ServiceNow (NOW – Research Report), the Technology sector company, was revisited by a Wall Street analyst yesterday. Analyst Samad Samana from Jefferies maintained a Buy rating on the stock and has a $1,025.00 price target.
Samad Samana has given his Buy rating due to a combination of factors including ServiceNow’s strong financial performance and strategic adjustments. The company reported a significant year-over-year increase in subscription revenue and current remaining performance obligations, surpassing market expectations. Despite a slight reduction in the growth outlook for 2025, the revised figures still exceed consensus estimates, showcasing management’s prudent approach to navigating macroeconomic challenges.
Moreover, ServiceNow’s operational efficiency is evident from its impressive operating margin, which outperformed consensus due to effective cost management. The company’s ability to secure large deals, particularly in the public sector, further underscores its robust market position. These elements collectively highlight ServiceNow’s resilience and potential for continued growth, justifying the Buy rating.
In another report released today, Bernstein also maintained a Buy rating on the stock with a $1,003.00 price target.
NOW’s price has also changed moderately for the past six months – from $907.680 to $812.700, which is a -10.46% drop .