Federal Business RisksServiceNow's US Federal business has come under scrutiny after high-profile departures and an FBI raid of a significant partner.
Growth Guidance IssuesThey guided to CC 20.5% YoY growth in Q4, which holds their Q4 guidance flat vs. the implied level from Q2 earnings, partially due to a large on-premise deal pulled one quarter early.
Stock Valuation ConcernsServiceNow is considered an expensive stock, with high trading multiples compared to its projected earnings and cash flow.