The end of the earnings season is always a good time to take a step back and see who shined (and who didn’t). Let’s take a look at how automation software stocks fared in Q1, starting with Appian (NASDAQ: APPN).

The whole purpose of software is to automate tasks to increase productivity. Today, innovative new software techniques, often involving AI and machine learning, are finally allowing automation that has graduated from simple one- or two-step workflows to more complex processes integral to enterprises. The result is surging demand for modern automation software.

The 6 automation software stocks we track reported a satisfactory Q1. As a group, revenues beat analysts’ consensus estimates by 1.5% while next quarter’s revenue guidance was in line.

In light of this news, share prices of the companies have held steady. On average, they are relatively unchanged since the latest earnings results.

Best Q1: Appian (NASDAQ: APPN)

Powering billions of transactions daily since its founding in 1999, Appian (NASDAQ: APPN) provides a low-code platform that helps businesses automate complex processes and operationalize artificial intelligence without extensive programming knowledge.

Appian reported revenues of $202.2 million, up 21.5% year on year. This print exceeded analysts’ expectations by 5.6%. Overall, it was a very strong quarter for the company with a solid beat of analysts’ billings and EBITDA estimates.

Appian achieved the biggest analyst estimate beat but had the weakest full-year guidance update of the whole group. Unsurprisingly, the stock is up 6.2% since reporting and currently trades at $24.62.

Is now the time to buy Appian? Access our full analysis of the earnings results here, it’s free.

ServiceNow (NYSE: NOW)

Built on a single code base that processes more than 80 billion workflows and 6.5 trillion transactions annually, ServiceNow (NYSE: NOW) provides a cloud-based platform that helps organizations automate and digitize workflows across departments, from IT and HR to customer service and security.

ServiceNow reported revenues of $3.77 billion, up 22.1% year on year, outperforming analysts’ expectations by 0.6%. The business had a strong quarter with an impressive beat of analysts’ EBITDA and annual recurring revenue estimates.

The market seems happy with the results as the stock is up 15.7% since reporting. It currently trades at $119.23.

Is now the time to buy ServiceNow? Access our full analysis of the earnings results here, it’s free.

Weakest Q1: Pegasystems (NASDAQ: PEGA)

With a "Center-out Business Architecture" approach that transcends organizational silos, Pegasystems (NASDAQ: PEGA) develops software that helps organizations automate workflows and use artificial intelligence to improve customer experiences and business processes.

Pegasystems reported revenues of $430 million, down 9.6% year on year, falling short of analysts’ expectations by 7.3%. It was a softer quarter as it posted a significant miss of analysts’ revenue and EBITDA estimates.

Pegasystems delivered the weakest performance against analyst estimates and slowest revenue growth in the group. As expected, the stock is down 9.8% since the results and currently trades at $35.44.

Read our full analysis of Pegasystems’s results here.

Microsoft (NASDAQ: MSFT)

Originally named "Micro-soft" for microcomputer software when founded in 1975, Microsoft (NASDAQ: MSFT) is a global technology company that develops software, cloud services, devices, and AI solutions for consumers, businesses, and organizations worldwide.

Microsoft reported revenues of $82.89 billion, up 18.3% year on year. This number surpassed analysts’ expectations by 1.7%. It was a strong quarter as it also put up a solid beat of analysts’ revenue and EPS estimates.

The stock is flat since reporting and currently trades at $427.65.

Read our full, actionable report on Microsoft here, it’s free.

UiPath (NYSE: PATH)

Starting with robotic process automation (RPA) and evolving into a comprehensive automation powerhouse, UiPath (NYSE: PATH) provides an AI-powered business automation platform that enables organizations to create software robots that mimic human actions to streamline repetitive tasks and processes.

UiPath reported revenues of $418.4 million, up 17.3% year on year. This print topped analysts’ expectations by 5.2%. Zooming out, it was a satisfactory quarter as it also produced a solid beat of analysts’ EBITDA estimates but a significant miss of analysts’ billings estimates.

UiPath scored the highest full-year guidance raise among its peers. The stock is flat since reporting and currently trades at $11.65.

Read our full, actionable report on UiPath here, it’s free.

Market Update

Late in 2025 into early 2026, there was hand-wringing around artificial intelligence. For software companies, the fear was that AI would erode pricing power and compress margins as new tools made it easier to replicate what once required expensive enterprise platforms. Crypto investors had their own version of the same anxiety: if AI agents could trade, allocate capital, and manage wallets autonomously, what exactly was the long-term value of today’s crypto infrastructure?

These concerns triggered a noticeable rotation away from these sectors and into safer havens. But markets rarely dwell on one narrative for long. Spring 2026 came, and the focus shifted abruptly from technological disruption to geopolitical risk. The US’ conflict with Iran became the dominant driver of market psychology, and when geopolitics takes center stage, the script changes quickly. Investors stop debating growth rates and start worrying about oil supply, inflation, and global stability.

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