In this article, we will take a look at the most profitable software stocks to buy now.In this era of global technology transformation, software companies have had their fair share of traction, and rightly so! However, these companies have recently been in the spotlight amid a potential “doomsday” scenario. On a recent CNBC interview, Tom Lee, Chairman of Bitmine Immersion and Co-Founder & Head of Research at Fundstrat, warned that AI is adversely impacting the $450 billion software sector. Software compani ...

Core Insights - The market has entered 2026 with instability, as the S&P 500 is breakeven for the year and the Magnificent 7 stocks have an average return of -7.3% [1] - Concerns are rising among investors regarding margin compression due to significant capital expenditures in AI by tech giants [2] Small-Cap Opportunity - Capital is shifting towards smaller companies that support AI development rather than the major tech leaders, with Franklin Templeton suggesting that suppliers and adopters may present better opportunities [3] - Small-cap teams are focusing on firms producing semiconductor components, power infrastructure, and engineering services related to data-center expansion, which are benefiting from increased spending but still have modest valuations compared to larger tech companies [4] AI-Resilient Group - Despite the selloff in large-cap software, JPMorgan believes that not all incumbents will be negatively impacted by AI, indicating that the recent market reaction has been overly broad and has created opportunities in "AI-resilient" companies [5] - The bank's strategist notes that the current market positioning is overly bearish, suggesting a potential for a rebound in these resilient names [5]

Core Insights - Silver experienced a remarkable rally, surging 137% from February 2025 to February 2026, with the iShares Silver Trust (SLV) climbing from $29.46 to $69.72 [1] - The volatility in January 2026, triggered by speculation regarding the Federal Reserve chair, led to a 17.5% selloff, testing investor conviction [1] - The current market sentiment around silver remains bullish, with retail investors showing signs of recovery after the January shakeout [1] Silver Price Action - Silver's 137% gain over the past year significantly outpaces its 176% return over the previous five years, compressing a typical five-year performance into just twelve months [1] - The metal briefly touched $95 before reversing during the January volatility, indicating extreme price fluctuations [1] - Year-to-date, SLV is up 8.2%, reflecting ongoing volatility beneath the surface [1] ETF Flows and Investor Sentiment - The iShares Silver Trust holds $51.5 billion in net assets with a 0.5% expense ratio, indicating strong investor interest [1] - Sentiment on Reddit fluctuated during the January crash, with posts highlighting both significant losses and gains from SLV put options [1] - By mid-February, sentiment had rebounded to a bullish range of 64-68, suggesting a repositioning among retail investors [1] Silver Miners Performance - Silver mining stocks have amplified gains, with First Majestic Silver (AG) returning 304%, Hecla Mining (HL) at 256%, and Coeur Mining (CDE) at 211% [1] - The valuations of these mining companies have expanded significantly, with First Majestic trading at 164x trailing earnings and Pan American Silver (PAAS) at 33x [1] Drivers of Silver Demand - Industrial demand for silver remains robust, driven by sectors such as solar panel production, AI infrastructure, and electronics manufacturing [1] - Central bank gold buying indirectly supports silver prices through the gold-to-silver ratio, highlighting the interconnectedness of precious metals [1] - Key factors to watch include the sustainability of industrial demand, miners' production management, and the behavior of retail investors post-January [1]

Group 1 - Summit Therapeutics (NASDAQ:SMMT) is identified as one of the 17 biotechnology stocks with more than 50% upside potential, with a projected median 1-year price target of $57.98, indicating a strong upside of over 296% [1] - The U.S. FDA has accepted Summit Therapeutics' application for ivonescimab, a lung cancer treatment, with a decision date set for November 14, 2026, based on data from the global phase III HARMONi trial [2][4] - The application targets a market gap for approximately 14,000 eligible U.S. patients annually and is supported by a partnership with Akeso for commercial exposure in China, positioning the company for potential entry into the U.S. oncology market [3] Group 2 - Summit Therapeutics is a clinical-stage biopharmaceutical company focused on developing ivonescimab, a bispecific antibody that combines PD-1 blockade and anti-angiogenesis in a single molecule, and is currently conducting Phase III clinical trials for non-small cell lung cancer [4]

Centessa Pharmaceuticals (NASDAQ:CNTA) is one of the 17 biotechnology stocks with more than 50% upside. On January 29, Danielle Brill from Truist Financial raised her price target on Centessa Pharmaceuticals (NASDAQ:CNTA) from $33 to $38 and assigned a Buy rating to the stock. Her rating came after Truist Financial updated its projections following a thorough reassessment of the current data regarding the orexin-2 receptor agonist class. Zoetis (ZTS) Hits New 52-Week Low on Dismal Outlook M. A. Arkhipov ...

