All articles tagged with #software
Software stocks are under renewed pressure as the IGV ETF tests a key technical support level; a BTIG strategist warns that repeated tests increase the odds of a breakdown, with high‑profile names like Okta, Snowflake, Zscaler, Palantir and ServiceNow down sharply, suggesting the sector could fall further even as broader tech dynamics remain mixed (semiconductors showing strength while software underperforms).
The software market is separating winners from losers amid AI disruption. Microsoft and Oracle appear resilient, with Microsoft’s intelligent cloud and Oracle’s compute power sales to OpenAI supporting growth, while peers like Adobe faced declines after mixed earnings and AI-driven competition, underscoring a shifting landscape for software stocks.
Microsoft’s Windows 11 March 2026 update KB5079473 adds features such as Sysmon, enhanced Windows Backup, Quick Machine Recovery, and a built-in speed test, alongside WebP desktop background support and RSAT on ARM; it also delivers faster Windows Update, more reliable File Explorer search, and other bug fixes, with the update rolling out via Windows Update or the Microsoft Update Catalog.
Ford is issuing a global recall affecting about 4 million vehicles due to a software glitch that could impact vehicle systems, prompting owners to bring their cars to dealerships for a fix to ensure safety and proper operation.
Software stocks have fallen this year on AI-disruption fears, leaving Figma down about 74% and Axon Enterprise down around 40% from their peaks. Fool analysts highlight Figma’s solid Q4 growth (about 40% revenue increase) and AI Momentum, and Axon’s 39% revenue growth with AI tools like Draft One and ALPR, plus a long-term revenue path. The result is a potential dip-buy opportunity for patient investors.
Nassim Taleb argues that AI-driven disruption will lead to bankruptcies among software firms and erase gains accrued by the market leaders of the last several years, as a broader set of winners emerges. He also warns that tail risks are underpriced and that tech-related pain could spread to other sectors as investors reassess the risk landscape.
Software stocks extended their decline as AI concerns rattled investors, with AppLovin, CrowdStrike, Datadog and Expedia among the S&P 500's worst performers, each off at least 7%, and a software and services index fund dropping more than 5%.
Major software names such as Microsoft, Oracle and Salesforce have fallen from recent highs as investors debate whether AI will render software obsolete or be overhyped, with non-coder AI tools fueling concerns about demand. The selloff has pushed the S&P Software & Services index down around 20% in 2026 while the Nasdaq has slipped; analysts warn the trend could persist, but many also view the pullback as a potential buying opportunity given lower valuations and resilient demand for AI-enabled products.
Scout Motors’ highly anticipated EV pickup program (including the Terra) is reportedly pushed to 2028 due to VW Group’s broader cost-cutting, funding needs for the Blythewood, SC factory, and software-development delays tied to Rivian and Cariad, casting doubt on the original 2027 timeline.
AI disruption is accelerating a market rotation toward value-oriented sectors, pressuring software leaders and prompting investors to focus on durable moats; Intuit and peers have seen sharp re-ratings, with the biggest risk being a sudden end to cyclical growth or unforeseen AI impacts that could derail the trend.
Dan Ives argues the AI shift will augment, not displace, enterprise software, making the current selloff in software stocks (e.g., Salesforce down ~28% YTD with AI ARR at $900M, ServiceNow down ~30%, Microsoft down ~17%) a potential mispricing. He cites Morgan Stanley and Goldman Sachs supporting the AI growth thesis and notes Salesforce trades around 14x forward earnings with strong AI momentum; the bear case is AI could commoditize software, while the bull case depends on AI expanding the software TAM. Ives says he’s a buyer but would become more aggressive if MSFT falls into the low- to mid-$300s (forward P/E mid-teens).
With stock prices slipping, software companies are rebranding as AI innovators to stay relevant, a shift illustrated by Intercom’s pivot after ChatGPT’s launch—an AI hype surge that yields mixed results, from successful branding to accusations of mere AI-washing.
ZDNet highlights 10 free, open-source Windows apps—LibreOffice, Flow Launcher, Duplicati, Nextcloud, Franz, YAZB, File Converter, Bitwarden, AutoHotKey, and Ollama—showcasing local-first tools for office work, fast app search, encrypted backups, private cloud, unified messaging, system widgets, file conversion, password management, automation, and local AI hosting.
Despite a bear market for software, Wall Street analysts point to upside in three names—Datadog, Snowflake, and Microsoft—with average price targets implying roughly 47% to 63% gains. The case hinges on AI adoption boosting demand for cloud, data, and monitoring tools, though profitability and execution risks remain.
Software stocks have been crushed, but analysts see selective opportunities as AI fears ease. Focus areas include infrastructure software, cybersecurity and HR/payroll software, which are viewed as more resilient to AI disruption. Analysts suggest a reset in valuations may create buying opportunities, with top picks including Zscaler, Okta and CrowdStrike (along with other names like SailPoint, Rubrik and SentinelOne) as investors hunt for durable exposure.