Morningstar says the week's AI-fueled meltdown was a big overreaction—and 2 stocks in particular are now a bargain buy for investors

TIMOTHY A. CLARY / AFP via Getty Images

• Software stocks were battered this week as Anthropic's Claude AI raised concerns of disruption.
• Morningstar says software fears were largely overdone and sees buying opportunities.
• The plunge represents a good entry point for Microsoft and ServiceNow stocks.

The outlook quickly became dire for software stocks this week as investors envisioned a world where Anthropic's Claude AI assistant rendered entire companies and IT departments useless.