The Top 10 U.S. Software Companies

Want to invest in the top software companies listed in the U.S.? Below is a list of the top publicly traded companies based in the United States, with market capitalization used as the primary criterion. Other figures like price-earnings ratio (P/E), earnings per share (EPS), and dividend yield are also included, if available. 

Microsoft Corp

(MSFT): The Redmond, Washington-based company needs no introduction. It retains the top spot among software companies. Its most popular products are Windows, Office, Server, and related software applications. As of November 2021, Microsoft has a market cap of $2.5T, a P/E ratio of 37.75, an EPS of 9.01, and a dividend yield of %0.73

Adobe Systems, Inc. 

(ADBE): NASDAQ-listed Adobe, primarily known for its Acrobat Reader products, has a diversified portfolio of offerings. It has a wide range of software products and services for content management, compatible across a range of systems, products, media, and devices. With a market cap of $317.9B, a P/E ratio of 54.97, and an EPS of 12.21, Adobe ranks among the top U.S. software companies.

ServiceNow

(NOW): ServiceNow is a cloud computing company that creates digital solutions for enterprise companies to manage their IT, employee, and customer workflows. ServiceNow has a market cap of $129.2B, a P/E ratio of 584.91, and an EPS of 1.12.

Dropbox

(DBX): Launched in 2008, the San Francisco-based company is the leader in cloud file storage and sharing solutions. As of 2021, Dropbox has 700 million registered users, 15.48 million paying users, and it generates $1.91 billion in annual revenue. The company has a market cap of $9,6B, and an EPS of -0.3.

Guidewire

(GWRE): Guidewire combines digital, core, analytics, and AI to deliver an industry platform as a cloud service for property and casualty insurance carriers and worldwide. The software company sells term licenses but also software as a service: ClaimCenter, PolicyCenter, and BillingCenter are the three main products, each servicing a major component of a P&C insurance carrier. Guidewire has a market cap of $9.6B and an EPS of -0.8.

Secureworks

(SCWX): The global cybersecurity leader has developed Secureworks® Taegis™ XDR, a cloud-native security solution that allows customers to detect and respond to advanced attacks across the cloud. Besides cloud security, the company provides related services like malware analysis, reverse engineering, managed security, security and risk consulting, and incident response. Secureworks has a market cap of $1.5B and an EPS of -0.38.

Procore

(PCOR): The company is a leader in construction management software. Its platform connects construction professionals from company owners to contractors in over 125 countries, allowing them to manage all phases and aspects of projects, from pre-development and bidding to project completion. Procore has a market cap of $10.341B.

Asana

(ASAN): Millions of companies worldwide, from small businesses to large enterprises use Asana to manage everything related to team-based work, from objectives to marketing campaigns. Asana's popular and easy-to-use web and mobile application help teams organize, track, and manage their work. Asana has a market cap of $19.641B and an EPS of -1.62.

Autodesk

(ADSK): The American multinational software corporation makes software products and services for the architecture, engineering, construction, manufacturing, media, education, and entertainment industries. Although the company became best known for AutoCAD, it now offers a wide range of software for design, engineering, and entertainment (providing the broadest portfolio of 3D software), as well as software for consumers. Autodesk has a market cap of $56.48B, a P/E ratio of 51.43, and an EPS of 5.98.

Workday

(WDAY): Workday provides a cloud-based software package designed to manage enterprise resource planning, human capital management, and financial management applications. Workday is used by all sizes of organizations, and among the company's most notable customers are Amazon, Netflix, Bank of America, and Hewlett-Packard Enterprise. Workday has a market cap of $69.47B, a P/E ratio of 18786.30, and an EPS of 0.11.

The Bottom Line

Investors looking to invest in large-cap companies can explore the potential of these top software companies. However, investors should remember to be cautious and selective about the business domain served by the software companies, as the performance of the underlying business sector will reflect on the return of the software companies as well.