Snowflake's earnings results drive SaaS stocks higher, with Domo, GitLab, and Tenable gaining 6–7% as market reassesses AI displacement risk

Snowflake surged 35% after reporting that AI accounts on its platform jumped from 9,100 to 13,600 in a single quarter, product revenue grew 34%, and full-year guidance was raised by $180 million. This sparked broad gains across SaaS: ServiceNow gained 5%, Palantir rose nearly 6%, Oracle and Microsoft each added roughly 3%.

The rally contradicts the 'SaaSpocalypse' thesis—the fear that autonomous AI agents would replace per-seat software licenses and hollow out SaaS business models. Instead, Snowflake's results showed AI driving more consumption of its platform, with CFO Brian Robins describing Cortex Code as creating a 'step function change' in AI revenue potential and the single largest driver of the full-year guidance raise.

Among impacted stocks, Domo (NASDAQ:DOMO) jumped 6.9%, GitLab (NASDAQ:GTLB) jumped 7.2%, and Tenable (NASDAQ:TENB) jumped 6.5%. GitLab's shares have had 37 moves greater than 5% over the last year.