Anthropic’s attempt to go public at a valuation of up to US$1.4billion has put a bright spotlight on the companies supplying the chips, cloud capacity, and software that make large AI models possible. The market is fixated on the headline valuations. Quietly, some of the businesses powering this boom still trade on more modest pricing. This article highlights three AI focused stocks our screener flags as potentially undervalued.
The three stocks covered below are just a small sample, and the full screen surfaced 141 more AI focused companies with equally compelling narratives that are not covered in this article. To go beyond these highlights, head straight into the Undervalued Artificial Intelligence/ AI Stocks screener to identify potential opportunities, compare valuations, and analyze which AI plays best fit your own thesis.
Salesforce (CRM)
Salesforce is one of the clearest software plays in this AI screen, because Agentforce, Data 360, and Slack turn its long-running customer relationship platform into an enterprise hub for autonomous agents, according to HedgeY, a Simply Wall St Community investor who wrote the Narrative.
"The question today is whether AI makes that model weaker or stronger."
Much now hinges on how one emerging usage and pricing shift affects Salesforce’s ability to keep monetising AI-heavy workflows without eroding margins.
Salesforce runs a global cloud-based customer relationship platform and related services. Its Agentforce AI agents, Data 360 engine, and Slack interface tie that core franchise directly into the ChatGPT and LLM wave.
The group reports around US$43.9b in revenue from a broad enterprise cloud computing business, reflecting a single integrated segment rather than separate AI or CRM lines, and carries a market value close to US$176.9b.
That pricing shift is the fulcrum. Read the full narrative for Salesforce to see how Salesforce’s AI push could reshape monetisation, margins and competitive pressure.
Systena (TSE:2317)
Systena is a Tokyo based IT services group that builds and tests AI, IoT, and cloud systems for enterprises, with AI related work concentrated in its Digital Integration and IT & DX Service units. Revenue is led by the Business Solution Business at ¥35,704 million, with IT & DX at ¥22,902 million, and the firm is valued at about ¥162.6 billion.
For AI focused investors, Systena offers direct exposure to AI and IoT deployment through platforms like Canbus.IoT and Cloudstep. This is backed by a sizeable IT & DX and Digital Integration footprint rather than a pure play AI model. The key issue is how margins might respond if a gradual shift in project mix takes hold.
If that mix really tilts toward AI heavy work, the analysis report for Systena shows where valuation, margins and pipeline strength might be quietly decoupling.
Alphabet (GOOGL)
Alphabet underpins much of today’s consumer internet through Search, YouTube and Android, while Google Cloud’s AI stack, including Gemini and Vertex AI, connects it directly to the ChatGPT and LLM boom for enterprises.
Alphabet generated about US$376.3b from Google Services, US$93.2b from Google Cloud, and US$1.5b from Other Bets, and carries a market value near US$3,530.6b.
Alphabet’s AI story hinges on how far Google Cloud can turn its LLM tooling into durable, high-margin infrastructure revenues across that global footprint.
According to oscargarcia, an investor in the Simply Wall St Community who wrote the Narrative, Google’s push to infuse Gemini and other AI tools into Cloud and Workspace is turning years of research into a commercial engine that is tightly aligned with this screener’s focus on large language models, infrastructure, and cloud transformation.
"Google Cloud has gone from “meh” to money-maker, now #3 globally behind AWS and Azure with AI-first services like Vertex AI, Duet AI, and infrastructure tools deeply integrated into BigQuery and Workspace."
The real test is how Google Cloud’s AI demand, capital spending and pricing power interact over time if one unseen pressure on profitability keeps building.
If that pressure on profitability is what you keep circling back to, read the full narrative for Alphabet to see how Alphabet’s AI spend and earnings power could be accelerating.
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