Value investing has created more billionaires than any other strategy, like Warren Buffett, who built his fortune by purchasing wonderful businesses at reasonable prices.
But these hidden gems are few and far between - many stocks that appear cheap often stay that way because they face structural issues.
A number of stocks jumped in the afternoon session after investor attention turned to the annual CES 2026 technology conference in Las Vegas, with artificial intelligence emerging as a central theme.
The stocks in this article have caught Wall Street’s attention in a big way, with price targets implying returns above 20%.
But investors should take these forecasts with a grain of salt because analysts typically say nice things about companies so their firms can win business in other product lines like M&A advisory.
Software is rapidly reducing operating expenses for businesses. Companies bringing it to life have been rewarded with high valuation multiples that make fundraising easier,
but they have capped returns lately as the industry was flat over the past six months and trailed the S&P 500’s 13.3% gain.
Shares of go-to-market intelligence provider ZoomInfo (NASDAQ:GTM) jumped 5.8% in the afternoon session after BTIG initiated coverage on the company with a 'Buy' rating and a $13 price target.
A number of stocks jumped in the afternoon session after comments from a key Federal Reserve official bolstered hopes for an interest rate cut. The positive sentiment followed comments from New York Federal Reserve President John Williams, a voting member of the rate-setting Federal Open Market Committee (FOMC), who indicated he sees room for further policy easing. Following his remarks, the probability of a December rate cut surged from 39% to 71%, according to the CME FedWatch Tool, causing Treasury yields to fall. Lower interest rates can be particularly beneficial for growth-oriented sectors like software, as they increase the present value of future earnings. This renewed hope provided a boost to the sector, which had recently faced pressure from concerns over high valuations in artificial intelligence.
Not all profitable companies are built to last - some rely on outdated models or unsustainable advantages.
Just because a business is in the green today doesn’t mean it will thrive tomorrow.
A number of stocks fell in the afternoon session after concerns regarding lofty artificial intelligence valuations triggered a pullback in the technology sector.
Stocks trading between $10 and $50 can be particularly interesting as they frequently represent businesses that have survived their early challenges.
However, investors should remain vigilant as some may still have unproven business models, leaving them vulnerable to the ebbs and flows of the broader market.
ZoomInfo’s third quarter results saw the company outperform Wall Street’s revenue and profit expectations, with management attributing success to its ongoing transition toward larger enterprise customers and the rapid scaling of new AI-powered products. CEO Henry Schuck emphasized that the company’s proprietary data assets and expanded product suite, such as Copilot and GTM Workspace, have driven stronger customer engagement and improved net revenue retention. Management highlighted sustained margin improvement and stronger upmarket traction as key operational achievements.
Go-to-market intelligence provider ZoomInfo (NASDAQ:GTM) reported Q3 CY2025 results topping the market’s revenue expectations, with sales up 4.7% year on year to $318 million. Guidance for next quarter’s revenue was better than expected at $308.5 million at the midpoint, 1.2% above analysts’ estimates. Its non-GAAP profit of $0.28 per share was 9.5% above analysts’ consensus estimates.
Go-to-market intelligence provider ZoomInfo (NASDAQ:GTM) reported Q3 CY2025 results beating Wall Street’s revenue expectations, with sales up 4.7% year on year to $318 million. Guidance for next quarter’s revenue was better than expected at $308.5 million at the midpoint, 1.2% above analysts’ estimates. Its non-GAAP profit of $0.28 per share was 9.5% above analysts’ consensus estimates.
Volatility cuts both ways - while it creates opportunities, it also increases risk, making sharp declines just as likely as big gains.
This unpredictability can shake out even the most experienced investors.
ZoomInfo trades at $11.12 per share and has stayed right on track with the overall market, gaining 27.7% over the last six months. At the same time, the S&P 500 has returned 22.9%.
A number of stocks jumped in the afternoon session after positive news on corporate earnings, easing political and trade tensions, and optimism about future interest rate cuts all converged to lift investor sentiment.
