8. Five9 Inc. (NASDAQ:FIVN)
Five9, Inc. (NASDAQ: FIVN) lands at No. 8 as a beaten-down AI software stock with a real operating business, recurring subscription revenue and a credible path for long-term expansion. At approximately $33.27 per share and a market capitalization below $3 billion, the company is considerably smaller than many established enterprise-software competitors.
Its cloud-based customer-experience platform helps businesses manage calls, messages and digital customer interactions. Artificial intelligence has become increasingly important to this platform through virtual agents, automated summaries, workforce optimization, routing and real-time assistance for human representatives.
The investment opportunity comes from a simple idea: businesses want to improve customer service while reducing the cost of operating large contact centers. AI agents can answer routine questions, process requests and assist employees with complicated cases. If enterprises continue moving away from traditional call-center infrastructure, cloud-based customer-service platforms could capture a larger share of corporate technology spending.
Second-quarter 2026 revenue increased 10% to $312.4 million, while subscription revenue advanced 14%. The company also announced a new customer agreement carrying approximately $100 million in total contract value, demonstrating that major organizations are still willing to commit meaningful budgets to its platform.
The stock is not especially cheap when judged using trailing earnings alone. However, its price-to-sales valuation is less demanding than those of many high-growth enterprise AI companies. The market appears worried that newer AI-native competitors could bypass traditional contact-center platforms completely.
That threat should not be ignored. Still, established customer relationships, recurring revenue and an existing communications infrastructure could allow the company to become an important distribution platform for enterprise AI agents. This combination makes it one of the more interesting undervalued AI stocks for aggressive investors.
