- ServiceNow faces challenges from federal spending cuts and trade tensions but sees potential in its AI offerings.
- Analysts maintain a positive outlook with a significant upside potential in stock price predictions.
- ServiceNow is rated as "Outperform" by most brokers, indicating strong growth prospects.
ServiceNow (NOW, Financial), a leading name in the tech industry, is currently grappling with a deceleration in projects and acquisitions attributed to recent federal spending cutbacks and the persistent trade tensions. However, in a promising note from J.P. Morgan, the organization spots potential in the increasing paid adoption of ServiceNow's AI products, forecasting robust growth in the future. Despite current challenges, J.P. Morgan upholds its Overweight rating with a $970 price target on the stock.
Analyst Price Targets and Forecasts
Evaluating the insights from 40 analysts, the average one-year price target for ServiceNow Inc (NOW, Financial) stands at $1,037.79. This projection ranges with a high estimate of $1,426.00 and a low of $716.00. The average target presents a remarkable potential upside of 36.61% from its current trading price of $759.70. Investors seeking more detailed estimate data can refer to the ServiceNow Inc (NOW) Forecast page.
Brokerage Recommendations
The consensus from 47 brokerage firms rates ServiceNow Inc (NOW, Financial) with an average brokerage recommendation of 1.9, illustrating an "Outperform" status. The rating scale ranges from 1, indicating a Strong Buy, to 5, marking a Sell, suggesting a positive outlook for the stock's future performance.
GF Value Estimate
According to GuruFocus' proprietary estimates, the projected GF Value for ServiceNow Inc (NOW, Financial) in the coming year is pegged at $1056.38. This suggests a potential upside of 39.05% from the current price of $759.695. The GF Value method underscores the fair trading value of the stock, derived from historical trading multiples and business growth metrics, coupled with future performance estimates. For a deeper dive into these metrics, investors can access more data on the ServiceNow Inc (NOW) Summary page.
