AvePoint (AVPT) was added to the Russell 2000 Growth-Defensive Index and the Russell 2000 Defensive Index on 27 June 2026, an inclusion that can draw fresh attention from index-linked funds and institutional investors.
See our latest analysis for AvePoint.
AvePoint’s recent index inclusions come after a mixed share price record, with a 90 day share price return of 14.26% alongside a year to date share price decline of 13.31%, while the three year total shareholder return of 105.01% points to stronger longer run momentum than the past year’s 39.24% decline in total shareholder return might suggest.
If this kind of attention on AvePoint has you thinking more broadly about growth opportunities tied to AI and cloud infrastructure, it could be worth scanning 52 AI infrastructure stocks.
With AvePoint trading at US$11.46 and appearing on some metrics to be at a discount to analyst targets and intrinsic value estimates, investors now face a key question: is there genuine upside here, or is the market already pricing in future growth?
Most Popular Narrative: 28.9% Undervalued
AvePoint's most followed narrative puts fair value at $16.13 per share against the last close at $11.46, framing the stock as materially undervalued and hinging that view on how AI governance and data compliance shape future demand.
The accelerating enterprise adoption of AI tools like Microsoft Copilot, alongside increasing security and data governance challenges, is positioning AvePoint's data management and governance solutions as mission-critical, driving robust customer expansions and higher spending per customer, which is seen as a catalyst for sustained revenue growth and stronger net retention rates.
Want to see what sits behind that confidence in AvePoint? The core narrative leans on compounded revenue expansion, improving margins, and a future earnings multiple usually reserved for premium software leaders.
Result: Fair Value of $16.13 (UNDERVALUED)
Have a read of the narrative in full and understand what's behind the forecasts.
However, AvePoint's reliance on Microsoft and the higher mix of lower margin services revenue could pressure profitability and weaken the bullish AI governance narrative if these factors persist.
Find out about the key risks to this AvePoint narrative.
Another View on AvePoint's Valuation
The earlier narrative points to AvePoint trading below fair value based on future cash flows, yet its current P/E of 52.1x is very high compared with the US Software industry at 27.7x, a peer average of 17.7x and a fair ratio of 28.5x, which suggests real valuation risk if sentiment cools.
Put simply, the market is already paying well above both peers and that fair ratio for each dollar of AvePoint earnings. The tension between the discounted cash flow upside story and this rich earnings multiple leaves you with a clear question: which signal do you trust more at today’s price?
See what the numbers say about this price — find out in our valuation breakdown.
Next Steps
If this mix of optimism and caution around AvePoint leaves you undecided, move quickly, review the figures for yourself, and weigh the 3 key rewards.
Looking for more investment ideas beyond AvePoint?
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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