Latest news with #ServiceNowInc
Yahoo
23-05-2025
- Business
- Yahoo
Was Jim Cramer Right About ServiceNow Inc. (NOW)?
We recently published a list of . In this article, we are going to take a look at where ServiceNow Inc. (NYSE:NOW) stands against other stocks that Jim Cramer discusses. Back in 2024, on May 15, a retired investor asked Cramer if he should add to his small position in ServiceNow Inc. (NYSE:NOW). Cramer gave a clear buy recommendation: 'I would buy more. I mean, I feel like I wanted to buy that stock for the trust. We owned so many in the space, we felt that we couldn't. But that was a nice break before the quarter. When the quarter reported, it really wasn't a bad quarter — and I think the stock's a buy right here. ServiceNow.' He called it a buy, and the market agreed as the stock gained 37.23% since. A team of software engineers at desks working on code for a cutting-edge cloud computing solution. ServiceNow Inc. (NYSE:NOW) is riding the enterprise digitization wave as its workflow automation tools prove indispensable to large corporations. Cramer remains a clear bull. Here are his remarks from earlier in May 2025: 'Right, and we want to come back to it. It was a big guide up and it had rule of 50, it had great growth, great margins. This Truist piece today, Hold to Buy, it does say something that I think people have to recognize. This company's not a leader in AI. And I don't even know if Jensen Huang has [inaudible] in terms of what, when you bring someone in, you can either build your own AI or you can call ServiceNow and they'll build it for you. Even for customer relationship management. So I think you maybe want to circle back to the one that was as good last week as the one perceived now. Bill McDermott, credit to him, he's picked up a huge number of accounts. Overall, NOW ranks 1st on our list of stocks that Jim Cramer discusses. While we acknowledge the potential of NOW as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than NOW and that has 100x upside potential, check out our report about this cheapest AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Bloomberg
15-05-2025
- Business
- Bloomberg
ServiceNow Loses Top Sales Leaders in Executive Shuffle
Two top ServiceNow Inc. leaders are leaving the software company as it reshapes the upper ranks of its sales division. Executive Vice President Erica Volini and Ulrik Nehammer, chairman of the international business, are departing, a ServiceNow spokesperson said. 'These changes are part of regular business rhythms as we determine the future direction of our sales and go-to-market organizations to scale to the next phase of ServiceNow growth,' the spokesperson said.
Bloomberg
05-05-2025
- Business
- Bloomberg
ServiceNow Eyes $1 Billion Revenue for AI Product by 2026
ServiceNow Inc. said its flagship artificial intelligence software product will hit $1 billion in annual contracted business by next year. The new 2026 guidance for the generative AI product, dubbed Now Assist, was given Monday by Chief Financial Officer Gina Mastantuono during the company's annual conference. Currently, the product has more than $250 million in annual contract value, which is the amount customers have agreed to pay for it each year, she added.
Yahoo
02-05-2025
- Business
- Yahoo
ServiceNow Upgraded to "Buy" Rating After Strong Q1, Target Raised to $1,200
May 2 - Truist Financial upgraded ServiceNow (NYSE:NOW) to "Buy" from Hold following the software firm's stronger-than-expected first-quarter results. Top-ranked analyst Joel Fishbein raised his price target to $1,200 from $950, suggesting upside of over 25%. He described the enterprise workflow platform as a rare compounder with durable growth potential across core and emerging verticals, including customer relationship management and agentic AI. Warning! GuruFocus has detected 3 Warning Sign with NOW. ServiceNow shares jumped more than 15% on April 24 after reporting an 18.5% year-over-year increase in revenue and better-than-expected adjusted earnings per share. The company also issued a bullish outlook for the second quarter, despite macroeconomic uncertainty. Fishbein said ServiceNow is well-positioned to consolidate the enterprise IT stack and benefit from demand for pre-built AI tools, citing strong industry feedback. He also praised the firm's go-to-market execution as the gold standard among peers. Despite the recent rally, the stock is still down about 10% in 2025. The analyst views the pullback as a buying opportunity. Based on the one year price targets offered by 40 analysts, the average target price for ServiceNow Inc is $1048.24 with a high estimate of $1300.00 and a low estimate of $724.00. The average target implies a upside of +9.43% from the current price of $957.95. Based on GuruFocus estimates, the estimated GF Value for ServiceNow Inc in one year is $1053.85, suggesting a upside of +10.01% from the current price of $957.95. This article first appeared on GuruFocus. Sign in to access your portfolio
Yahoo
01-05-2025
- Business
- Yahoo
Is ServiceNow Inc. (NYSE:NOW) the Best Growth Stock to Buy for the Next 3 Years?
