Wall Street Analyst Warns of AI Bubble and Urges Investors to buy SaaS Stocks. 5 Stocks to Buy if He Is Right.

By Geoffrey Seiler – Mar 21, 2026 at 2:45PM ESTKey PointsServiceNow, Salesforce, and Workday all have important data edges.UiPath has a big opportunity as an AI orchestration platform.Adobe continues to see solid growth. Benchmark general partner Bill Gurley recently warned investors in a CNBC interview about a potential artificial intelligence (AI) infrastructure bubble and recommended shifting investments into beaten-down software-as-a-service (SaaS) stocks. NYU Professor Scott Galloway recently expressed a similar sentiment that fears over SaaS stocks were overdone, and it's time to buy. Let's look at five SaaS stocks to consider. Image source: Getty Images. ServiceNow ServiceNow (NOW 2.52%) is the backbone of many organizations' workflow in the areas of information technology, human resources, and customer service. It serves as an important system of record ingrained within customers and thus is not easily replicated or replaced. The company is still growing its revenue by more than 20% and has seen strong momentum with its AI solutions. More recently, the company is working to become an agentic AI orchestration layer through its new Tower control product. The stock is down nearly 25% year to date and trades at a forward price-to-sales (P/S) multiple of 7.5 times and a forward price-to-earnings (P/E) ratio of 28 times. ExpandNYSE: NOWServiceNowToday's Change(-2.52%) $-2.85Current Price$110.42Key Data PointsMarket Cap$115BDay's Range$109.14 - $112.1152wk Range$98.00 - $211.48Volume500KAvg Vol18MGross Margin77.53% Salesforce A leader in customer relationship management software, Salesforce (CRM +0.20%) has always been good at breaking down departmental data silos. However, it has taken this to a new level with the launch of Data 360, which can instantly grab data from cloud providers and data warehouses. Its acquisition of Informatica, meanwhile, gave it the plumbing to pull in data from hard-to-reach legacy systems. This positions the company as an organization's master of records from which AI agents can draw data to avoid any potential hallucinations. The company is expecting to grow its revenue at a more-than 10% annual rate through 2030. The stock price is down more than 25% year to date and trades at a forward P/S multiple of below 4 times and a forward P/E of below 15 times. Workday As with ServiceNow and Salesforce, Workday's (WDAY +1.93%) advantage is also all about data. The company is the leader in human resources and finance data, and like other SaaS companies, it is tapping into AI agents and tools to help drive growth. Its new annual contract value for AI solutions doubled last quarter to $100 million, and it recently introduced 12 role-based agents that it is making generally available. The company is expected to grow its revenue in the mid-teens this year. The stock is down more than 35% year to date and trades at a forward P/S multiple of below 3.5 times and a forward P/E of below 13 times. ExpandNASDAQ: WDAYWorkdayToday's Change(1.93%) $2.58Current Price$135.96Key Data PointsMarket Cap$35BDay's Range$128.75 - $136.8852wk Range$117.76 - $276.00Volume9.2MAvg Vol4.8MGross Margin75.66% UiPath UiPath (PATH 1.47%) is a leader in robotic process automation (RPA) that has developed an agentic AI orchestration platform. Its Maestro system can manage both simple software bots and AI agents, and assign them the tasks for which each is best suited. This can help customers save money, as software bots can perform repetitive, rules-based tasks at a cost much lower than AI agents. The company is in the early stages of its transition to an agentic AI orchestration platform but is seeing good early momentum, with its new annual recurring revenue (ARR) growth accelerating for the first time in several years last quarter. The stock is down more than 25% year to date and trades at a forward P/S multiple of just above 3.5 times and a forward P/E of 15 times. Adobe Creative software provider Adobe (ADBE +0.83%) continues to be the leading platform for creative professionals and has seen steady revenue growth in the low double digits. The company's AI annual ARR growth has been strong, more than tripling last quarter, while it has seen a large increase in generative credit consumption. While the company is starting to evolve more toward a consumption-based model, it shows no signs of being disrupted by AI. The stock is down more than 25% year to date and trades at a forward P/S multiple of 4 times and a forward P/E of below 11 times.Read NextMar 16, 2026 •By Eric VolkmanWhy ServiceNow Stock Edged Past the Market TodayMar 11, 2026 •By Mark Roussin, CPASoftware Stocks Are Crashing, Here Are 4 Stocks to BuyMar 10, 2026 •By Daniel SparksSalesforce vs. ServiceNow: Which AI Stock Is a Better Buy?Mar 10, 2026 •By Chris NeigerWhy ServiceNow Stock is Falling TodayMar 10, 2026 •By Adam Levy1 Stock Up 19% in 2 Weeks That Still Looks Like a Great Buy Right NowMar 2, 2026 •By Daniel SparksThis Stock-Split Stock Is a Major AI Beneficiary.

But Is Its Recent Sell-Off a Buying Opportunity?About the AuthorGeoffrey Seiler is a contributing Motley Fool stock market analyst covering technology, consumer goods, healthcare, energy, and materials stocks. Prior to The Motley Fool, Geoffrey was a senior equity analyst at Raging Capital Management, a $600 million long-short hedge fund. He holds a bachelor’s degree in history from Haverford College.TMFFindProfitStocks MentionedServiceNowNYSE: NOW$110.42(-2.52%)-$2.85SalesforceNYSE: CRM$195.38(+0.20%)+$0.39AdobeNASDAQ: ADBE$248.15(+0.88%)+$2.16WorkdayNASDAQ: WDAY$135.95(+1.93%)+$2.57UiPathNYSE: PATH$12.08(-1.35%)-$0.17*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.