The 2026 winner among Atlassian, HubSpot, and Monday.com is clear by a wide margin, and the more useful finding is that the gap traces back to what happened at the two decliners rather than to the software sector.
TEAM's AI adoption is driving customer expansion, larger deals and cross-selling, strengthening its position in cloud software.
Atlassian NASDAQ: TEAM said its cloud business momentum continued through the fourth quarter of fiscal 2026, supported by customer upgrades, cross-selling activity and expanding paid seats across both software development and non-technical teams.
CRM's AI momentum, stronger earnings outlook and lower valuation give it an edge over TEAM amid rising AI investments.
Atlassian Corporation (TEAM) Presents at The KeyBanc Technology Leadership Forum 2026 Transcript
Atlassian's AI investments, slower ARR growth and strong competition pressure on profitability, while its premium valuation adds risk.
Atlassian TodayTEAMAtlassian$154.61 +2.74 (+1.80%) As of 02:00 PM Eastern This is a fair market value price provided by Massive. Learn more.52-Week Range$56.01▼$184.00Price Target$176.27Add to WatchlistSometimes you can call it a comeback.
Software stocks are staging a comeback in the second half of the year, according to Jefferies analysts, who pointed to strong results from ServiceNow Inc (NYSE:NOW, XETRA:4S0), SAP, Roper Technologies, Atlassian (NASDAQ:TEAM) and Cloudflare as evidence the sector is shaking off fears of AI-driven disruption. Solid earnings beats, healthy margins and early signs of AI monetization through consumption growth and product up-tiering are easing investor concerns about software companies' long-term value, the analysts said.
Atlassian surged 35% post-earnings, driven by 28% YoY revenue growth, which beat by the highest magnitude in 9 quarters and its first full year of GAAP profitability. TEAM's cloud revenue accelerated to 31% YoY, with enterprise deals and AI agent Rovo adoption fueling ARR growth and platform expansion. Management guides FY27 revenue growth to 13% YoY, with Cloud at 25.5% and the Data Center segment declining due to migration and EOL impacts.
Atlassian NASDAQ: TEAM reported fourth-quarter fiscal 2026 revenue growth of 28% to $1.8 billion, as cloud revenue rose 31% year over year to $1.2 billion. The company said the quarter capped a fiscal year marked by enterprise deal expansion, increasing adoption of its AI offerings and a 12% GAAP operating margin.
Atlassian (NASDAQ:TEAM) shares jumped more than 30% on Friday after the software maker posted fourth-quarter revenue and cloud growth that topped analyst estimates and issued a stronger-than-expected cloud revenue outlook for fiscal 2027. Revenue for the quarter came in at $1.8 billion, up 28% from a year earlier and above the $1.66 billion analysts had expected.
TEAM tops Q4 earnings and revenue estimates as subscription, cloud and AI platform growth fuel enterprise momentum and support fiscal 2027 outlook.