Added to YB: 2026-04-28
Pitch date: 2026-04-26
NOW [bullish]
ServiceNow, Inc.
+1.56%
current return
Author Info
No bio for this author
Company Info
ServiceNow, Inc. provides cloud-based solution for digital workflows in the North America, Europe, the Middle East and Africa, Asia Pacific, and internationally.
Market Cap
$93.0B
Pitch Price
$89.06
Price Target
N/A
Dividend
N/A
EV/EBITDA
28.78
P/E
53.68
EV/Sales
6.27
Sector
Software
Category
value
ServiceNow: The Crowd Panicked. The Opportunity Opened.
NOW: Q1 beat on all metrics, raised FY26 guidance, lifted AI ACV target 50% to $1.5B. Rev $3.77B (+22% YoY), cRPO $12.64B (+22.5%), RPO $27.7B (+25%). Selloff driven by misread Q2 cRPO guide (~17-18% organic vs 20% Q1) & 530bps margin dip (Armis integration, Knowledge conference timing, brand spend). Organic CC growth ~18.5%, FCF margin 44% (35% FY guide post-Armis). Net retention ~119.6% (-130bps but legacy cohort weakness, not platform). $2.33B buyback in Q1. Trades 22x FY26 EPS, 16x FCF, 5.5x NTM rev (50% discount to 1yr avg 12x). May 4 analyst day critical catalyst for 2H26 acceleration story. Risks: organic cRPO decel, Armis execution, MSFT competition, macro SaaS multiple compression.
Read full article (13 min)