California-based ServiceNow, Inc. (NOW) is a leading cloud-based software provider that enables organizations to automate and streamline digital workflows across IT, customer service, HR, and operations through its unified Now Platform. The company has a market capitalization of $107.8 billion and is expected to release its Q1 2026 earnings soon.

Ahead of the event, analysts expect ServiceNow to report a profit of $0.54 per share on a diluted basis, up 17.4% from $0.46 per share in the year-ago quarter. The company beat the consensus estimates in each of the last four quarters.

For the current year, analysts expect NOW’s EPS to be $2.48, up 26.5% from $1.96 in fiscal 2025. Its EPS is expected to rise 25.8% year over year to $3.12 in fiscal 2027. 

Shares of NOW have declined 30.9% over the past 52 weeks, underperforming the S&P 500 Index’s ($SPX) 16.2% rise and the State Street Technology Select Sector SPDR ETF’s (XLK) 22.9% return during the same time frame.

ServiceNow declined more than 5% on Mar. 24, as software stocks broadly sold off following reports that Amazon Web Services is developing an AI agent to automate functions like sales and business development, raising concerns about increased competitive pressure in enterprise software.

Analysts’ consensus opinion on NOW stock is highly bullish, with a “Strong Buy” rating overall. Out of 44 analysts covering the stock, 36 advise a “Strong Buy” rating, three give a “Moderate Buy,” four recommend a “Hold,” and one advocates a “Strong Sell.” Its mean price target of $191.80 represents 85.1% upside potential to current price levels.

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