NYSE:NOW

Servicenow (NOW)

117.90
-9.75 (7.64%)
as of Jun 3, 2026, 8:00:00 pm Market Open.
120 watching
0
Investor Insights
star iconJun 3, 2026, 12:00 am

This summary was created by AI, based on 20 opinions in the last 12 months.

ServiceNow (NOW) is facing a challenging environment as it navigates significant market concerns regarding AI's impact on the software industry. Despite recent performances, with earnings beating expectations and strong revenue growth, the stock has declined approximately 34-45% from its peak last year. Several experts believe that NOW offers value at its current price, citing its robust fundamentals and significant earnings growth. Analysts have highlighted a rebound in social media mentions and the company's strategic use of AI to enhance business efficiency, further supporting the long-term growth narrative. Nevertheless, the stock's performance remains under scrutiny due to broader market turbulence affecting the software sector.

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Consensus
Positive
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Valuation
Undervalued
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TOP PICK
A brave choice, as it's on the SaaS side. So much value here. A leader in workflow automation and machine learning. CEO is a driven management guy. Buy in thirds here at $414, 400, and 390. 12-month target of $650. No dividend. (Analysts’ price target is $648.60)
COMMENT
A tough one. They had the best quarter of the large tech companies and they keep winning new contracts. But in this bear market, NOW gets no credit.
WEAK BUY
Cloud computing for digitization of workflow. Has done well. Great growth potential and free cashflow growth. He accesses the cloud instead through MSFT, GOOGL, and AMZN. Cloud will continue to grow considerably, though not as fast as during Covid. Increased competition means own the bigger players.
BUY
It reported last Wednesday. This cloud computing could do no wrong until the Fed announced it will raise rates. Shares were $707 in November then fell to $484 and yet nothing had happened at the company. Then they delivered a great, sterling quarter and forecast. Billings and EPS beat the street. Meanwhile, analysts havecut NOW's price targets! Shares still rose, though it may have discouraged buyer.
BUY
Tim Collins, a technical analysts, is bullish cloud stocks. It's recently pulled back from recent highs in a "flag pattern" or "continuation pattern" which means that consolidating, a stock will resume its march higher. Before this consolidation happened, NOW was nicely moving higher, then POW in August an explosion to the upside. Recently it's declined with lower highs and lower lows over a few weeks. But in last week's rally, NOW broke until its old ceiling of resistance has become its new floor of support. Collins sees new resistance at $680, its old all-time high. If it doesn't break out, this could fall to $630-650. Below $610, he'll exit. But if it holds current support, this will head higher.
TOP PICK

King of incident reporting in digital workflows. The next Salesforce. Beat on all metrics. Buy some here, and add some down at $560 and 540. 12-month price target of $660. No dividend. (Analysts’ price target is $654.77)

BUY ON WEAKNESS
Buy. Great CEO and they have tons in the pipeline and lots of deals are doing well. Shares have come down, so buy now.
PAST TOP PICK
(A Top Pick May 06/20, Up 31%) Fantastic company, but still in the group of rich valuations for SaaS. Getting worldwide acceptance. 12-month price target of $618.
BUY
Develops cloud computing platforms to manage data flow. Got expensive, but beat top and bottom lines in January and increased guidance. Good execution by management. He took profits, but then added last week around $475. Price target of $593.
BUY
Fractional shares to buy instead of playing the short squeeze of GameStop, AMC, etc. A cloud stock. The new CEO has a great rolodex.
BUY
Cloud stocks are recovering after dipping in the wake of vaccine announcements last month. When SN reported in late October the stock got slammed though it has performed well YTD. The outlook into 2021 looks good.
TOP PICK
They developed a cloud computing platform to help companies with digital operations. Founded in 2003, it IPO's in 2012 and has since acquired several good companies. He particularly likes that 90% of their revenue is recurring. This reduces the risk. Although a little pricey at 15 times revenues. He would look to buy around $325. Yield 0% (Analysts’ price target is $365.72)
PAST TOP PICK
(A Top Pick Feb 07/19, Up 35%) He sold last summer because there was too much volatility. It trades at 100 times earnings. It is a great business but had a bit of a pull back over the summer. He has stop losses on all his holdings. It is a great company but he had to come out in the summer on the pull back.
PAST TOP PICK
(A Top Pick Feb 07/19, Up 23%) A secular growth company that provides software to allow companies scaling opportunities in the IT space.
WATCH
It has yet to make a profit. The losses are staying level -- all they need is some growth to show a profit. If you see a downside correction, or they begin to make profit, he would buy. Wait and watch until that happens.
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