Morgan Stanley analyst Keith Weiss notes Bloomberg reports that ServiceNow (NOW) is in advanced talks to acquire cyber exposure management platform provider Armis for up to $7B. If such a deal were announced, Armis would provide ServiceNow with a scaled operational technology security solution that can bolster its existing ACV Security and Risk businesses, but this would mark the company’s largest acquisition this year, which could further fuel investor concerns regarding the durability of 20%-plus growth, the analyst tells investors. Morgan Stanley has an Overweight rating and $1,315 price target on ServiceNow shares, which are down $94.24, or 11% to $770.98 in late morning trading.
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