AI Fears Spark Stock Sell-Off, monday.com Down 42%

Shares of Rapid7, ServiceNow, and monday.com plummeted in the afternoon session after Bloomberg reported that Anthropic's preliminary second-quarter revenue exceeded $11.5 billion.

The news fueled concerns that tools like Anthropic's Claude Code and OpenAI's Codex could hollow out software bills, as CNBC previously suggested in August.

Software stocks had already regained some ground since Microsoft's July 22 results, but were left exposed to the same fears resurfacing.

monday.com shares are particularly volatile, having experienced 41 moves greater than 5% over the last year. The stock is down 42% since the beginning of the year and trading at 62% below its 52-week high of $219.15 from September 2022.