Thanks for signing up for DividendStocks.com! It's the daily newsletter built for dividend and income investors. Before we can begin sending your daily updates, there’s one quick step left. Please confirm your subscription using the link below so our emails reach your inbox. Click Here to Confirm Your Subscription to DividendStocks.com Here’s a small glimpse of what you’ll get access to: Dividend Stock Ideas — Each newsletter features dividend stocks with high yields, sustainable payouts, and strong growth potential. Ex-Dividend Stocks — Want to capture upcoming dividend payouts? Find out which stocks are going ex-dividend this week. Market News and Events — Stay in the loop on the latest developments impacting popular dividend names like AT&T, Exxon Mobil, IBM, Procter & Gamble, and Verizon. Bonus: As a thank-you for confirming, you’ll also receive a free PDF copy of Automatic Income, our popular guide to building wealth through dividend investing. Let’s get your dividend journey started! Discover Top Income-Generating Stocks Here See you in your inbox soon, The DividendStocks.com Team P.S. Don’t miss out click here to verify your subscription and secure your daily dividend insights and your free investing guide!
Today's Bonus Content 3 Stocks to Avoid as Software Sector StumblesBy Dan Schmidt. Publication Date: 1/17/2026. 
Quick Look - Software stocks have struggled over the last few months, especially those in the Software-as-a-Service (SaaS) industry.
- SaaS firms face substantial disruption from AI agents like Claude Code, which can automate entire workflows and eliminate the need for expensive software licenses.
- Salesforce, DocuSign, and Atlassian could be three industry stocks at risk of losing revenue to new AI tools.
The software sector has already seen more carnage this month rivaling the finale of Game of Thrones, and we’re still only halfway through January. Many stocks in the industry have been in extended drawdowns since early 2025, and this week several large software companies absorbed fresh pain after an update to ‘Claude Code’, the agentic coding tool for Anthropic’s Claude Sonnet AI bot. Claude Code was introduced last year, but the recent update intensified concerns about how quickly these tools can change software development workflows. Is the selloff overdone, or are software stocks facing a prolonged bear market? Why ‘Claude Code’ Has the Software Sector Spooked Claude Code has unsettled the tech sector because it moves beyond simple code snippets to a fully autonomous, command-line approach. Early AI coding tools generally produced small pieces of code for specific tasks, such as bug fixes; Claude Code can instead orchestrate an end-to-end workflow. Developers can integrate their processes into the tool for writing, testing, and debugging so agents can manage entire tasks with minimal human oversight. 50-year Wall Street legend issues urgent 2026 stock warning
The warning signs are everywhere – even Wall Street's own CEOs are calling for a selloff. But before you sell a single stock, there's something you need to see. One of Wall Street's longest insiders is stepping forward with his own market warning. The last time he did this, retail investors went on to lose nearly 50% of their wealth. Here's what to do with your stocks NOW to prepare. A recent anecdote from a Google engineer illustrates why Software as a Service (SaaS) companies are worried. Earlier this month, Gemini API developer Jaana Dogan went viral after claiming Claude Code replicated roughly a year’s worth of her team’s work in about an hour. If that level of automation proves durable, it presents a nightmare scenario for SaaS firms that collect much of their revenue from annual licenses. Analysts at Oppenheimer referenced this risk in their downgrade of creative-design giant Adobe Inc. (NASDAQ: ADBE) earlier this week, arguing that advances like these have flipped software from an AI beneficiary into an AI victim. 3 Software Stocks to Avoid as Sector-Wide Panic Ensues Adobe shares are down more than 25% over the past 12 months, but it isn’t the only software name under stress. The three stocks below face notable headwinds as AI expands its role in workflow productivity. Salesforce: Agentic AI Risks Cannibalizing Key Business Salesforce Inc. (NYSE: CRM) is often described as the original SaaS company, and its CRM ticker reflects that heritage. The company offers a broad suite of cloud-based business platforms and has traditionally relied on sizable license revenue from large enterprise customers. If a relatively small set of AI agents can replicate the output of hundreds of human reps, Salesforce could see meaningful erosion of that high-margin licensing base. Compounding the risk, Salesforce has spent decades building a complex cloud ecosystem that many businesses now view as costly and inefficient.  CRM shares staged a brief rally in December, rising above the 50-day and 200-day simple moving averages (SMAs) before news of Adobe’s downgrade and the latest Claude Code update hit the market. On Jan. 13, CRM declined about 7% in a single session, falling back below both the 50-day and 200-day SMAs amid renewed selling. A bearish crossover appears to be forming on the moving average convergence divergence (MACD) indicator, suggesting this selling pressure may persist. DocuSign: A Middle Man at Risk of Being Cut Out DocuSign Inc. (NASDAQ: DOCU) benefited greatly from the remote-work shift during the COVID-19 pandemic. At its pandemic peak, DOCU shares briefly reached meme-stock momentum, trading above $300 per share and boosting the company’s valuation dramatically. But as rates rose and workflows evolved, DocuSign has faced increasing challenges and the risk of obsolescence. Pressure on DocuSign began when e-signature features were bundled into broader platforms like Microsoft 365. Now, as AI agents become more customizable, some customers could bypass DocuSign’s Intelligent Agreement Management (IAM) by negotiating directly inside their own enterprise software.  DOCU shares recently notched a new 52-week low and continue to face strong resistance at the 50-day SMA. Investors looking for optimism aren’t getting much from this chart; the Relative Strength Index (RSI) remains near the oversold threshold of 30, and selling volume is beginning to pick up. Atlassian: Potential Obsolescence From Autonomous Workflows Atlassian Corp plc (NASDAQ: TEAM) is the Australian SaaS firm behind widely used collaboration tools like Jira, Confluence, Trello and Bitbucket. If you collaborate on projects, you’ve likely used at least one of these in recent years. Although Atlassian has been integrating AI into its products, it still risks some platforms becoming less relevant if agentic tools like Claude Code make it easier to centralize and automate workflows.  TEAM shares were rejected at the 50-day SMA and have now been down seven of the last 10 trading days, losing more than 15% in the process. A bearish MACD crossover confirms the recent leg of the downtrend, and the stock risks erasing more than two years’ worth of gains if the trend continues.
|