Core Viewpoint - PowerFleet Incorporated (NASDAQ:AIOT) is recognized as one of the small-cap software infrastructure stocks with significant upside potential, reporting strong financial results and positive market sentiment [1][4]. Financial Performance - For the third quarter, PowerFleet reported total revenue of $113.5 million, exceeding consensus estimates of $111.69 million [1][3]. - The company achieved an 11% year-over-year increase in high-value services, which now constitutes 80% of total revenue [3]. Market Sentiment and Ratings - Northland Securities assigned an Outperform rating to PowerFleet with a target price of $10, indicating a potential upside of nearly 164% [3][4]. - The firm has labeled PowerFleet as a "Top Pick for 2026," citing the successful execution of its post-combination strategy and positive developments in new logo acquisitions and AI Video growth [4]. Company Overview - PowerFleet is a SaaS provider specializing in artificial intelligence-of-things (AIoT), offering the Unity platform that integrates AIoT devices and business systems [5]. - The company provides various SaaS-based unity modules, including solutions for vehicles, video, and in-warehouse IoT [5].

Core Viewpoint - Appian Corporation (NASDAQ:APPN) is recognized as a small-cap software infrastructure stock with significant upside potential, with analysts projecting substantial price increases based on strong performance and growth prospects in the federal segment [1][2]. Group 1: Analyst Ratings and Price Targets - Citi analyst Steve Enders maintained a Buy rating on Appian Corporation, forecasting a target price of $48, indicating an upside potential of over 108% [1]. - Morgan Stanley analyst Sanjit Singh upgraded Appian from Equal Weight to Overweight, with a price target of $45, suggesting an upside potential of more than 95% [2]. Group 2: Company Performance and Growth Prospects - Appian's fourth quarter results and guidance for 2026 reflect continued strength, particularly in the federal segment, presenting a compelling risk/reward opportunity for investors [1]. - Singh anticipates mid-teens growth driven by customer adoption of AI-linked subscription tiers and improved sales productivity [2]. Group 3: Company Overview - Appian Corporation is a global cloud-based platform-as-a-service (PaaS) provider, enabling enterprises to design and automate business processes through an integrated automation platform that includes features like AI, data fabric, and process automation & mining [3].

Group 1 - Five9 Incorporated (NASDAQ:FIVN) is identified as one of the small-cap software infrastructure stocks with significant upside potential, with a current upside of more than 59% despite a price target reduction from $30 to $26 by Morgan Stanley [1][3] - Barclays analyst Raimo Lenschow also reduced his target price on Five9 from $29 to $25 while maintaining an Overweight rating, indicating an upside potential of over 53% based on steady macro and IT spending [4] - The company operates as a contact center as a service (CCaaS) provider, offering a cloud-based CX platform that includes applications for customer service, sales, and marketing, featuring services like virtual assistance and AI insights [5] Group 2 - Application SaaS companies, including Five9, have shown weaker returns in 2025 compared to the broader software segment, although AI-related risks may be less severe than expected, leading to a more favorable outlook for the segment [3] - The software sector is currently out of favor, with depressed valuations and limited signs of increased software spending, prompting analysts to be cautious and selective in their outlook [4]

Core Viewpoint - Progress Software (NASDAQ:PRGS) is identified as one of the small-cap software infrastructure stocks with significant upside potential, with analysts maintaining positive ratings despite some price target adjustments [1][4]. Analyst Ratings and Price Targets - Citi analyst Fatima Boolani raised the price target for Progress Software from $54 to $60, maintaining a Buy rating, indicating over 71% upside potential [1][3]. - DA Davidson analyst Lucky Schreiner reduced the price target from $75 to $70 but still maintains a Buy rating, suggesting an impressive upside of almost 100% [4]. Company Performance and Market Position - The company reported strong earnings and cash flows in its fourth-quarter announcement, which contributed to the positive outlook from analysts [3]. - A sales check conducted by Schreiner revealed that customers view Progress Software's products as mission-critical, showing limited interest in alternatives despite concerns about AI disruption [5]. Product Portfolio and Services - Progress Software offers a range of products for developing and managing AI-enabled applications, including OpenEdge, Chef, Agentic RAG, MOVEit, Automate MFT, and Sitefinity, catering to project management, software development, and training needs [6]. Market Sentiment and Future Outlook - Despite trading at historically low valuation multiples, analysts see potential M&A opportunities as positive catalysts for the stock [5].

