SEI Investments Company (SEIC) Focused on AI Integration and Capital Allocation to Create Value

SEI Investments Company (NASDAQ:SEIC) is one of the best debt-free mid-cap stocks to buy according to hedge funds. On February 10 at the UBS Financial Services Conference 2026, SEI Investments Company (NASDAQ:SEIC) reiterated its focus on integrating artificial intelligence and on capital allocation strategies.

SEI Investments Company (SEIC) Focused on AI Integration and Capital Allocation to Create Value

The company plans to enhance its margins by 25 to 50 basis points through automation and AI integration. In addition, the company’s IMS segment, a tech-enabled operating platform for alternative and traditional asset managers, is transitioning 70% of its focus to alternative investments. It also plans to pursue aggressive share buy-backs and return up to 100% of its free cash flow to shareholders.

Earlier on February 4, UBS initiated coverage of SEI Investments Company with a Buy rating and a $115 price target. According to the research firm, the company is an investment play on growth in the alternative asset management industry. Consequently, it is well-positioned to benefit from strong secular tailwinds, as the management team has enhanced its go-to-market strategy, driven by higher margins and optimized capital allocation.

SEI Investments Company (NASDAQ:SEIC) is a global provider of financial technology, investment management, and operations platforms, primarily serving financial advisors, institutional investors, and investment managers. They offer outsourced services, including asset management, fund administration, and specialized technology for wealth management, managing or administering over $1 trillion in assets.

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

READ NEXT: 10 Best Stocks to Buy and Hold for the Next 6 Months and 11 Best High Return Penny Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.