Anthropic Launches Claude Sonnet 4.6, Disrupting Software Industry
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1 day ago
0mins
Should l Buy CRM?
Source: Benzinga
- Product Launch: Anthropic's release of Claude Sonnet 4.6 on Tuesday, following closely behind Claude Opus 4.6, creates a significant market impact, leading to pressure on traditional software companies, particularly with Microsoft shares down 18% in 2026.
- Investor Concerns: Investors are increasingly worried that advanced AI agents may render traditional user interfaces and subscription models obsolete, raising questions about the future of the software industry.
- Technological Shift: Anthropic highlighted in a blog post that Sonnet 4.6 can use computers like a human, changing the way users interact with traditional software and reducing the need for bespoke connectors, thereby enhancing automation capabilities.
- Industry Impact: With the launch of Sonnet 4.6, the performance threshold for traditional software tasks has been lowered, allowing economically valuable tasks that previously required Opus-class models to be accomplished with Sonnet 4.6, intensifying market competition.
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Analyst Views on CRM
Wall Street analysts forecast CRM stock price to rise
39 Analyst Rating
29 Buy
9 Hold
1 Sell
Moderate Buy
Current: 187.790
Low
223.00
Averages
326.40
High
405.00
Current: 187.790
Low
223.00
Averages
326.40
High
405.00
About CRM
Salesforce, Inc. is a provider of customer relationship management (CRM) technology. The Company helps organizations of any size reimagine their business for the world of artificial intelligence (AI). With Agentforce, its platform, organizations can bring humans together with AI agents to drive customer success on one deeply unified platform. With the Salesforce platform, it delivers a single source of truth, connecting customer data with integrated AI across systems, apps and devices to help companies sell, service, market and conduct commerce from anywhere. Agentforce is a new layer of the Salesforce platform that enables companies to build and deploy AI agents that can respond to inputs, make decisions and take action autonomously across business functions. Agentforce includes a suite of customizable agents for use across sales, service, marketing and commerce. Datablazer is a data-driven innovator, which leverages the Company’s platform to unlock insights and drive decisions.
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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See More
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- AI-Driven Growth: Salesforce reported nearly $1.4 billion in annual recurring revenue from its Agentforce and Data 360 products in Q3, reflecting a remarkable 114% year-over-year increase, indicating strong momentum in AI that could drive future revenue growth.
- Free Cash Flow Increase: The company achieved $2.2 billion in free cash flow during Q3, up 22% year-over-year, demonstrating its ability to maintain robust cash flow while integrating AI, thereby enhancing financial stability.
- Revenue Growth Deceleration: Despite a 9% year-over-year revenue growth in Q3, the slowdown from the previous quarter's 9% raises concerns among investors about whether Salesforce's AI offerings might be cannibalizing its core business, potentially impacting stock performance.
- Future Revenue Commitments Growth: Salesforce's constant-currency growth rate of its future revenue commitments (cRPO) rose 11% year-over-year in Q3, indicating potential revenue acceleration in the next 12 months, which could bolster overall revenue performance if sustained.
See More
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- Amazon's AI Investment: Amazon plans to invest $200 billion in AI and cloud computing by 2026, and despite a current 20% stock drop, this strategy will enhance its competitive edge in the cloud services market, particularly as AI applications drive demand for its AWS business.
- Salesforce's Market Rebound: Salesforce's stock has fallen to 15 times forward earnings due to AI concerns, yet it is expected to grow earnings by 18% annually over the next three to five years, and its proactive integration of AI features will enhance customer retention, making it a rebound candidate.
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See More
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- Market Sentiment Shift: In 2025, Palantir Technologies has seen its stock price drop about 22%, while Adobe, Salesforce, and ServiceNow have all slid between 25% and 30%, indicating increasing investor concerns about software stocks despite strong performance reports from these companies.
- Valuation Risk Emergence: With the S&P 500 climbing 78% from 2023 to 2025, many software stocks have run ahead of their underlying fundamentals, leading to a market reassessment of these high-valuation stocks, which could further depress prices.
- Misunderstanding of AI Impact: While AI is viewed as a potential disruptive force, analysis suggests that its application is actually helping incumbents enhance their competitive advantages rather than simply threatening their market positions, indicating that market fears regarding AI may be misguided.
- Long-Term Growth Potential: Despite Palantir's stock price decline year-to-date, it has risen over 80% since the beginning of 2025, reflecting strong revenue growth and profitability, suggesting market recognition of its long-term growth potential.
See More
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- Market Sentiment Shift: In 2026, Palantir Technologies' stock has dropped about 22%, while shares of Adobe, Salesforce, and ServiceNow have slid between 25% and 30%, indicating a growing panic among investors despite these companies reporting strong results.
- Valuation Risk Emergence: With the S&P 500 climbing 78% from 2023 to 2025, many software stocks have seen their valuations exceed underlying fundamentals, prompting a market reassessment that has led to recent sell-offs.
- Misunderstanding AI's Impact: While investors fear AI's potential to disrupt the software industry, companies like Palantir and ServiceNow possess complex integrations that make it difficult for competitors to replicate their software, suggesting AI may actually enhance their competitive advantages.
- Uncertain Future Trajectory: Although the current sell-off in software stocks may be justified, the market must remain cautious of valuation risks, particularly with high price-to-sales ratios in companies like Snowflake, CrowdStrike, and Shopify, which could indicate further downside potential.
See More
Analysis of Software Stocks' Significant Decline
- Market Panic: In 2026, Palantir Technologies' stock has dropped approximately 22%, while long-term wealth compounding stocks like Adobe, Salesforce, and ServiceNow have seen declines of 25% to 30%, indicating a growing panic among investors despite these companies reporting strong results.
- Valuation Risk Emerges: With the S&P 500 climbing 78% from 2023 to 2025, high-valuation stocks are facing the risk of re-rating, prompting investors to reassess software companies' valuations even as their fundamentals continue to grow steadily.
- Misunderstanding AI's Impact: While the market fears that AI may disrupt the software industry, companies like Palantir and ServiceNow possess deep domain knowledge and complex integrations that make them nearly impossible to replicate, suggesting that the market's concerns about AI may be based on flawed logic.
- Uncertain Future Trends: Although stocks like Palantir may face further declines, the overall valuation of software stocks remains high, and investors need to carefully evaluate the durability of software companies' competitive advantages to navigate potential valuation risks.
See More
BTIG Analyst Outlook on Zoom and Others Ahead of Earnings
- Zoom AI Strategy: Analysts noted that Zoom's partner for Custom AI Companion and Contact Center is ahead of schedule, with FY27 CC total revenue expected to reach at least $5.05 billion, a 3.7% year-over-year increase, surpassing the market consensus of $5.03 billion, indicating the company's proactive stance in the AI sector.
- Salesforce Challenges: While Agentforce shows “incremental traction,” the consumption-based pricing model remains a significant hurdle for enterprises, leading analysts to lower Salesforce's price target from $335 to $260, reflecting concerns over its core business.
- Workday Leadership Change: The return of Aneel Bhusri as CEO is viewed positively, with FY27 subscription revenue growth guidance expected at 13%, highlighting the company's potential in AI investments, and analysts express optimism regarding its GARP valuation.
- Docusign Positive Outlook: Analysts believe Docusign will achieve strong billing growth in Q4, with FY27 subscription revenue projected to exceed consensus at $3.35 billion, a 6.6% year-over-year increase, although the price target is lowered to $70 due to peer multiple contraction.
See More
