Key insights
- Software stocks are on a seven-day winning streak, led by cybersecurity firms. The iShares Expanded Tech-Software Sector ETF is up 11% over five days. Cybersecurity and cloud computing names are leading the gains, suggesting renewed investor confidence in these areas despite AI disruption concerns. This positive momentum could signal a broader recovery in the tech sector.
Investing.com -- Shares in software companies extended gains for a seventh straight session Tuesday, with cybersecurity firms leading the rally.
The iShares Expanded Tech-Software Sector ETF rose 2.6%, marking its longest winning streak since January 2025. The fund has climbed 11% over five days but remains down 17% year-to-date amid concerns about disruptions from artificial intelligence on software-as-a-service companies.
Top holdings in the ETF included Palantir Technologies (NYSE:PLTR), up 1.5%, Microsoft (NASDAQ:MSFT), up 1.75%, Oracle (NYSE:ORCL), up 3%, and Palo Alto Networks (NASDAQ:PANW), up 4%.
Cybersecurity stocks were among the top performers. CrowdStrike Holdings (NASDAQ:CRWD) added 4.9%, Varonis Systems (NASDAQ:VRNS) rose 4.3%, and SentinelOne (NYSE:S) increased 3.9%.
Cloud computing names also advanced. Rubrik (NYSE:RBRK) rose 4.4%, RingCentral (NYSE:RNG) jumped 7.88%, Snowflake (NYSE:SNOW) added 2.4%, and Cloudflare (NYSE:NET) climbed 1.9%.
IT services-related firms also moved higher. Gartner (NYSE:IT) rose 2.7%, Kyndryl Holdings (NYSE:KD) gained 1.2%, and Accenture (NYSE:ACN) added 1.4%.
Other notable movers included ServiceNow (NYSE:NOW), up 4.2%, Datadog (NASDAQ:DDOG), up 2.8%, HubSpot (NYSE:HUBS), up 4.9%, Palantir, up 1.9%, and Zscaler (NASDAQ:ZS), up 6.7%.
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