Despite many tech and artificial intelligence (AI)-driven stocks surging in 2025, ServiceNow NYSE: NOW is a high-profile name that has failed to impress. As of the Oct. 1 close, shares have provided a return of -14%, and are down 22% from their 52-week high.
Zacks.com users have recently been watching ServiceNow (NOW) quite a bit. Thus, it is worth knowing the facts that could determine the stock's prospects.
ServiceNow (NOW) was a big mover last session on higher-than-average trading volume. The latest trend in earnings estimate revisions might not help the stock continue moving higher in the near term.
Despite substantial growth in revenue and profits, ServiceNow (NYSE: NOW) performance has sparked concerns among investors due to its high valuation, increasing competition in artificial intelligence (AI) workflows, dependence on enterprise IT expenditures, and broader macroeconomic challenges.
ServiceNow (NOW) reported earnings 30 days ago. What's next for the stock?
ServiceNow's AI Control Tower sees rising adoption across industries, fueling cRPO growth and extending market reach.
NOW grows AI-driven revenues with NVIDIA and Logik.ai support, but execution risks and valuation spark caution.
Recently, Zacks.com users have been paying close attention to ServiceNow (NOW). This makes it worthwhile to examine what the stock has in store.
ServiceNow (NOW -0.28%), a provider of cloud-based digital workflow services, saw its stock close at a record high of $1,170.39 on Jan. 28, 2025. That 6,402% gain from its initial public offering (IPO) price of $18 in 2012 would have turned a $1,000 investment into just over $65,000.
ServiceNow's AI-driven Pro Plus Now Assist is seeing accelerated adoption, driving strong enterprise momentum with $5M+ and $20M+ ACV customers growing 19.5% and 30% YoY, respectively. Despite short-term concerns over slowing cRPO and shrinking margins from headcount growth, I see these as temporary and not detracting from the long-term story. I expect ServiceNow to deliver high-teens revenue growth and expanding margins as AI adoption explodes across enterprise use cases over the next three years.
Maybe that $1,300 Street-high price target isn't so far-fetched for shares of ServiceNow (NASDAQ:NOW), after all.
ServiceNow eyes $12.785B in 2025 subscription sales as AI-fueled product demand lifts long-term growth outlook.