 to $140 and downgraded Qualcomm Incorporated (NASDAQ:QCOM) from “Outperform” to “Market Perform.” The investment firm said consensus estimates now appear excessively optimistic and mentioned that memory cost concerns could have a negative impact on smartphone shipments. Additionally, Bernstein pointed out that the risks associated with smartphone weaknesses and the impending expiration of the Apple license deal are unlikely to be completely outweighed by potential narrative tailwinds from buybacks and data center initiatives.
Qualcomm Incorporated (NASDAQ:QCOM) develops and commercializes foundational technologies for the wireless industry worldwide. It operates through three segments: Qualcomm CDMA Technologies, Qualcomm Technology Licensing, and Qualcomm Strategic Initiatives.
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