# Software stocks having their best month in 25 years — ride the AI-driven comeback on Okta and ServiceNow

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

> Canonical page: https://commonquant.ai/research/for-you/software-stocks-having-their-best-month-in-25-years-ride-the--e64d78c7-b3f9-4813-8b18-6ec97b0c8648

Software stocks just had their best month since 2001, crushing the narrative that AI would kill off software companies. Okta, Snowflake, and ServiceNow are leading the charge with massive gains.

## Idea

The fear that AI would wipe out software companies has completely flipped — investors are now piling back in. Okta just posted a record stock pop after beating earnings thanks to AI-driven demand for its identity products. ServiceNow is up 40% this month alone. Snowflake also surged. When an entire sector goes from being left for dead to having its best month in 25 years, that kind of shift doesn't usually stop overnight. There's likely more room to run as the remaining skeptics are forced to catch up.

## Key details

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

## Community

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## News sources

- [Okta Stock Surges On Earnings Beat As AI Drives Identity Product Demand](https://www.investors.com/news/technology/okta-stock-okta-earnings-news-q12026/?src=A00220&yptr=yahoo) — Investor's Business Daily
- [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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- [Latest market news](https://commonquant.ai/news)