"Undoubtedly, the broad markets are starting to heat up again (AI stocks included), but there are some names that still seem too cheap for their own good if the massive AI capital expenditures are met with a good, maybe even a great, return, perhaps over a timeframe that wouldn't upset true long-term investors. As the monetization stage of AI starts to play out in a more meaningful way, many firms are bound to disappoint with the returns that come in."
"It was supposed to be a big year for agentic AI, but Salesforce ( NYSE:CRM), one of the leading players in agents and the "digital labor" trend, has not been able to please investors. The stock is poised to finish the year down around 20%, while the S&P closes in on a gain of 20%. That's a tough bout of underperformance for a name that I think could reward investor patience as CEO Marc Benioff,"
Broad markets, including AI stocks, are beginning to heat up while some AI names remain undervalued despite heavy capital expenditures. Monetization of AI will produce many disappointments but also notable winners as firms try to convert investments into profitable products. Two dirt-cheap AI stocks are identified as potential winners in 2026 even if the first half of the year proves difficult. Salesforce has underperformed, driven by missed expectations for agentic AI and digital-labor initiatives, yet trades at just over 20.0 times forward P/E. Continued focus on agentic offerings like Agentforce could produce upside if growth materializes.
Read at 24/7 Wall St.
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