# Software stocks having their best month since 2001 — ride the AI-fueled comeback on ServiceNow, Snowflake, and Okta

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

> Canonical page: https://commonquant.ai/research/for-you/software-stocks-having-their-best-month-since-2001-ride-the--70433446-84be-4b4d-986f-15aaf0ccba01

Software stocks are having their best month since 2001 as fears that AI would kill off software companies have faded away. Investors are piling into companies like Snowflake, Okta, and ServiceNow, pushing them to record gains.

## Idea

For months, investors worried that AI would make traditional software companies obsolete — the so-called 'SaaSpocalypse.' That fear is now reversing in a big way. Software stocks just posted their best monthly gain in over two decades, led by ServiceNow's 40% surge. Snowflake and Okta also saw record stock jumps this week as their AI strategies won over skeptics. When an entire sector goes from feared to favored this quickly, the rally tends to have legs as more investors reallocate money back into these names.

## Key details

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

## Community

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## News sources

- [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
- [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

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## Related

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