Group 1 - Spyre Therapeutics (NASDAQ:SYRE) is identified as one of the 17 biotechnology stocks with more than 50% upside potential, with a projected median 1-year price target of $57.86, indicating an upside of over 66% [1] - The company has received coverage from 7 analysts, all of whom have assigned Buy ratings, reflecting a strongly bullish consensus sentiment [1] - As of January 22, 2026, Spyre Therapeutics plans to prioritize six proof-of-concept (POC) readouts, with the SKYLINE ulcerative colitis trial completing SPY001 enrollment ahead of schedule, and the SKYWAY basket trial on track for fourth-quarter readouts in 2026 [2] Group 2 - Financially, Spyre Therapeutics reported $783 million in pro forma cash, cash equivalents, and marketable securities as of September 30, 2025, providing a runway through the second half of 2028 [2] - The company is a clinical-stage biotechnology firm focused on developing advanced antibody therapeutics for inflammatory bowel disease (IBD), including conditions such as ulcerative colitis and Crohn's disease [3] - Spyre's current pipeline includes multiple candidates: SPY001, SPY002, SPY003, and various combination therapies [3]

Vera Therapeutics (NASDAQ:VERA) is one of the 17 biotechnology stocks with more than 50% upside. On January 27, Anupam Rama of JPMorgan maintained an Overweight rating on Vera Therapeutics (NASDAQ:VERA) with a $96 price target. His estimates imply upside of more than 127%. Liquidia Corporation (LQDA) Gains Momentum Following Overturning of District Court Patent Ruling Copyright: dolgachov / 123RF Stock Photo Rama believes the shares offer strong upside potential from the current trading range. He antic ...

Company Overview - Arcellx Incorporated (NASDAQ:ACLX) is focused on developing advanced immunotherapies for cancer patients and other incurable conditions, utilizing proprietary D-Domain technology to create effective treatments targeting AML, multiple myeloma, and other malignancies [3]. Analyst Ratings - Rothschild & Co Redburn analyst Qize Ding downgraded Arcellx's rating from Buy to Neutral, reducing the price target from $113 to $82, indicating a revised upside potential of nearly 20% [1]. - Stifel analyst Stephen Willey reaffirmed a Buy rating with a price target of $127, suggesting an upside potential of 85% from the current level [2]. Clinical Data and Competitive Position - Willey's positive outlook followed the presentation of new laboratory study data at the TANDEM meeting, which indicated that anito-cel has a potentially leading safety profile with lower unintended immune activity and fewer off-target effects compared to rival CAR-T treatments [3]. - The data suggests that anito-cel may be positioned as a best-in-class therapy, differentiating it from cilta-cel (Carvykti) and ide-cel (Abecma) due to its reduced off-target interactions linked to severe delayed side effects [3]. Pipeline Development - The current pipeline includes the development of ACLX-001 and ACLX-002, targeting BCMA in relapsed/refractory multiple myeloma (rrMM) and CD123 in acute myeloid leukemia (AML) and myelodysplastic syndromes (MDS) [3].

Core Insights - Apogee Therapeutics (NASDAQ:APGE) is identified as one of the 17 biotechnology stocks with more than 50% upside potential, with a current price target of $95 set by Citi analyst Geoff Meacham, indicating a potential upside of over 37% [1] - RBC Capital analyst Brian Abrahams downgraded Apogee Therapeutics from Outperform to Sector Perform, while raising the price target from $70 to $83, suggesting nearly 20% upside [2] - The market reaction to the release of Sanofi's Phase 3 amlitelimab data is viewed as an overreaction, with Meacham asserting that it does not negatively impact the prospects for Apogee's APG279 candidate [1] Company Overview - Apogee Therapeutics is a clinical-stage biotechnology company focused on developing novel biologics for treating inflammatory and immune diseases, including atopic dermatitis, asthma, chronic obstructive pulmonary disease, and eosinophilic esophagitis [4] - The company's pipeline includes several candidates at different clinical trial stages, such as APG777, APG279, APG990, APG333, and APG808 [4] Market Context - The segment in which Apogee operates is becoming increasingly competitive, with established players posing challenges despite the potential of its primary drug, zumilokibart, as a long-acting IL-13 treatment for atopic dermatitis [3] - The share price of Apogee has surged by 108% over the past year, which may limit the potential for further gains [3]

Market Overview - The core theme of the market last week was the disruption caused by AI, leading to widespread sell-offs in sectors such as software, real estate, financial services, and logistics [1] - The Nasdaq Composite Index fell by 0.2% on Friday and dropped 2.1% for the week, while the S&P 500 Index saw a slight increase of less than 0.1% on Friday but declined 1.4% for the week [1] - The Dow Jones Industrial Average rose by 0.1% on Friday but experienced a 1.2% decline over the week [1] AI Impact on Sectors - The initial sell-off began in the software sector and spread to financial services, retail, and logistics, with significant declines in stocks like Salesforce and ServiceNow [7] - A company that previously produced karaoke machines announced a new AI logistics platform, causing stocks like CH Robinson and Universal Logistics to drop by 12% and 10%, respectively [7] - Analysts noted that the market is reacting to any signs of AI potentially impacting core business operations, leading to a broad sell-off across various sectors [8] Economic Data and Consumer Sentiment - Key economic data to be released this week includes the Personal Consumption Expenditures (PCE) report, which will reflect consumer spending during the holiday season and provide the latest inflation indicators [3] - The January Consumer Price Index (CPI) showed a greater-than-expected slowdown in inflation, with core CPI rising at the lowest rate since December 2021 [10] - The Michigan Consumer Sentiment Index, which measures consumer sentiment against actual spending data, reached a new high since August of the previous year but remains below the same period last year [4] Corporate Earnings Focus - This week, the market's focus will likely be on Walmart's fourth-quarter earnings report, marking the first appearance of new CEO John Furner [4] - Other notable earnings reports include DoorDash and Molson Coors, as well as companies reflecting AI's impact on energy demand, such as Constellation Energy and Southern Company [5] Employment and Interest Rates - The January non-farm payroll data unexpectedly increased by 130,000, double the economists' expectations, surprising Wall Street and the public [10] - Analysts suggest that the current economic signals indicate that interest rates are likely to remain stable until a new direction is established under the upcoming Federal Reserve leadership [12]