Clearwater Analytics Holdings, Inc. (NYSE:CWAN) is one of the Tech Stocks to Buy with the Highest Upside Potential. Analysts are bullish on Clearwater Analytics Holdings, Inc. (NYSE:CWAN) after it topped revenue estimates in its fiscal second quarter of 2025. The EPS also stayed in line with the consensus.
The company posted a revenue of $181.94 million, up 70.37% year-over-year and ahead of consensus by $7.80 million. Notably, the company announced new client wins, including Germany’s largest public insurer and a major international bank, expanding its global footprint and validating its integrated platform strategy. Moreover, revenue retention rates remained strong, with a gross retention rate of 98% and a net retention rate of 110%.
Following the positive update, on August 11, Goldman Sachs upgraded the stock from Neutral to Buy with a price target of $27. More recently, on August 26, RBC Capital analyst Rishi Jaluria also maintained a Buy rating on Clearwater Analytics Holdings, Inc. (NYSE:CWAN) with a price target of $36.
Clearwater Analytics Holdings, Inc. (NYSE:CWAN) provides a cloud-native investment management platform for institutional investors that integrates portfolio management, trading, accounting, reconciliation, compliance, and risk analytics into one unified system.
While we acknowledge the potential of CWAN as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.