The software industry has achieved impressive growth since last year, driven by pandemic-led changes in business practices. But despite the Biden administration’s plans to reopen the economy entirely, the resurgence of COVID-19 cases and decelerating vaccination rates could lead to a continuation of remote lifestyles for the foreseeable future. Therefore, Wall Street analysts expect lesser-known software stocks Alteryx, Inc. (NYSE:AYX), Zix Corporation (NASDAQ:ZIXI), and iHuman Inc. (IH) to rally in price in the near term. So, let’s examine these names.The demand for software products and services to facilitate a remote lifestyle has accelerated since last year. And, despite the Biden administration’s efforts to bring the country back to its pre-pandemic economic level this year, progress on the vaccination front, or a lack thereof, remains a concern.
The United States vaccination rate is the lowest among the seven prosperous democracies, with just 61.94% of its population fully vaccinated, according to a University of Oxford study. This, coupled with the resurgence of COVID-19 cases, suggests a continuation of remote lifestyle for the foreseeable future. Perhaps tellingly, established multinationals such as Microsoft Corporation (NASDAQ:MSFT) and Alphabet, Inc. (NASDAQ:GOOGL), among others, have postponed their office reopening plans.
Because the software industry is expected to witness sustained demand in the coming months, Wall Street analysts expect lesser-known software stocks Alteryx, Inc. (AYX), Zix Corporation (ZIXI), and iHuman Inc. (IH) to rally by more than 45% in price.