AI-driven agencies will become the "new growth point" in US software stocks. Bank of America highly recommends Salesforce, Inc. (CRM.US) Microsoft Corporation (MSFT.US), etc.

Bank of America Corp has identified Salesforce, Inc. (CRM.US), HubSpot (HUBS.US), Microsoft Corporation (MSFT.US), and ServiceNow (NOW.US) as top stock picks in the software industry for 2025. Analysts at Bank of America Corp stated, "After a 59% and 23% increase in 2023 and 2024 respectively, the stock price of American Software, Inc. Class A is not cheap. However, revenue multiples and growth expectations are still below the 5-year median and pre-pandemic levels, indicating that the rise of Agentic AI, changes in enterprise IT spending, and continued shift towards cloud migration have not fully been reflected in prices yet." The analysts added that Agentic AI is likely to be the "next growth driver" for software companies, as some software is already demonstrating "doctorate-level intelligence in certain tasks, possibly replacing workers as early as the second half of 2025." Therefore, analysts believe that Salesforce, Inc. has emerged as a leader in the front-end Agentic AI field, while HubSpot is accelerating growth driven by improvements in small and medium-sized business operations, providing investors with opportunities to enter the Agentic AI field. In the development of artificial intelligence, Microsoft Corporation holds a very favorable position in infrastructure and applications, while ServiceNow achieves "industry-leading growth" with its leading backend office system and cloud/AI platform. Bank of America Corp also listed several other enterprise software companies worth considering for investors, including Datadog (DDOG.US), whose observability platform is driving increased free cash flow. Gitlab (GTLB.US) is steadily increasing its market share in the DevOps market and achieving higher profits through AI, while Global-E Online (GLBE.US) is becoming a standard setter in the cross-border e-commerce market. The earnings expectations for Five9 (FIVN.US) are approaching a low point, with improving end markets and attractive valuation. monday.com (MNDY.US), based in Israel, is experiencing revenue growth rates of 20% or more, while Asana (ASAN.US) has reached a turning point in key metrics, with performance expectations likely to be revised upwards.