Software stocks
Software stocks are the companies that build the cloud platforms, enterprise tools, and applications businesses and people rely on every day — often prized for recurring subscription revenue and high profit margins.
Updated daily · as of July 27, 2026
1-month
+2.1%
6-month
-9.2%
1-year
-21.3%
Sentiment
Bullish
Leaders
8
Combined cap
$3.85T
Top Software stocks by market cap
The biggest software companies — tap any to trade it with virtual cash.
About the Software sector
Software companies sell programs and services rather than physical products, which gives them very high margins and, increasingly, predictable subscription revenue. This 'software-as-a-service' model is why the sector is a favourite among long-term growth investors.
The group ranges from giant platform companies to fast-growing newcomers in areas like data, security, and AI tools. Valuations can run high because investors pay up for growth, so the sector can swing sharply when expectations change.
What moves Software stocks
- Recurring subscription revenue and retention
- Enterprise IT and cloud spending
- AI features driving new demand
- Interest rates, which affect growth-stock valuations
Compare Software leaders
How to invest in Software stocks
- 1
Get to know the leaders. Start with the biggest names above — like Microsoft — and read what each company does and how its stock has performed.
- 2
Decide between single stocks and a basket. Picking one company concentrates your bet; a sector ETF like IGV spreads it across the whole group.
- 3
Practice before you commit. On Invest you trade software stocks at live prices with €1,000,000 in virtual cash — so you can test ideas with zero risk.
Software stocks: FAQ
What are the best Software stocks?
The largest software companies by market value right now include MSFT, ORCL, SAP. "Best" depends on your goals — Invest lets you compare each one's price, performance, and Buy/Hold/Sell signal, then practice trading them with virtual cash before risking real money.
How do I invest in Software stocks?
You can invest in software by buying individual companies like MSFT or ORCL, or by holding a sector ETF such as IGV for instant diversification. On Invest you can practice both approaches free, with €1,000,000 in virtual cash at live market prices.
Is Software a good sector to invest in?
Software stocks are the companies that build the cloud platforms, enterprise tools, and applications businesses and people rely on every day — often prized for recurring subscription revenue and high profit margins. Over the past year the IGV software benchmark is -21.3%. No sector is guaranteed to rise, so many investors diversify across several — the safest way to learn how software behaves is to trade it in a simulator first.
Can I practice trading Software stocks for free?
Yes. Invest is a free stock market simulator — start with €1,000,000 in virtual cash and buy or sell any software stock at live prices, with no real money and no risk. It runs in your browser and as a free iOS app.