Alight, Inc. (ALIT) is listed among the 11 most undervalued cloud stocks under $10 by hedge funds due to its share price under $10, strong hedge fund interest, and low price-to-earnings ratio.

DA Davidson maintains a ‘Buy’ rating on Alight, Inc. (ALIT) with a price target of $10, representing a potential upside of 75.4% as the company’s shares currently trade at $5.70.

Analysts expect Alight, Inc. (ALIT) to meet or slightly exceed expectations with Q2 results, projecting an earnings per share (EPS) of $0.61 in 2025, despite the company’s lack of profitability in the past year.

Aristotle Capital Boston, LLC believes Alight, Inc. (ALIT) has growth opportunities through existing and new client relationships, self-help initiatives, and technological enhancements to streamline operational costs and improve margins.

Alight, Inc. (ALIT) offers Alight Worklife, a cloud-based employee engagement platform, as a cloud-based integrated digital human capital and business solutions provider.

While Alight, Inc. (ALIT) shows investment potential, some believe other AI stocks offer greater upside potential with less downside risk, suggesting a focus on extremely undervalued AI stocks that benefit from current economic trends.

Read more at Yahoo Finance: DA Davidson Maintains ‘Buy’ Rating on Alight, Inc. (ALIT), Sets PT at $10