Software stocks have been crushed significantly from their 2021 highs. However, we believe their valuations have been reset. As a result, the application software industry seems undervalued now. Previous high-growth SaaS plays such as Palantir and DocuSign formed capitulation signals in their May sell-offs. Therefore, we believe it portends a significant reversal in sentiments.
Palantir And DocuSign Have Likely Bottomed - Which Software Stock Is The Better Buy