Since the beginning of this year, AI application software has shown strong performance, with several companies releasing better-than-expected quarterly results, leading to a surge in stock prices after the earnings reports. $Doximity (DOCS.US)$、 $Palantir (PLTR.US)$ 、 $Applovin (APP.US)$  、$Cloudflare (NET.US)$ On the first trading day after the earnings report, shares surged approximately 36%, 24%, 24%, and 18%, with annual increases of about 44%, 56%, 46%, and 64% respectively.

The hottest AI Technology stocks in the US, mobile application advertising platform.$Applovin (APP.US)$ The performance has 'exploded', with AI tools boosting its advertising monetization rate, making it a hot stock in the US market. Last year, the stock skyrocketed over 712%, and this year its price has continued to rise nearly 46%.

The company released its Q4 earnings after the market close on February 12, with revenue and profit exceeding market expectations. Revenue reached $1.37 billion, a year-on-year increase of 44%, far surpassing the analyst's estimate of $1.263 billion. Net income was $0.5992 billion, a year-on-year increase of 248%, with adjusted EBITDA of $0.7767 billion, above the analyst's estimate of $0.764 billion. Advertising revenue surged 73% to nearly $1 billion.

Applovin's Q1 earnings guidance also exceeded Wall Street expectations, forecasting revenue between $1.36 billion to $1.39 billion, with a median of $1.37 billion, higher than the analyst estimate of $1.32 billion; the median EBITDA is $0.87 billion, exceeding the analyst estimate of $0.7951 billion.

• AI Defense stocks are bull stocks.$Palantir (PLTR.US)$ The performance also lived up to expectations, with the stock price continuously breaking historical highs after the earnings report, soaring over 340% last year and rising about 56% this year.

The company released its Q4 earnings after the market closed on February 3, with revenue increasing 36% year-over-year and 14% quarter-over-quarter, reaching $0.828 billion, exceeding analyst expectations of $0.776 billion; the company expects 2025 revenue of $3.74 billion to $-3.76 billion, compared to analyst expectations of $3.54 billion; Q1 revenue is expected to be between $0.858 billion and $-0.862 billion, while analysts had expected $0.8029 billion.

• A digital platform aimed at medical professionals. $Doximity (DOCS.US)$Soaring 36% on the first day after the earnings report, it is currently the stock with the highest increase among AI application software stocks following an earnings release.

The company released its Q3 earnings for the 2025 fiscal year after the market closed on February 6, with both revenue and full-year performance outlook surpassing analyst expectations, including quarterly revenue of $0.1686 billion and non-GAAP diluted earnings of $0.45; the company anticipates Q4 revenue of $0.1325 billion to $0.1335 billion and a full-year revenue outlook of $0.5646 billion to $0.5656 billion.

• A company that provides Internet services and infrastructure. $Cloudflare (NET.US)$ Since the beginning of the year, it has increased nearly 64%, leading the American Software AI Application Software stocks that have already reported earnings.

The company released its latest quarterly earnings after the market closed on February 6. The earnings report shows that driven by strong growth momentum from enterprises, Cloudflare's Q4 revenue for 2024 increased by 27% year-on-year, reaching $0.46 billion. The company expects revenues for the first quarter of 2025 to be between $0.468 billion and $0.469 billion, with total annual revenue expected to be between $2.09 billion and $2.094 billion.

In addition, AI Application Software companies $monday.com (MNDY.US)$ 、 $Atlassian (TEAM.US)$ 、 $Confluent (CFLT.US)$ Previously, outstanding performance was reported, and the stock price performed strongly after the earnings reports.

It is worth noting that not all American Software AI application companies have bright stock price trends after the earnings reports. Today, the communications platform as a service company that just released its earnings report $Twilio (TWLO.US)$ fell over 8% in pre-market trading, with Q4 earnings achieving revenue of $1.195 billion, exceeding the expected $1.18 billion; non-GAAP EPS was $1, falling short of market expectations. However, as of yesterday's close, Twilio has cumulatively risen over 36% year-to-date.

Which other AI software companies' performances are worth noting?

• Tempus AI

received bets from Cathie Wood and Pelosi on the AI medical concept stocks.$Tempus AI (TEM.US)$The performance will be released after the market closes on February 24th, with the stock price soaring 148% this year, leading AI Application software stocks.

Tempus AI is an American Technology company focused on revolutionizing Medical diagnostics and treatment solutions through AI technology, particularly in the field of cancer. In January this year, Pelosi purchased 50 Call options for Tempus AI that expire in January 2026, with an exercise price of 20 dollars. As early as December last year, Cathie Wood has already accumulated over 0.6 million shares this year, currently accounting for 3.2% of the total Assets of the ARK Innovation ETF (ARKK), making it its tenth largest Hold Position.

Tempus AI previously announced preliminary Financial Indicators for the fourth quarter and the entire year, which showed strong growth in the company's core Business areas. The report revealed that Tempus AI's annual Revenue was approximately 0.693 billion dollars, an increase of 30% compared to the previous year; fourth-quarter Revenue was approximately 0.2 billion dollars, a year-on-year increase of 35%. Additionally, the company's adjusted EBITDA (non-GAAP Financial Indicators) improved continuously for both the full year and the fourth quarter of 2024.

Tempus founder and CEO Eric Lefkofsky emphasized the strong growth of the company's core Business, expecting that genomic Revenue will increase by about 30% in the fourth quarter, and data and service Revenue is expected to grow by about 45%, bringing the company closer to achieving its annual Revenue and adjusted EBITDA guidance.

• MongoDB

Developer data platform $MongoDB (MDB.US)$ The performance will be released after the market closes on March 5th, with a cumulative increase of nearly 26% this year, previously rated as the "preferred" for 2025's AI outlook by Morgan Stanley.

