AI Startup Code Metal Secures $36 Million in New Funding to Advance Beyond Vibe Coding
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Nov 12 2025
0mins
Should l Buy TEAM?
Source: CNBC
Company Overview: Peter Morales founded Code Metal to create AI coding tools that allow software engineers to write code once and translate it into multiple programming languages, enhancing efficiency in software development.
Investment and Growth: The company secured $36.5 million in funding led by Accel Partners, with significant contracts already established with clients like the U.S. Air Force and various automotive and consumer electronics companies.
Technology Distinction: Code Metal differentiates itself from vibe-coding platforms by focusing on production-ready code, ensuring accuracy and compliance through formal methods rather than relying solely on large language models.
Market Potential: Accel's Steve Loughlin highlighted the vast market opportunity for Code Metal's technology, emphasizing its rapid growth and the increasing demand for modernizing legacy code in various industries.
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Analyst Views on TEAM
Wall Street analysts forecast TEAM stock price to rise
23 Analyst Rating
19 Buy
4 Hold
0 Sell
Strong Buy
Current: 86.480
Low
185.00
Averages
235.57
High
320.00
Current: 86.480
Low
185.00
Averages
235.57
High
320.00
About TEAM
Atlassian Corporation is a provider of team collaboration and productivity software. The Company specializes in software development, work management, and enterprise service management software, which enables enterprises to connect their business and technology teams with an artificial intelligence (AI)-powered system of work. Its interconnected portfolio of apps, AI agents, and Collections, each with discrete value propositions, delivers solutions for software teams, IT operations and support teams, leadership, and business teams. Its apps, agents, and Collections are all built on the Atlassian Cloud Platform and data model: a common technology foundation that connects teams, information, and workflows throughout an organization. Its apps include Jira, Confluence, Loom, Jira Service Management, Rovo, Bitbucket, Compass, Jira Product Discovery, Jira Align, Focus and Talent. It offers team collaboration products on its Data Center deployment option. It operates the Dia and Arc browsers.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Intensified Market Competition: The rapid advancement of AI technology raises questions about the value of enterprise software, leading investors to adopt a pessimistic view on the future of traditional software companies, especially in labor-intensive areas that may face workforce reductions due to AI adoption.
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- Alphabet's Stock Decline: Alphabet's shares fell over 6% in the week after the Claude Cowork announcement, raising concerns among investors about its competitive position in AI, despite not directly offering industry-specific software, which affected market confidence.
- Competitive Pressure from Gemini 3: Google's Gemini 3 LLM update launched in November significantly enhanced its AI capabilities, attracting a surge of paid subscribers, leading investors to worry that Claude Cowork might further poach these users, increasing market uncertainty.
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See More
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- Stock Price Decline: Alphabet's shares fell over 6% following the launch of Claude Cowork, which, while not directly impacting Google's core business, raised concerns about competition with Google's Gemini 3 AI tool, leading to negative investor sentiment.
- Investor Activity: Notable investor Cathie Wood took advantage of the dip by purchasing $21.6 million in Alphabet shares through her Ark Invest funds on February 5, indicating confidence in the company's future potential despite current market challenges.
- Industry Impact: The rollout of Claude Cowork negatively affected several business software companies, with Salesforce, Intuit, and Atlassian experiencing stock declines of 27.9%, 33%, and 41.6%, respectively, reflecting market fears that AI tools could replace traditional SaaS platforms.
- Competitive Pressure: Despite Google's advancements with Gemini 3 in the AI space, investors remain concerned that Claude Cowork could lure away paid subscribers from Gemini, potentially undermining Google's competitive position in the AI market.
See More
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- Microsoft's Growth Potential: Microsoft 365 Commercial sales rose 14% year-over-year, with consumer sales up 27% and Dynamics 365 sales increasing by 17%, showcasing strong software performance under AI integration, while its forward P/E ratio stands at just 24, indicating a low valuation.
- Atlassian's Cloud Transition: Atlassian is pushing customers to its cloud-based platform, achieving a 120% net revenue retention rate for cloud customers in fiscal 2025, with momentum expected to continue into 2026; despite a forward P/E of 21, management forecasts an 18% revenue growth.
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See More
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- Microsoft's Growth Potential: Microsoft 365 Commercial sales grew 14% year-over-year, with consumer sales soaring 27%, indicating strong growth potential in its core software business under AI integration, while its forward P/E has dropped to 24, highlighting the attractiveness of its current valuation.
- Atlassian's Cloud Transition: Atlassian is pushing customers to its cloud-based work platform, achieving a net revenue retention rate of 120%, and is expected to continue this growth into 2026, with a current P/E of 21 reflecting its future profitability and market competitiveness.
- Adobe's AI Integration: Adobe's annual recurring revenue is growing at a double-digit pace driven by AI products, and despite market fears of its software being displaced by AI, its current forward P/E is below 12, indicating the investment value of its stock.
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