Allot Limited (NASDAQ:ALLT) is one of the 9 small-cap software infrastructure stocks with the highest upside potential. On January 12, Cantor Fitzgerald began coverage of Allot Limited (NASDAQ:ALLT), assigning an Overweight rating and a $15 price target. This resulted in an upside potential of more than 49% at the prevailing level. Copyright: bluebay / 123RF Stock Photo The firm highlighted the company’s transition towards a security-centric consumer model, supported by the growing contribution of Secu ...

Welcome back to Opening Bell. Now, let's now discuss some of the choppiness we've seen in the overall markets. Joining me now is Ken Mahoney, CEO of Mahoney Asset Management.Ken, thanks so much for joining us on this Friday. Now, you described these markets as tired. Walk us through that that thinking.I do think that's so accurate right now, especially without really seeing any major catalyst propelling any upside here for the markets this week. >> I think we're tired too in these 247 news cycles. Keep up w ...

Core Insights - Microsoft is experiencing significant long-term warning signals as a result of a sharp selloff, pushing the stock into a critical technical zone [1] - The stock has fallen to $397.29, down 7.67% in the latest monthly candle, breaking below the $410 level and testing a key long-term support zone [2] Technical Analysis - The focus is on the 50-month moving average (MA), which has served as Microsoft's primary structural support since December 2011, previously leading to bullish reversals [3] - A confirmed monthly close below the 50-month MA would indicate a major technical breakdown, with the next key support at the 100-month moving average near $300, aligning with significant Fibonacci retracement levels [4] - The monthly Relative Strength Index (RSI) is testing the crucial 44 support level, with a potential break below opening the path toward the oversold threshold of 30, which could coincide with a price decline toward the 100-month moving average [5] Financial Performance - Following the fiscal Q2 earnings report in late January, Microsoft reported a 17% revenue growth to $81.3 billion, exceeding estimates, but concerns arose from a $37.5 billion capital expenditure primarily for AI data centers and GPUs [6] - Despite robust demand for AI and cloud services, heavy spending has led to skepticism among investors, with some major funds trimming positions due to fears of delayed returns and potential margin pressure [7]

Core Insights - Microsoft has integrated artificial intelligence (AI) into its products more extensively than most competitors, with tools like Copilot embedded across its software suite [1] - The Azure AI infrastructure is sold out in key regions, indicating strong demand [1] - Current adoption of Copilot remains low at 3.3% of its user base, despite bullish analyses focusing on its monetization potential through paid upgrades [1]

This is The Takeaway from today's Morning Brief, which you can sign up to receive in your inbox every morning along with: What we're watching What we're reading Economic data releases and earnings I get to chat with a ton of fascinating people each week here at Yahoo Finance. It's one of the perks of the gig. Every day I leave our New York City headquarters smarter than the day before. Phoebe Gates, daughter of Microsoft's (MSFT) Bill and Melinda Gates, took me inside her new startup, Phia. It's a ...

Core Viewpoint - JFrog's share price dropped 24.94% following the launch of Anthropic's Claude Code Security, raising concerns about AI tools potentially replacing existing cybersecurity solutions [1][2]. Company Overview - JFrog, co-founded and led by CEO Shlomo Ben Haim, specializes in software development solutions [2]. - The company has experienced a significant decline in stock value, losing 39.6% since the beginning of 2026, which equates to a market cap reduction of nearly $3 billion, bringing it down to $4.5 billion [5]. Market Reaction - The launch of Claude Code Security by Anthropic has led to a broader decline in cybersecurity stocks, with notable drops in SentinelOne (down 4.35%) and Varonis (down 7.68%) [2]. - Investment bank Jefferies' analyst Joseph Gallo expressed that while the cybersecurity field will ultimately benefit from AI, there will be increasing headwinds until the impact of AI on cybersecurity becomes clearer [5]. Analyst Perspectives - Raymond James stated that the decline in JFrog's stock is exaggerated and views it as a short-term risk that does not affect the company's strategic position, maintaining a positive outlook due to the company's foresight and platform resilience [6].