Adobe, Salesforce and ServiceNow still generate massive cash flow, push deeper into AI and sit at the center of enterprise operations. Three of the biggest SaaS names remain beaten up in 2026; their valuations have been crushed, but the long-term opportunity may not have been. The market has swung way too far against them. x.com 

The SaaSpocalypse narrative makes less and less sense for Salesforce, ServiceNow and Palantir, because enterprises will deploy AI agents that use software tools rather than build their own software. Jensen Huang says agents won't replace tools but will use them, and NVIDIA has deployed so many agents that its tool usage is actually increasing. x.com 

ServiceNow's seat business is being cannibalized faster than AI deals can replace it. Next-quarter cRPO growth is guided to 18.5%, down from 20.5%, while subscription growth was 24.5% two quarters ago; agentic usage on its platform is up 13x. Management points to AI deal value heading to $1.7bn, against a roughly $16bn subscription business. The slowdown leaves more pain ahead. Underweight, $90 target. x.com  x.com 

ServiceNow's AI contract growth and improving free cash flow margin make the 18% selloff excessive and its shares a massive discount among leading enterprise AI companies. AI net-new ACV rose 65%; its 2026 AI ACV target rose to $1.7B, up 70% from the start of the year. Adjusted operating margin slipped to 32.5% from 33.5%, but free cash flow margin rose to 20% from 17.5%. Acquisition costs, stock compensation and severance largely drove the GAAP decline. x.com  x.com  x.com 

Large mission-critical software platforms such as Atlassian, Twilio, Salesforce, Workday, ServiceNow and SAP are being lifted by AI, not destroyed by it. Datadog hit an all-time high on AI after Atlassian and Twilio accelerated. They can charge external AI agents a toll to access their systems of record, volume set to grow 100x in 12-24 months; sell their own agents; and expand into areas like security. AI resembles web to mobile, a tailwind for the best companies, though not all SaaS is safe. … Show more

Horizontal SaaS tools such as HubSpot, Atlassian and Intuit will be disrupted as companies build their own replacements with AI. Per @CJ0pp3l, quoting one of Constellation Software's AI leads, HubSpot, Jira, Mailchimp and Zendesk have been replaced with AI-built systems and agents, and only vertical software with strong systems of record and deep workflow integration will grow with AI. The market also sold vertical names like Constellation and Topicus, which hold deep platform data. x.com 

Salesforce's poor M&A is literally half the reason its multiple stays low. Slack and Informatica are cited as examples, with Braze raised as a question; AI making Tableau obsolete in a few years would be a separate risk, not itself poor M&A. x.com 

Software stocks probably have a floor as results challenge fears that AI agents will displace them. Since the June 22 momentum unwind, IGV is up 25% and the SOX index down 22%. Atlassian and Salesforce jumped on solid results, plus an Anthropic deal for Salesforce, and possible Silver Lake interest lifted Workday. A new bullish twist says agents will use software tools 10-100x more than humans. Whether fundamentals back the rally is still open; a likely Fed hike and weak September are risks. … Show more

Salesforce faces real AI threats: more competition, margin headwinds from compute costs and disruption risk for businesses like Tableau and Service Cloud. Agentforce is showing some momentum, and the stock felt oversold earlier, but it is not attractive at current levels. x.com 

Software stocks such as UiPath, HubSpot and ServiceNow are not about to be wiped out by AI, and a reported Silver Lake bid for Workday challenges that view. A seasoned tech investor willing to pay a huge sum, reportedly $50 billion, for a classic SaaS company fits poorly with the early-2026 thesis that AI would soon devalue enterprise software. The winners should become a control and automation layer linking AI agents, company data and workflows. The rally was partly short covering. x.com