Software stocks having their best month in 25 years — ride the AI momentum on Snowflake, Okta, and ServiceNow
Software company stocks just had their best month since 2001. The fear that AI would kill their business has flipped into excitement that AI will actually help them grow, and big names like Snowflake, Okta, and ServiceNow are leading the charge.
Idea
The narrative around software stocks has completely flipped — earlier this year people worried AI would make software companies obsolete, but now investors see AI as a growth engine for the sector. ServiceNow alone is up 40% this month. When a whole industry rotates from fear to excitement this fast, it usually keeps going because investors who sat on the sidelines start piling in. Snowflake and Okta both just had record stock jumps this week, which suggests the rally is broad and real, not just a one-stock story.