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Software stocks slide after Datadog and HubSpot earnings raise AI pricing doubts
Software stocks fell on Thursday after earnings from Datadog and HubSpot appeared to raise questions about how AI pricing will play out, contributing to broader pressure across the sector, according to Yahoo Finance.
The outlet also noted that stocks dropped alongside other moving parts, including spiking oil prices and a pullback in AI-related names.
With the sector under pressure, investors appeared to focus on whether pricing power and demand tied to AI can hold up despite the earnings reaction.
The selloff formed part of a wider, day-of-market move, with Yahoo Finance flagging additional tech data center and other earnings-related events occurring around the same time.