Bank of America's Top 2025 Software Picks: CRM, HUBS, MSFT, NOW Eye Big Gains from AI and Cloud

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Pointing to major potential in the industry despite recent gains, Bank of America lists Salesforce (NYSE:CRM), HubSpot (NYSE:HUBS), Microsoft (NASDAQ:MSFT), and ServiceNow (NYSE:NOW) as top software picks for 2025.

Though the U.S. software market grew 59% in 2023 and 23% in 2024, development projections still fall short of historical averages. The company forecasts more upside from Agentic AI's proliferation, higher business IT spending, and continuous cloud adoption.

While HubSpot gains from a boom in small and medium-sized business activities, Salesforce leads in combining this technology into front-office processes.Using AI developments in infrastructure and applications, Microsoft gains an advantage; ServiceNow keeps great momentum using its cloud and back-office systems.

Other noteworthy references are Datadog (NASDAQ:DDOG), for its observability, GitLab (NASDAQ:GTLB), for its DevOps breakthroughs, and Global E-Online (NASDAQ:GLBE), a leader in cross-border e-commerce. With more effective measurements and more market possibilities, five 9 (NASDAQ:FIVN), Monday.com (NASDAQ:MNDY), and Asana (NYSE:ASAN) also indicate upside potential ahead.

This article first appeared on GuruFocus.