US software firms rise after Atlassian lifts annual revenue forecast

Atlassian

01/05/2026 11:01

** Shares of U.S. software firms up premarket after Atlassian TEAM.O lifts annual revenue forecast

** Workday WDAY.O rises 2.9%, Salesforce CRM.N up 2.5%, Zscaler ZS.O gains 1.1%, Intuit INTU.O edges up 1.6%, ServiceNow NOW.N advances 2.5%, and Datadog DDOG.O rises 2.8%

** Atlassian surges 25.3% after raised annual revenue growth forecast to about 24% from prior expectations of 22%

** Reports Q3 revenue of $1.79 billion, beating LSEG-compiled analysts' average estimate of $1.69 billion

** Software companies' stocks fell sharply in the previous session, with Microsoft MSFT.O down 3.9% after its results

** U.S. tech giants' earnings indicated that AI spending would exceed $700 billion in 2026, up from $600 billion expected previously, further stoking concerns about AI's disruptive impact

** As of last close, TEAM plummeted 57.7% YTD, WDAY plunged 43%, CRM down 33.3%, ZS fell 41.9%, INTU dropped 41.3%, NOW down 42.3%, and DDOG lost 2.7%

 (Reporting by Tharuniyaa Lakshmi in Bengaluru)

 ((tharuniyaa@thomsonreuters.com))