2026년 2월 20일 · Unknown · financial · 출처 Yahoo Finance
Investing.com -- UBS said in a note Thursday that a sharp derating across global software valuations has created selective buying opportunities, with the bank identifying five names that screen as attractive on both valuation and earnings revisions.
Analyst Andrew Garthwaite wrote that software is currently “6.1 standard deviations oversold” and experiencing a “record decoupling from earnings momentum,” even as it ranks fourth globally on that metric.
The bank highlighted multiple supportive factors, including what it called a “record decoupling from both dollar and macro variables,” noting that U.S. software appears approximately 40% undervalued on UBS’s Market Narrative model.
However, Garthwaite also cautioned that a weaker dollar is negative for European software.
Despite structural concerns around disrupted business models, software’s price-to-earnings premium has compressed to just 18%, compared with a historical average of 52%.
UBS said these levels have historically coincided with sector outperformance “67% on a 1-year view,” though free cash flow yields “are in general not compelling.”
Given the backdrop, the bank urged investors to discriminate rather than buy the sector broadly, favouring U.S. names over Europe.
UBS stated stocks that are “cheap on HOLT, have a P/E relative below their norm and positive earnings revision” include Microsoft, HubSpot, ServiceNow, Autodesk and Constellation Software.
The firm also noted that its U.S. teams prefer infrastructure and data-exposed companies such as Snowflake and Datadog, alongside cyber-security names including Zscaler.
In Europe, UBS highlighted SAP, Amadeus and Planisware as better insulated from AI-driven displacement risks, citing strong enterprise entrenchment and complex workflows.
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