People watch stocks for different reasons -- they're waiting for a dip in price, watching for a specific catalyst, gathering all the news and information that might affect stocks they already own, or considering a sell. Regardless of their motivation, we can better understand market sentiment by seeing who's watching what. With the Fool's free My Watchlist service, we have tens of thousands of people telling us the businesses that have, for whatever reason, piqued their interest.

The most-watched software stock is ...
Looking at the aggregate data, we see that Rosetta Stone (NYSE: RST) is above the rest in terms of watch interest, the percentage of people keeping an eye on software stocks in general who are specifically watching each company. And for good reason. As CAPS player steelers303 wrote in March:

I tried Rosetta Stone and loved it. The beauty of the software is that the language you learn is completely independent of the language(s) you already speak fluently. This should make the business extremely scalable on an international scale. If they bring down the price a bit I think they will see some tremendous gains.

Here are the rest of the top fifteen most-watched companies in the industry with their watch interest along with the stocks' CAPS rating to show the sentiment of our investing community.

 

Company

Market Cap (in millions)

CAPS Rating (out of 5)

Watch Interest

1

Rosetta Stone

$308

***

61.8%

2

Microsoft (Nasdaq: MSFT)

$227,010

***

10.3%

3

Activision Blizzard

$13,810

****

6.2%

4

Oracle

$171,924

****

3.4%

5

salesforce.com

$20,978

*

1.6%

6

Ebix (Nasdaq: EBIX)

$815

****

1.6%

7

Nuance Communications (Nasdaq: NUAN)

$6,772

****

1.4%

8

VirnetX (AMEX: VHC)

$1,933

*

1.1%

9

Adobe Systems

$15,577

***

0.8%

10

Electronic Arts

$8,300

**

0.7%

11

Qlik Technologies

$2,857

****

0.7%

12

TIBCO Software

$4,977

**

0.5%

13

Citrix Systems

$15,600

**

0.5%

14

Glu Mobile (Nasdaq: GLUU)

$300

**

0.5%

15

Magic Software (Nasdaq: MGIC)

$224

***

0.5%

Sources: Motley Fool, Motley Fool CAPS.

Whether you're keeping an eye on the industry stalwarts like Microsoft or are watching an up-and-comer like Rosetta Stone, it pays to watch. We can help you keep tabs on your companies with My Watchlist, our free, personalized stock tracking service. Click here to start now.

Dan Dzombak's musings and articles he finds interesting can be found on his Twitter account: @DanDzombak.  

The Motley Fool owns shares of Qlik Technologies, Activision Blizzard, Oracle, Microsoft, Rosetta Stone, and Ebix. Motley Fool newsletter services have recommended buying shares of Ebix, Activision Blizzard, Qlik Technologies, Microsoft, salesforce.com, Adobe Systems, Nuance Communications, and Rosetta Stone. Motley Fool newsletter services have recommended creating a diagonal call position in Adobe Systems and Microsoft, and a synthetic long position in Activision Blizzard, as well as shorting salesforce.com and Tibco Software. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.