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.
On the date of publication, Kritika Sarmah did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
More news from Barchart
- Investors Have Been Waiting to Buy the Dip in This Hot Biopharma Stock
- Netflix Is Attractive to Value Buyers - Shorting Puts Can Set a Lower Buy-In Point
- Nvidia Is Doubling Down on the Energy Industry with SLB. Does That Strengthen the NVDA Bull Case Now?
- Wave Life Sciences Crashes Deep into Oversold Territory as Obesity Drug Data Disappoints. Should You Buy the Dip?
