Jefferies analyst Samad Samana has maintained their bullish stance on NOW stock, giving a Buy rating today.
Samad Samana has given his Buy rating due to a combination of factors including ServiceNow’s strategic acquisition of Moveworks. This acquisition is expected to enhance ServiceNow’s product offerings by integrating AI-driven solutions and enterprise search capabilities, which could lead to new growth opportunities in customer relationship management and enterprise search. Additionally, the overlap in customer bases between ServiceNow and Moveworks presents a significant cross-selling potential, which could further drive revenue growth.
Moreover, despite the initial investor concerns regarding the size of the acquisition, the management has reassured that the deal will not affect the company’s revenue targets or margins for 2025. The valuation of ServiceNow’s stock is also considered attractive, with expectations for stabilization around $740, aligning with historical valuation ranges. These factors collectively contribute to the positive outlook and Buy rating for ServiceNow’s stock.
In another report released today, UBS also maintained a Buy rating on the stock with a $1,000.00 price target.
Based on the recent corporate insider activity of 162 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of NOW in relation to earlier this year.
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