The technology sector is navigating a complex landscape shaped by the rapid advancement of artificial intelligence, presenting both significant opportunities and market anxieties. Agentic AI, which enables AI systems to act autonomously, is widely predicted to be the biggest tech trend of 2026. Companies like ServiceNow and UiPath are seen as frontrunners in this space, with ServiceNow offering its Control Tower solution and UiPath leveraging its Maestro platform to manage AI agents and software bots.
Despite this promising outlook, fears about AI disrupting traditional software companies have triggered a notable sell-off in the market. This has created what some analysts view as buying opportunities for specific stocks. CrowdStrike Holdings, a cybersecurity leader, is expected to benefit from AI integration, while Snowflake is highlighted as crucial for providing the necessary data infrastructure for AI agents. Shopify's comprehensive ecosystem is also considered resilient to AI disruption.
Salesforce, a dominant force in customer relationship management, forecasts steady revenue growth of 8% to 9% for the fiscal year ending January 2025, even amid investor concerns about AI's impact. CEO Marc Benioff believes AI will ultimately drive new products and services. However, the broader software stock sell-off reflects investors re-evaluating the long-term value of companies due to increased uncertainty about AI's influence on future earnings.
In specific AI developments, Anthropic launched Claude Code Security, an AI tool designed to scan and fix code vulnerabilities. This introduction contributed to Okta's stock falling to a 52-week low, impacting cybersecurity valuations. Meanwhile, F5 and Scality have expanded their partnership to deliver integrated data delivery and security solutions tailored for AI and analytics workloads, aiming to support enterprises managing large datasets.
On the investment front, FutureFirst, a new venture capital fund, is launching with a $50 million target to invest in Seed-stage Vertical AI companies. These specialized AI solutions, which leverage private data, are expected to grow significantly, with the Vertical AI market projected to reach $100 billion by 2034. Additionally, Chroma ATE reported record sales and net income in 2025, driven by strong performance in its AI power and photonics sectors, indicating robust growth for 2026.
Key Takeaways
- Agentic AI, enabling autonomous AI systems, is projected to be the top technology trend in 2026, with ServiceNow and UiPath identified as potential leaders.
- A recent sell-off in AI software stocks, driven by disruption fears, has created buying opportunities for companies like CrowdStrike, Snowflake, and Shopify.
- Snowflake is considered crucial for AI, providing essential data infrastructure for AI agents to function effectively.
- Salesforce forecasts 8% to 9% revenue growth for the fiscal year ending January 2025, with CEO Marc Benioff believing AI will drive new products and services.
- FutureFirst launched a new venture capital fund with a $50 million target to invest in Seed-stage Vertical AI companies.
- The Vertical AI market, focusing on specialized solutions using private data, is expected to reach $100 billion by 2034.
- Anthropic's launch of Claude Code Security, an AI tool for scanning and fixing code vulnerabilities, contributed to Okta's stock hitting a 52-week low.
- F5 and Scality expanded their partnership to provide integrated data delivery and security solutions specifically for AI and analytics workloads.
- Chroma ATE achieved record sales and net income in 2025, driven by strong performance in its AI power and photonics sectors, with a positive outlook for 2026.
- The software stock sell-off is partly attributed to investors re-evaluating the long-term
Agentic AI to lead 2026 tech trends; ServiceNow, UiPath stocks highlighted
Agentic AI, which allows AI systems to act autonomously, is predicted to be the biggest tech trend of 2026. Companies like ServiceNow and UiPath are positioned to lead in this area. ServiceNow offers a Control Tower solution for managing AI agents, integrating acquisitions like Armis and Veza for asset visibility and access control. UiPath, building on its robotic process automation (RPA) foundation, developed the Maestro platform to manage both software bots and AI agents, aiming to optimize task assignment and reduce costs. Both companies are seen as strong investment opportunities in the emerging agentic AI market.
Agentic AI set to dominate 2026 tech; ServiceNow, UiPath are top stocks
Agentic AI, capable of autonomous action to achieve goals, is expected to be the top technology trend in 2026. ServiceNow and UiPath are identified as potential leaders in this field. ServiceNow plans to integrate agentic AI into its workflow automation platform, boosting efficiency. UiPath, a leader in robotic process automation, can enhance its solutions with agentic AI. These companies are poised for significant growth as agentic AI gains wider adoption across industries.
AI software sell-off creates buying chance; CrowdStrike, Snowflake, Shopify stocks recommended
Recent fears about artificial intelligence disrupting software companies have caused a significant sell-off, creating buying opportunities. CrowdStrike Holdings, a cybersecurity leader, is expected to benefit from AI integration and its strong data advantage. Snowflake is crucial for AI as it provides the necessary data infrastructure for AI agents to function effectively. Shopify's comprehensive ecosystem, which handles many business operations, is seen as resistant to AI disruption. These three stocks are considered strong buys for 2026 despite the market's current concerns.
