2 Artificial Intelligence (AI) Stocks to Buy Before They Soar 100%, According to Select Wall Street Analysts

Core Insights - Certain Wall Street analysts predict that shares of Upstart and Atlassian could see triple-digit returns in the next year despite their year-to-date declines of 15% and 30% respectively [1][2] Upstart Holdings - Upstart is an AI lending platform that enhances credit risk assessment by analyzing over 2,500 data points per applicant, improving accuracy compared to traditional FICO score systems [4] - The platform automates underwriting and optimizes customer acquisition, fraud detection, and default forecasting, allowing lending partners to approve more borrowers at lower interest rates [5] - Upstart's loans originated since Q2 2023 are projected to yield 11.3% annually, outperforming 10-year Treasury bonds by 7 percentage points [5] - In Q2, Upstart's total revenue surged 102% to $257 million, primarily driven by personal loans, which constitute 90% of total originations [6] - Non-GAAP net income improved to $0.36 per diluted share from a loss of $0.17 per diluted share year-over-year [6] - Wall Street anticipates Upstart's adjusted earnings to grow at 66% annually through 2027, making its current valuation of 60 times earnings appear relatively cheap [7] - Hal Goetsch from B. Riley Financial set a target price of $105 per share for Upstart, indicating a 102% upside from its current price of $52 [8] Atlassian - Atlassian specializes in work management and service management software, with its flagship product Jira being widely adopted across various departments [10] - The company was recognized by Gartner as a leader in work management software for both development and operations teams, providing a competitive advantage [11] - Atlassian has introduced AI agents to enhance productivity for both technical and non-technical teams, positioning itself well to benefit from AI advancements [12] - In Q4 of fiscal 2025, Atlassian reported a 22% revenue increase to $1.3 billion and a 48% rise in non-GAAP earnings to $0.98 per diluted share [13] - The adoption of AI products grew by 50% to 2.3 million monthly active users [13] - Atlassian's addressable market is estimated at $67 billion, expanding at 13% annually, with adjusted earnings expected to increase at 19% annually through fiscal 2027 [14] - Morgan Stanley set a target price of $320 per share for Atlassian, suggesting a 101% upside from its current price of $159 [8]