RiskReversal Pod What We Learned From The Software Sell-off | He Said, She Said with The Wall Street Skinny
Feb 9, 2026
Kristen Kelly, co-founder and writer at The Wall Street Skinny, offers market analysis on the recent SaaS sell-off and shifting investor sentiment. Conversation covers AI-driven spending versus returns, Microsoft's central role, private credit exposure to tech stress, crypto volatility and Bitcoin’s tested narrative, and potential rotations into financials and energy.
AI Snips
Chapters
Transcript
Episode notes
Models Threaten Legacy SaaS Value
- New, powerful AI models (e.g., Anthropic) accelerated fears that AI could displace core software businesses.
- That fear intensified selling in many large SaaS names and re-priced the sector quickly.
Evaluate Adoption, Not Just Hype
- Consider both upside adoption and current weak uptake when assessing platform names like Microsoft.
- Weigh paid-seat growth against total user base before concluding permanent damage.
Credit Strain Lurking Under SaaS Sell-Off
- Credit markets are showing strain as loans tied to SaaS trade distressed, exposing private credit concentration.
- Public and private exposures make credit-equity correlations riskier if defaults rise.