3 Undervalued Growth Stocks with 30%+ Upside Potential: Atlassian, Salesforce, Toast

Three beaten-down growth stocks that could soar more than 30% over the next 12 months include Atlassian, Salesforce, and Toast. Atlassian's cloud business is expected to drive recovery, while Salesforce's Agentforce agentic AI software has generated significant deals since its launch in September 2024. Toast's cloud-based restaurant management software is also expected to contribute to its growth. Wall Street analysts are bullish on these stocks, with consensus price targets reflecting potential upside of 66% for Atlassian, 38% for Salesforce, and 31% for Toast.

Atlassian Corp (NASDAQ:TEAM), Salesforce (NYSE: CRM), and Toast (NYSE: TOAST) have recently shown signs of potential recovery, with analysts projecting significant upside over the next 12 months. These stocks, which have been trading at lower levels, offer promising opportunities for investors seeking growth.

Atlassian Corp

Atlassian's recent insider trading activity, where CEO Michael Cannon-Brookes sold $1.16 million worth of shares, reflects a strategic move that aligns with the company's long-term vision Atlassian (TEAM) CEO Cannon-Brookes sells $1.16m in stock^[1]. The sale occurred amidst a stock decline, suggesting that Cannon-Brookes is confident in the company's future prospects. Atlassian's acquisition of DX and The Browser Co. demonstrates a strong focus on enhancing its capabilities in cloud services and artificial intelligence. Analysts have responded positively to these moves, with consensus price targets indicating a potential 66% upside Atlassian (TEAM) CEO Cannon-Brookes sells $1.16m in stock^[1].

Salesforce

Salesforce has introduced Agentforce, a new layer on its platform that enables the deployment of autonomous AI agents. Agentforce's capabilities extend beyond traditional chatbots, offering advanced reasoning abilities to make decisions and take action across various business functions. The platform's integration with Salesforce's existing tools and data sources allows for seamless operation. This innovation has generated significant interest, with major customers adopting the technology to improve efficiency and customer experiences. Analysts project a 38% upside for Salesforce, reflecting the potential of this new technology Salesforce’s Agentforce Is Here: Trusted, Autonomous AI Agents to Scale Your Workforce^[2].

Toast

Toast, a cloud-based restaurant management software provider, is expected to benefit from the growth of its cloud business. The company's focus on technology-driven solutions for the restaurant industry positions it for significant growth. Analysts predict a 31% upside for Toast, driven by the increasing adoption of cloud-based management solutions in the restaurant sector .

Conclusion

These three stocks, Atlassian, Salesforce, and Toast, present intriguing opportunities for investors seeking growth. Their recent developments and analyst projections suggest a potential for substantial upside over the next 12 months. Investors should closely monitor these companies' progress and consider the risks associated with growth stocks.