Verint Systems (VRNT) stock surged 17.15% in Thursday's trading session, driven by the company's strong fiscal Q1 performance and its growing presence in the artificial intelligence (AI) market for customer experience solutions. The significant uptick comes as Wall Street analysts express optimism about Verint's AI-focused strategy and its potential to capitalize on the booming AI industry.
According to a report from Wedbush, Verint is well-positioned to build further momentum in the customer experience market, with the AI revolution estimated to spark $2 trillion in spending over the next decade. The company's differentiation through proven AI outcomes has allowed it to capitalize on current AI adoption trends. Notably, annual recurring revenue (ARR) from AI now represents about 50% of Verint's subscription ARR, showcasing the company's successful integration of AI into its core offerings.
Analysts have responded positively to Verint's performance and outlook. Wedbush reiterated its outperform rating on Verint Systems with a $30 price target, while TD Cowen maintained a Buy rating with a $33 price target. The company's fiscal 2026 guidance aligns with Street expectations, further bolstering investor confidence in Verint's AI-driven growth strategy.
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