MongoDB is a Technology company known for its NoSQL database, allowing developers to build applications without dealing with the complex database schemas and relationships found in traditional relational databases (like SQL).

Morgan Stanley has rated MongoDB as 'Shareholding', with a Target Price of 350 USD. Morgan Stanley noted that with the anticipated reset, MongoDB will benefit from strong growth in net new applications driven by AI-accelerated code development, rising expectations for optimized cloud migration, and in the current economic downturn, customers' desire to standardize with fewer vendors, leading to integration opportunities.

MongoDB's revenue for the third quarter was 0.529 billion USD, a year-on-year increase of 22.17%, mainly due to the growth in subscription-related revenue. Looking ahead, MongoDB expects revenue for the fourth quarter of 2025 to reach 0.517 billion USD, with EPS of 0.64 USD; the annual revenue is expected to be 1.97 billion USD, with EPS of 3.05 USD.

• Snowflake

A company that provides Internet services and infrastructure. $Snowflake (SNOW.US)$ will release earnings after market close on February 26, with stock prices rising nearly 25% this year; the stock rose nearly 3% yesterday, reaching its highest price since March of last year.

Recently, Snowflake has received positive outlooks from several Institutions, among which, Mizuho Bank maintains a 'Buy' rating for Snowflake, adjusting the Target Price from 195 USD to 205 USD; Evercore ISI Group maintains its 'Buy' rating, adjusting the Target Price from 190.00 USD to 200.00 USD; Keybanc maintains its 'Buy' rating, with the latest Target Price at 210 USD.

For the third quarter of the fiscal year 2025, Snowflake reported revenue of 0.942 billion dollars, a year-on-year increase of 28.3%, exceeding market expectations of 0.898 billion dollars; under non-GAAP, the EPS was 0.20 dollars, higher than the market expectation of 0.15 dollars. Snowflake expects the product revenue for the fourth quarter of the fiscal year 2025 to be between 0.906 billion dollars and 0.911 billion dollars, with a median year-on-year growth of approximately 23%; it expects the product revenue for the fiscal year 2025 to grow by 29% year-on-year to 3.43 billion dollars.

• GitLab

Cloud-based software development tool provider $Gitlab (GTLB.US)$ The date for the announcement of the fiscal year 2025 fourth quarter earnings report has not yet been released, and the stock price has increased by nearly 25% since the beginning of the year.

GitLab has been continually focusing on AI. In terms of product innovation and AI strategy, it launched several important initiatives last year in the fourth quarter, including the collaboration with AWS to introduce the integration of GitLab Duo and Amazon Q, providing an AI-driven developer experience; and launched the Advanced SAST (Static Application Security Testing) feature for Ultimate version customers.

GitLab's performance in the third quarter was impressive, with revenue reaching 0.196 billion dollars, exceeding the market expectation of 0.188 billion dollars; the EPS was 23 cents, far exceeding the market expectation of 16 cents; net income was 28.3 million dollars, compared to a loss of 0.286 billion dollars in the same period last year, showcasing a strong financial recovery.

In addition, GitLab provided an optimistic outlook for Q4, expecting revenue to be between 0.205 billion dollars and 0.206 billion dollars, with adjusted EPS between 22 cents and 23 cents, while the expectation was only 14 cents.

Apart from the four stocks mentioned above, this year there are US AI application software stocks that have seen strong price increases and have not yet announced their earnings, including $Duolingo (DUOL.US)$  、 $Samsara (IOT.US)$ 、 $Rubrik (RBRK.US)$ , with yearly price increases of approximately 32%, 29%, and 20% respectively.

What is the future outlook for AI Software.

This year, the emergence of DeepSeek has significantly reduced the cost of AI model training. Some opinions indicate that DeepSeek's emergence allows small and medium-sized enterprises to develop AI applications with lower thresholds, accelerating industry penetration. Enterprises software represented by Agent AI is expected to quickly gain traction, improving work efficiency and leading to better performance of the Software Sector than Hardware.

In addition, the four major Technology giants in the USA. $Amazon (AMZN.US)$ 、 $Meta Platforms (META.US)$ 、 $Alphabet-A (GOOGL.US)$ /$Alphabet-C (GOOG.US)$ 、 $Microsoft (MSFT.US)$ Plans to increase investment in AI by 2025 to maintain market leadership and technological advantage. Many institutional investors believe that as capital increases, the American Software industry has benefited from AI and is expected to become the leading sector for AI investment by 2025.

Wedbush recently indicated in a client report that the AI revolution has firmly taken hold in the Software sector, which is evidenced by$Palantir (PLTR.US)$recent performances and announcements. Although Palantir's valuation surged significantly after releasing its latest earnings and guidance, Wedbush Analyst Dan Ives believes that Wall Street still underestimates the impact of AI on software.

Analyst Dan Ives highlights the broad application prospects in the software field, expecting that 2025 will see a peak in enterprise Consumer spending. At that time, large language models (LLM) will be widely used, and the true adoption of Generative AI will become a key driving force for the software industry and its key players to benefit from this once-in-a-lifetime Fourth Industrial Revolution, which will significantly boost the development of the Technology sector.

So, how can one find stocks with potential in AI applications for 2025? Futu News has previously organized a list of some 'AI+' software stocks for mooers' reference:

Dan Ives stated in the report that Palantir and$Salesforce (CRM.US)$Leading the upcoming AI revolution in 2025, while also mentioning other software companies that may benefit from AI trends, including$Oracle (ORCL.US)$、$IBM Corp (IBM.US)$、$Innodata (INOD.US)$、$Snowflake (SNOW.US)$、$MongoDB (MDB.US)$、$Elastic (ESTC.US)$and$Pegasystems (PEGA.US)$。

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编辑/jayden