tech
February 17, 2026
Goldman says these software stocks have 'moats' that can thwart AI disruption
The firm called out a slew of buy-rated software stocks, including Snowflake and MongoDB, as the sector slides.
TL;DR
- Software stocks have been oversold due to fears of AI disrupting subscription models and pricing power.
- Goldman Sachs analyst Gabriela Borges notes that AI relies on existing systems of record (SoR) for data, making SoR companies like SAP, Salesforce, Oracle, and Workday crucial.
- Borges emphasizes that AI is an intelligent layer dependent on SoR for maximum value.
- Goldman Sachs highlights Snowflake, MongoDB, Shopify, and CrowdStrike as buy-rated software picks with architectural moats that can withstand AI disruption.
- Snowflake and Shopify have seen year-to-date declines but remain favored by analysts.
- MongoDB, despite a 17% yearly drop, is also favored by analysts with expectations of future gains.
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