Software stocks should keep grinding higher as the market reduces the AI fear factor. Much of the software rally since the April lows was just erasing past losses, and many names remain well below their all-time highs. Since those lows, software has risen almost as much as semiconductors with about 10x less noise. x.com 

Software stocks may benefit from the AI displacement trade's complete reversal through 2026: instead of AI supposedly displacing traditional software companies, software companies could potentially displace the AI trade itself. x.com 

Software stocks keep getting sold off even as software revenues keep climbing. x.com 

Software holds the best value in a market of overbought, problematic AI trades, and sentiment toward it is quickly turning bullish. Even long-avoided Oracle could warrant a starter position on a dip into the $141-137 buy range, or on a close above the $147.5 support-resistance flip. Microsoft, Cloudflare, Adobe and ServiceNow are among the software names in focus. x.com  x.com 

Software stocks look poised to rebound after being deeply oversold, with the data turning bullish. Breadth across 41 software names flipped from under 5% to 82.5% above their 10-day averages in three weeks, oversold readings hit 90.1 and stress eased to 35.6. Models put the 3-day probability of a rise at 85% and the 20-day crash probability at just 6.5%, with six of nine models bullish and global liquidity supportive. Leaders include Oracle, AppLovin and Microsoft. x.com  x.com  x.com  x.com  x.com  … Show more

The rally in US software stocks is really long in the tooth, if anyone is still left who believes AI alternatives run by one- or two-person shops can cannibalize a lot of software. x.com 

Software stocks are set to rip higher on the news shared in the post. x.com 

ServiceNow's unexpected expense surge makes its rich valuation more vulnerable in a struggling software sector. Revenue rose 21%, but spending drove an EPS miss and one quarter of guided cRPO deceleration; wider market conditions could hurt near term. The 20% selloff looks excessive, and few software companies should benefit as much from AI. Management could deliver over 3-5 years, though the stock is only close to a buy again now; below $100 looks good for the long term. x.com  x.com  x.com  x.com 

Software is nowhere near a floor because AI has broken the assumption behind the sector's premium: very long-duration, highly recurring revenue. Competition is intensifying, new products such as Anthropic's suite far outperform incumbents like Microsoft Copilot, and AI natives move faster without legacy constraints. Accounting flatters results, with Snowflake's SBC above its CY25 free cash flow. Even at 30x GAAP earnings most names have downside, versus Alphabet at 23x and Nvidia at 14x. x.com  … Show more

Software is flexing its muscles, showing AI is not killing the sector. Twilio, Atlassian, Cloudflare and JFrog all showed better-than-expected fundamental strength, setting software up for a strong session. x.com  x.com