# Software stocks have their best month in 25 years — ride the AI-fueled comeback on Snowflake, Okta, and ServiceNow

_AI-generated trading idea · LONG · NOW, OKTA, SNOW_

> Canonical page: https://commonquant.ai/research/for-you/software-stocks-have-their-best-month-in-25-years-ride-the-a--29a144a9-3b83-47fc-802c-a44490eef4d4

Software stocks just had their best month in 25 years. The fear that AI would destroy software companies has completely flipped — now investors see AI as rocket fuel for the industry, with Snowflake, Okta, and ServiceNow leading the charge.

## Idea

For months investors worried AI would make software companies obsolete — that narrative is now dead. Snowflake and Okta just had record-breaking stock jumps, and ServiceNow is up 40% this month alone. When an entire sector goes from hated to loved this fast, institutional money is often still reallocating in, meaning the rally can keep running. The AI-software story is no longer just hype — these companies are showing real revenue from AI features, which gives the rally a fundamental floor.

## Key details

- Symbols: NOW, OKTA, SNOW
- Timeframes: 1D
- Tags: \#software, \#ai, \#momentum, \#sector\_rotation

## Community

- Upvotes: 0
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- Copies: 0
- Cosigns: 0

## News sources

- [Software stocks wrap up best month since 2001 as talk of 'SaaSpocalypse' subsides](https://www.cnbc.com/2026/05/29/software-stocks-wrap-best-month-since-2001-as-talk-of-saaspocalypse-.html) — CNBC
- [ServiceNow's stock soars toward historic month as AI fears fade across software](https://www.marketwatch.com/story/servicenows-stock-soars-toward-historic-month-as-ai-fears-fade-across-software-31854b69?mod=mw_rss_topstories) — MarketWatch

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## Related

- [NOW trade ideas](https://commonquant.ai/stocks/now)
- [OKTA trade ideas](https://commonquant.ai/stocks/okta)
- [SNOW trade ideas](https://commonquant.ai/stocks/snow)
- [Latest market news](https://commonquant.ai/news)