In this article, we will explore the 8 Best Cloud Computing Stocks to Buy in 2026.
Cloud computing continues to take center stage in the stock market as AI infrastructure spending grows, showing no signs of slowing. While investors previously asked about AI spending ROI, they’re now wondering why their company can’t spend more. The demand is so high that specialized cloud computing companies have emerged, offering only compute capacity for AI and high-performance computing workloads.
These companies, also referred to as ‘neoclouds’, prove that the demand for cloud computing services is skyrocketing. Some are taking on billions of dollars in debt just to capitalize on this enormous opportunity. Talking on the CNBC show ‘Squawk on the Street’, CoreWeave CEO Mike Intrator mentioned how we are still early into the cloud computing demand while calling out the risks involved in scaling to meet that demand:
That ramp comes with an enormous opportunity to drive margins as we continue to grow, but we need to have an opportunity to scale, and scaling is expensive.
Without a doubt, cloud computing will flourish as AI technologies develop. To benefit from this, we decided to create our list of the 8 best cloud computing stocks to buy in 2026.
Our Methodology
To come up with our list of 8 best cloud computing stocks to buy in 2026, we looked at various cloud computing ETFs to compile a list of companies in the industry. We then filtered out companies with a market cap of at least $2 billion and reasonable upside over the next 12 months, according to analysts. These companies have reported recent investor-worthy news and are ranked in ascending order of their potential upside.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 498.7% since May 2014, beating its benchmark by 303 percentage points (see more details here).
Note: All share price data in the article is as per market close on May 1.
8. Procore Technologies, Inc. (NYSE:PCOR)
Potential Upside: 21.4%
On April 21, Andrew Sherman, an analyst at TD Cowen, maintained a Buy rating on Procore Technologies, Inc. (NYSE:PCOR) while lowering the firm’s price target to $75 from $85. The firm’s revised price target implies an additional 26.4% upside from the current levels. This update has come just before the company is set to announce its Q1 2026 earnings. TD Cowen expects improved sales and increased guidance for fiscal year 2026, together with a 20% increase in the company’s remaining performance obligation (RPO).
On April 20, Procore Technologies added a new member to its board by appointing Columbia University computer science professor and AI leader, Vishal Misra, as an independent Class III director. According to the company, Misra was hired to strengthen its AI capabilities and support its AI-powered construction management plan. Misra is an experienced leader in technology and digital media. By appointing him, Procore is strengthening its position as the market leader as demand for infrastructure and smart, modern construction grows.
Procore Technologies, Inc. (NYSE:PCOR) offers a cloud-based construction management platform, along with related products and services. It operates across the United States and international markets. The company’s platform allows architects, owners, engineers, and general and specialty contractors to coordinate on construction projects.
7. Microsoft Corporation (NASDAQ:MSFT)
Potential Upside: 33.3%
Microsoft Corporation (NASDAQ:MSFT) reported its third-quarter fiscal 2026 earnings on April 29. Earnings per share came in at $4.27, marking a 21% increase. Revenue from Azure and other Cloud Services grew 40%. The company reported a gross margin of 68%, which declined year-over-year due to continued spending on AI infrastructure and higher usage of AI products. Strong cloud billings and collections pushed operating cash flow up 26% to $46.7 billion.
Heading into earnings week, Moody’s Corporation announced the next phase of its strategic alliance with Microsoft Corporation (NASDAQ:MSFT), in which the firm’s decision-grade intelligence is directly integrated into Microsoft AI solutions. The agentic workflows and decision-grade intelligence are incorporated into Microsoft 365 Copilot via the Model Context Protocol. In addition, tools like Copilot Chat and the Researcher agent can be used to conduct financial analysis and retrieve company data, making it easier to research without switching between programs.
Microsoft Corporation (NASDAQ:MSFT) is a global technology company that develops and sells a wide range of software, cloud services, devices, and business solutions, serving both individual users and enterprise customers worldwide. Its flagship products include Windows, Microsoft 365, Azure, LinkedIn, and Xbox.
6. HubSpot Inc. (NYSE:HUBS)
Potential Upside: 35.5%
Over the last few trading sessions, HubSpot Inc. (NYSE:HUBS) has seen positive momentum. On April 16, J. Parker Lane, an analyst at Stifel Nicolaus, maintained a Buy rating and set a target price of $325. Two days prior to this, Needham set a price target of $300 and also maintained a Buy rating. HubSpot’s international and partner growth is set to improve in 2026, according to the research firm. Analysts led by Joshua Reilly said that self-service facilities are now available for the pricing and sales and marketing front, as part of a multi-year sales and marketing program.
Reilly and his team remarked:
Additionally, we highlight trends around international and partner sales outperformance in 2025, and our view that these trends continue and possibly accelerate in 2026 as international momentum is driven by larger multihub deals and strength in EMEA [Europe, the Middle East, and Africa], while partner activity is benefiting from AI complexity, international bias towards partner channel and overall up-market shift for the company, which drives greater partner activity.
HubSpot’s latest plan is to charge customers for their use of Breeze AI agents, helping it improve how it generates revenue. Breeze Agents are AI-powered agents developed by HubSpot Inc. (NYSE:HUBS) to automate complex, multi-step marketing, sales, and service workflows.
Moreover, the company has started to disclose the number of customers who are using their Breeze Agents, more specifically, the customer, prospecting, and data agents. This gives analysts better visibility into future earnings.
HubSpot Inc. (NYSE:HUBS) provides cloud-based customer relationship management software. Its platform includes marketing, sales, service, operations, and a content management system, as well as other tools, integrations, and native payment solutions.
While we acknowledge the potential of HUBS 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 HUBS and that has 100x upside potential, check out our report about the cheapest AI stock.
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