Comment by paxys
Is it AI or just the market realizing that some of these companies were ridiculously overvalued to begin with.
Here are the p/e ratios of companies mentioned in the article, after the said "pummeling":
* ServiceNow - 70.66
* SAP - 28.70
* Salesforce - 28.15
* Workday - 73.16
* Microsoft - 26.53
So they range from "a bit high" to "still completely bonkers".
I would say that MS here is undervalued. They do not offer some small software package for a given business problem but the whole shebang - the OS, mail, calendar, office suite, IAM, cloud, etc. + support for each and the whole integration.
You can't realistically replace that with some LLM solution (in the near-term at least) and they can use the AIs to reduce their costs which is mostly people.