We recently published a list of the 15 Best Growth Stocks to Buy for the Next 3 Years. In this article, we are going to take a look at where ServiceNow Inc. (NYSE:NOW) stands against other growth stocks to buy for the next 3 years. On April 29, Dan Ives of Wedbush Securities joined 'Power Lunch' on CNBC to discuss his outlook for the tech sector and expressed that tariffs aren't stopping the AI revolution. According to Ives, the critical question for the sector was whether spending, particularly CapEx, was being maintained. He expressed confidence that CapEx was holding up and predicted that the forthcoming results from big tech companies would serve more as a confidence booster for the market, rather than fueling the existing fears. As some investors are of the idea that concerns about a potential soft patch in the economy remain, there's a preference for safer investments in insurance and other stable sectors, rather than big tech. However, Ives acknowledged that while uncertainty had been prevalent in recent weeks, his own survey work and field research indicate that AI-related spending stays strong. He noted that, while there were areas of the cloud sector where spending was accelerating, the overall uncertainty would likely result in broad guidance ranges from companies. Michael Darda, the Managing Director, Chief Economist, and Macrostrategist at ROTH, also believes that AI would generate solid returns in the future. Ives agreed with Darda's assessment and stated that enterprises were seeing similar advancements and could not afford to leave their AI projects behind without the risk of consequently falling behind. He also pointed out that for companies like those in the MAG7, the AI revolution is a central theme, which is why challenges brought forward by tariffs would not impact the AI revolution as much. Darda changed his outlook from bearish to bullish on tech and AI recently due to his personal experience with AI tools, which he felt had improved over the past year. Dan Ives reiterated that, despite the uncertainty created by tariffs, the demand for software remained a safety blanket, and spending by hyperscale companies is expected to continue. Our Methodology We sifted through financial media reports to compile a list of the top growth stocks to buy for the next 3 years. We then selected 15 stocks with a 3-year revenue compound annual growth rate of over 20%. The stocks are ranked in ascending order of the number of hedge funds that have stakes in them, as of Q4 2024, which was sourced from Insider Monkey's database. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter's strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here). A team of software engineers at desks working on code for a cutting-edge cloud computing solution. 3-Year Revenue CAGR: 22.38% Number of Hedge Fund Holders: 110 ServiceNow Inc. (NYSE:NOW) provides a cloud-based solution for digital workflows. It operates the Now platform, which is an AI platform for digital transformation ML, robotic process automation, process mining, analytics, and low-code/no-code development tools. It serves a diverse clientele, such as the government and the healthcare & life science sector. In Q1 2025, ServiceNow's Technology Workflows segment saw 36 deals over $1 million in net new ACV, which included two deals that exceeded $5 million. These solutions were present in more than half of the company's top 20 deals. ServiceNow is heavily integrating AI into these workflows with products like ITSM Plus and ITOM Plus, which saw sequential net new ACV growth. For instance, ITOM Plus saw a ~70% increase. The company's AI-powered Now Assist is also being adopted across these areas. This adoption has resulted in improvements like Orca's IT support deflection increasing from 18% to 94% and a 1.5-day reduction in average incident resolution time. On April 25, investment bank Canaccord Genuity increased its price target on ServiceNow Inc. (NYSE:NOW) to $1,075 from $900 while keeping a Buy rating after the company reported stronger-than-expected Q1 2025 results. Lakehouse Global Growth Fund stated the following regarding ServiceNow, Inc. (NYSE:NOW) in its January 2025 investor letter: 'US-based software company ServiceNow, Inc. (NYSE:NOW) delivered another impressive quarterly result. Revenues grew 21% year-on-year in constant currency terms to $2.9 billion and net income grew 30% year-on-year to $384 million. The company's key performance indicators remained healthy, with their backlog (remaining performance obligations) growing 23% year-on-year to $22.3 billion (i.e. greater than 2x annual revenue) and renewal rates held firm at 98%. As we have noted in the past, the company's renewal rates are remarkable as not only are they best-in-class, but they are also extremely consistent, typically in the range of 97% to 99%. These industry-leading renewal rates speak to the mission critical nature of the platform and are a key driver of the long-term annuity value in the business. Zooming out, we continue to believe ServiceNow is one the highest quality software businesses globally as the combination of consistent growth at scale, robust free cash flow generation and a large addressable market make it a compelling opportunity.' Overall, NOW ranks 4th on our list of the best growth stocks to buy for the next 3 years. While we acknowledge the growth potential of NOW, our conviction lies in the belief that AI stocks hold great promise for delivering high returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than NOW but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey.