AI software sell-off offers rare buying opportunity in 3 stocks for 2026
Despite fears that artificial intelligence could replace traditional software, three companies are highlighted as strong investment opportunities for 2026. CrowdStrike Holdings, a cybersecurity firm, is well-positioned due to its AI integration and vast data resources. Snowflake provides essential data infrastructure, making it a key ally for AI development. Shopify's integrated business platform is difficult for AI to replicate due to its comprehensive nature. The recent stock declines are seen as a chance to buy these companies at a discount.
AI fears drive software stock sell-off; terminal value valuation is key
The software stock sell-off, fueled by fears of AI disruption, has been extreme because investors are re-evaluating the long-term value of these companies. The concept of terminal value, which estimates a business's worth far into the future, is crucial in discounted cash flow models. Increased uncertainty about AI's impact on future earnings power has led investors to demand lower valuations today. This dynamic explains the significant stock price drops seen in companies like Salesforce, Workday, and ServiceNow, creating potential buying opportunities for some.
F5 and Scality partner for AI data delivery and security growth
F5 and Scality have expanded their partnership to provide integrated data delivery and security solutions specifically for AI and analytics workloads. This collaboration aims to offer secure, scalable, and high-performance data access across cloud and hybrid environments. The partnership targets enterprises needing to manage and protect large datasets for AI initiatives. By combining F5's application security and delivery platform with Scality's object storage, they offer a unified solution for AI-heavy projects, potentially strengthening F5's position in the growing AI infrastructure market.
FutureFirst launches $50M fund for Vertical AI startups
FutureFirst, a new venture capital fund founded by Hila Rom and Tammy Mahn, is launching with a $50 million target, having secured about half of its capital. The fund will focus on Seed-stage investments in Vertical AI companies, which use private data for specialized solutions. FutureFirst aims for faster exits, targeting companies that can be sold for several hundred million dollars within two to three years. This strategy addresses the growing Vertical AI market, expected to reach $100 billion by 2034, and focuses on solving complex problems beyond the scope of general-purpose AI models.
Salesforce forecasts steady growth despite AI threat concerns
Salesforce expects revenue to grow between 8% and 9% in the fiscal year ending January 2025, similar to the previous year's growth rate. This forecast comes amid investor concerns about how artificial intelligence might impact software companies. While some analysts worry AI could replace software functions, Salesforce CEO Marc Benioff believes AI will drive growth by enabling new products and services. Despite recent stock volatility, Salesforce remains a dominant force in customer relationship management.
Chroma ATE reports record 2025 sales driven by AI and photonics
Chroma ATE achieved record sales and net income in 2025, primarily due to strong performance in its testing equipment, AI power, and photonics sectors. The company saw improved margins and returns, supported by a robust order book and successful new product launches. This positive momentum provides a strong outlook for continued growth in 2026.
Okta faces pressure as AI security tools launch, stock hits 52-week low
Okta's stock has fallen to a new 52-week low following the launch of Claude Code Security, an AI tool from Anthropic that scans and fixes code vulnerabilities. This development is impacting cybersecurity stocks and putting Okta's valuation under scrutiny. The identity and access management company is facing challenges as it navigates the evolving landscape of AI-driven security solutions. Investors are closely monitoring Okta's strategies to address these market pressures and regain confidence.
Strong earnings overshadowed by AI and credit worries
Despite a strong earnings season with S&P 500 companies exceeding expectations, the stock market has struggled due to concerns about artificial intelligence and credit. The market had already reached record highs based on AI bets, and recent uncertainty has disoriented investors. While AI disruption is a concern, particularly for software companies, and credit market risks persist, some analysts believe fundamentals will eventually prevail. They anticipate potential market gains if companies meet growth estimates and sentiment improves.
Sources
- Prediction: Agentic AI Will Be the Biggest Tech Trend of 2026. Here Are 2 Stocks to Own
- Prediction: Agentic AI Will Be the Biggest Tech Trend of 2026. Here Are 2 Stocks to Own
- The Artificial Intelligence (AI) Software Sell-Off Created a Rare Buying Opportunity. Here Are 3 Stocks to Grab in 2026.
- The Artificial Intelligence (AI) Software Sell-Off Created a Rare Buying Opportunity. Here Are 3 Stocks to Grab in 2026.
- Why has the software sell-off been so extreme? Look to this arcane way to value stocks
- F5 Scality Partnership Targets AI Data Delivery And Security Growth
- FutureFirst launches $50 million fund targeting Vertical AI startups and faster exits
- Salesforce Sees Stable Sales Growth Amid Concerns of AI’s Threat to Software
- Chroma ATE: 2025 saw record sales, high margins, and strong growth in AI power and photonics sectors
- Okta (OKTA) Valuation In Focus As AI Security Launch And 52-Week Low Test Investor Expectations
- Strong Earnings Not Enough to Power Stocks Past AI, Credit Worry
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