Do You Have These 3 Software Stocks On Your June 2022 Watchlist?
Following a challenging market environment over the past year, software stocks could potentially be gaining traction among investors today. This would be the case as a number of software giants such as Salesforce and MongoDB (NASDAQ: MDB) will be posting their business updates and financials this week. Therefore, investors will be keeping an eye on these reports for clues on the direction of the industry amid this period of mixed sentiments. Besides, the software industry is one that continues to thrive in this tech-driven world today.
For instance, Anaplan (NYSE: PLAN) recently announced its first-quarter financial results last week. Its quarterly revenue increased to $169.2 million, up 30.3% year-over-year. Investors should also note that there is a pending acquisition by Thoma Bravo that was announced earlier this year. Thoma Bravo believes that it will be able to accelerate Anaplan’s strategy using its significant experience in supporting growing software franchises and its financial resources.
Elsewhere, Broadcom (NASDAQ: AVGO) announced last week that it will be acquiring VMware (NYSE: VMW) in a cash-and-stock transaction. Together, the combined company will provide enterprise customers with an expanded platform of critical infrastructure solutions. Not to mention, this would accelerate software scale and growth opportunities for Broadcom. Overall, the prospects of software stocks are likely still intact. With that said, here are three of the top software stocks to note in the stock market today.
Software Stocks To Watch In June 2022
Salesforce is a customer relationship management (CRM) software company that provides enterprise applications focused on customer services. Its software is also used for application development, analytics, and marketing automation among others. The company says that more than 150,000 companies use its software to grow their businesses. At its current valuation, it is not surprising that investors are keeping a close watch on CRM stock right now. Notably, the stock has fallen by about 35% since the start of the year.
Earlier this month, Swrve expanded its integration with Journey Builder from Salesforce. For the uninitiated, Swrve is a leading marketing and customer experience platform for mobile, web, and TV, helping global enterprises connect with their mobile-first customers to create lasting and valuable relationships. The new integration could be a game-changer for Swrve’s customers using Salesforce Marketing Cloud. It will enable brand marketers, service providers, and product managers to create and launch powerful mobile campaigns all from within Journey Builder. Thus, there is no longer a need to switch between platforms to deploy powerful mobile-first data and campaigns.
Furthermore, Salesforce recently introduced Tableau Cloud at the annual Tableau Conference. This represents the fastest and easiest way for customers to get the full value of Tableau at an enterprise scale. Formerly known as Tableau Online, Tableau Cloud is the next-generation offering that includes innovations to boost productivity. It does so by delivering powerful and easy-to-use analytical tools to help uncover insights and make data-driven decisions. To top it off, the company announced its first-quarter earnings report this week. The company reported its quarterly earnings per share for the quarter is $0.98. Additionally, Salesforce’s total revenue for the quarter is $7.41 billion. For reference, this is versus consensus figures of $0.94 and $7.38 billion respectively.
Another top software company today would be Microsoft. In essence, it is a company that produces computer software, electronics, and personal computers among others. The company is best known for its Microsoft Windows operating systems, which are used by billions all over the world. Much like most of its peers in the tech industry, MSFT stock had a bumpy first half of the year. That said, it has still risen more than 10% over the past year.
In May, Microsoft and Nextdoor (NYSE: KIND) announced a partnership to display Nextdoor’s hyperlocal content directly within Microsoft properties. This will include MSN and Microsoft Bing. Future trending public posts from Nextdoor will be integrated directly into Microsoft properties. Thus, allowing it to deliver engaging local neighborhood content to Microsoft users in the U.S.
On top of that, the company also collaborated with American Airlines (NASDAQ: AAL) to use technology to create a more connected experience for the latter’s customers and team members. Hence, helping the airline company to support its robust operations at scale. In brief, American Airlines will leverage Microsoft Azure as its preferred cloud platform. Naturally, it will significantly accelerate its digital transformation and make Microsoft one of the airline’s largest tech partners today. Considering these exciting developments, would MSFT stock still be a top software stock to watch?
Last but not least, we will be looking at Amdocs, to sum up the list. In detail, the company is a provider of software and services for communications, Pay TV, the entertainment and media industry, and other service providers. Its services include end-to-end systems integration services, digital business operations, cloud services, consulting services, and many more. DOX stock has risen more than 15% since the start of the year. The company also has several positive developments that may attract the interest of investors.
For starters, the company announced last week that it has entered into a definitive agreement to acquire MYCOM OSI. This is a UK-headquartered company providing SaaS-based cloud network and service assurance solutions to communications service providers globally. With MYCOM on board, it will expand Amdocs’ network portfolio to include end-to-end service and network orchestration by bringing key assurance capabilities to power the next generation of networks. Safe to say, this could be a strategic growth move that builds on its other recent successful acquisitions.
Besides that, VodafoneZiggo also selected Amdocs to deliver a unified customer experience in its digital transformation project. With a wide-ranging transformation in mind, it will likely unlock new growth potential for the Dutch telecommunication company. Moving forward, VodafoneZiggo’s fixed-line and mobile customers will have a unified user journey across all lines of business. The project ensures shorter average handling times while prioritizing self-service enablement. Therefore, VodafoneZiggo will be able to save costs while benefiting from reduced time to market. All things considered, does DOX stock have a place on your watchlist?