CEVA: An Affordable AI Play Seeing Growing Analyst Optimism

CEVA, Inc. (NASDAQ:CEVA) is one of the Best AI Stocks to Buy under $50. The company, a leading licensor of silicon and software IP, announced its financial results for the third quarter of 2025 on November 10^th.

Ceva reported total revenues of $28.4 million, marking an 11% sequential increase and a 4% year-over-year growth. In particular, AI processor licensing contributed an estimated one-third of the licensing revenue.

The company also achieved several strategic wins during the year, including a major NeuPro NPU portfolio license agreement with Microchip and three new AI DSP agreements.

Reflecting this growing optimism around the stock, Loop initiated CEVA as “Buy” on December 1^st. The firm believes that the semiconductor company is too attractive to ignore.

"We are initiating coverage of CEVA, Inc. (CEVA) with a Buy rating and $28 price target."

In separate news, the company announced on November 17 that it started an underwritten public offering of 3,000,000 shares of its common stock. It also agreed to grant the underwriters a 30-day option to buy up to an additional 450,000 shares of the common stock, with plans to use the net proceeds for instances such as finance potential acquisitions of, or investments in, complementary technologies or businesses.

Analysts on Wall Street currently have a consensus Buy rating on the stock. The average price target of $35 implies a 62.72% upside, however, the Street-high target of $40 implies an upside of 85.96%.

CEVA, Inc. (NASDAQ:CEVA) offers silicon and software IP solutions to semiconductor and OEM companies.

While we acknowledge the potential of CEVA 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.