Software Update, 2.0
A little over a year ago, we highlighted our top software stocks in two articles. Our outlook for US stocks calls for increasing volatility as this aging bull market continues to wind down; against this backdrop, we review our favorite software stocks to identify the best buys in the event of a market pullback.
Back to School
This leading textbook company continues to expand its margins and grow its recurring revenue by transitioning to digital content and leveraging its existing intellectual properties to penetrate the consumer market.
Download These Outperformers
Our software picks from last summer have delivered solid gains, easily outperforming the S&P 500 and topping the Russell 2000 Computer Service & Software Index. Here’s our assessment of these companies’ quarterly results and their future growth prospects.
Software Update
Earlier this summer, we highlighted a two-pronged strategy to profit from the software industry’s transition to a subscription-based model that improves revenue stability and better serves customers. Our approach has paid out thus far, with our picks outperforming their benchmark index; here are our updated takes on these names.
Buying the Softness in Software
The dramatic pullback in high-flying software names gives patient investors who can stomach the volatility an opportunity to add exposure to two compelling growth stories that serve niche industries.
Harvesting Our Gains in Adobe Systems
The best part about investing is turning paper profits into real ones. We’ve had a nice run, but it’s time to cash out of Adobe Systems (NSDQ: ADBE) for a 35 percent gain.