Salesforce, ServiceNow Back in AI 30

This article first appeared on GuruFocus.

Salesforce, Inc. (NYSE:CRM) and ServiceNow (NYSE:NOW) are back in Wedbush’s AI 30, with the firm saying the recent sell off in software stocks has gone too far and misses the bigger AI picture.

In a note Monday, analysts led by Dan Ives said fears of a software Armageddon briefly pushed investors to treat large enterprise platforms as AI losers. Wedbush says that thinking is wrong. As a result, Salesforce and ServiceNow were added back to the AI 30, while Roblox (NYSE:RBLX) and Baidu (NASDAQ:BIDU) were removed.

Ives framed the moment as early innings of a long AI cycle, calling this roughly year 3 of what he expects to be a 10-year buildout. Recent market volatility has rattled tech investors, but Wedbush pointed to strong results from AI leaders like Alphabet, Meta Platforms, and Palantir as signs the trend is intact.