Software Stocks Soar in Rotational Trade: Monday.com Up 7%, HubSpot Up 6%, Intuit Up 5%
Monday.com (MNDY) +7%, HubSpot (HUBS) +6%, and Intuit (INTU) +5% in a software sector rally. The gains follow Anthropic's below-expectation revenue and AI-related concerns. All three stocks remain down ~45% year-over-year. Software ETF IGV rose 0.6% while semiconductor ETF SOXX dropped sharply.
How this was made
The 30-second read
Why it matters
The earnings beats and guidance lifts provide fresh catalysts for MNDY, HUBS, and INTU, supporting short‑term bullish trades.
Market read
The article delivers primary earnings news for three large software firms, driving immediate price moves and setting up near‑term trade opportunities.
What to watch
Potential macro headwinds from rising Treasury yields could dampen further upside.
Background
Software stocks are rebounding as investors rotate from AI hardware to SaaS amid high AI capex concerns.
Ticker impact
Monday.com reported Q2 revenue of $365 million, up 22% YoY, and AI ARR doubled, driving a 7% intraday price rise.
Potential upside of 3‑5% over the next few days if guidance holds.
Quarterly beat and AI‑focused ARR growth are fresh catalysts supporting the price jump.
HubSpot posted 20% subscription revenue growth, expanded non‑GAAP margin to 20% and announced a $1 billion buyback, lifting the stock 6% intraday.
Expect 2‑4% further upside ahead of its November earnings.
Buyback and margin improvement are new, material news driving the move.
Intuit reported Q3 revenue of $8.6 billion, up 10%, and raised full‑year non‑GAAP EPS guidance to $23.80‑$23.85, pushing the stock up 5% intraday.
Potential 4‑6% rally before the upcoming Q4 results on Aug 25.
Guidance lift is fresh, material information for a large‑cap, prompting immediate market reaction.
Market effects
Software sector benefits from rotation away from AI hardware, boosting SaaS valuations.
U.S. tech equities see intra‑day gains, while semiconductor ETFs decline.
Highlights broader risk‑off dynamics affecting AI‑related capital allocation worldwide.
Counterpoint
The rally may be short‑lived if AI pricing pressure resurfaces, risking a pullback.
Key entities
- CompanyMonday.com
SaaS provider reporting strong Q2 results.
- CompanyHubSpot
Marketing SaaS firm announcing buyback and margin expansion.
- CompanyIntuit
Financial software leader raising FY EPS guidance.
