Since the ongoing remote working trend and digital transformation are expected to continue driving the software industry’s growth, we think it could be wise to add software stocks UiPath (PATH), ZoomInfo (ZI), and Five9 (NASDAQ:FIVN) to one’s watchlist. Analysts have recently upgraded their ratings on these stocks. So, let’s take a closer look at these names.The software industry has grown significantly amid the COVID-19 pandemic. Even with considerable progress on the vaccination front this year, the need to work remotely and the ongoing digitalization of almost every industry have increased the demand for advanced software. Furthermore, consistent innovations by software companies are also increasing the industry’s relevance.
According to Statista, software market revenue is expected to reach $581.18 billion this year. The industry’s revenue is expected to grow at a 7.22% CAGR over the next five years to reach $823.71 billion by 2026. Also, investors’ interest in software stocks is evident in the SPDR S&P Software & Services ETF’s (XSW) 8.1% gains over the past six months.
So, we think it could be wise to add software stocks UiPath Inc. (PATH), ZoomInfo Technologies Inc. (ZI), and Five9, Inc. (FIVN) to one’s watchlist because analysts have recently upgraded them.