Morgan Stanley analyst Keith Weiss listed 4 Software-as-a-Service (SaaS) stocks that screen best in the environment of rising interest rates and high macro uncertainty.

Weiss says that investors are more concerned about margins as high-growth sectors continue to be affected by rising interest rates.

Weiss views Salesforce (NYSE) as Instructure (NYSE), Workday(NASDAQ:) and others based on their margins, valuable base recurring and overall positive fundamentals. Zoom Video Communications (NASDAQ:) as “best positioned” as each of the four stocks ranked in a top 10 positions based on these criteria.

“The analysis reinforces our conviction in companies like INST, ZM, CRM, and WDAY where ~65, ~52%, ~44%, and ~40%, of their total enterprise value, respectively, can be explained by their installed base, meaningfully underpricing the growth potential of each company moving forward,” Weiss said in a client note.

By Senad Karaahmetovic