On Tuesday, the NFIB Small Business Optimism Index reached a high not seen since 1983. The Index came in at 107.8 vs expectations of 105. What does this mean? To me, it means that small businesses are feeling pretty good about the current environment and to take it a step further, they may be investing money in infrastructure and software expenses.
source: Bloomberg
Which companies may benefit? Enterprise and Application Software Companies
Companies in this group include, salesforce.com, inc. CRM, Adobe Systems Incorporated ADBE, Workday Inc WDAY, Zendesk Inc ZEN, ServiceNow Inc NOW, and HubSpot Inc HUBS
Another way to play this theme is through the Invesco Dynamic Software ETF PSJ.
source: Bloomberg
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.