Key Highlights:
- Analysts anticipate a 12.6% rise in EPS to $3.84 for ServiceNow's upcoming earnings release.
- Projected revenue growth stands at 18.8%, with slight underperformance in subscription revenues.
- ServiceNow's stock is showing a significant potential upside, with experts setting high price targets.
ServiceNow's Earnings Preview
As ServiceNow (NOW, Financial) gears up to announce its first-quarter earnings, investors are keenly observing the company's progress in subscription growth and AI initiatives. Analysts project an earnings per share (EPS) increase of 12.6% to $3.84. Revenue expectations are set to rise by 18.8% to $3.09 billion, though a cautious note is sounded with the company’s slightly lower subscription revenue prediction of $3 billion.
Wall Street Analysts Outlook
The collective analysis from 40 Wall Street analysts indicates an average one-year price target for ServiceNow Inc (NOW, Financial) at $1,037.79. This estimate spans a high forecast of $1,426.00 and a low of $716.00, representing a potential upside of 34.03% from the present stock price of $774.28. For a deeper dive into these estimates, visit the ServiceNow Inc (NOW) Forecast page.
The consensus recommendation from 47 brokerage firms positions ServiceNow Inc (NOW, Financial) at an average brokerage recommendation of 1.9, suggesting an "Outperform" status. This rating, on a scale from 1 to 5, underscores the market's confidence, with 1 as a Strong Buy and 5 as a Sell.
Evaluating ServiceNow’s GF Value
According to GuruFocus, the projected GF Value for ServiceNow Inc (NOW, Financial) in one year is estimated at $1,056.38. This suggests an impressive upside potential of 36.43% from the current market price of $774.28. The GF Value is calculated based on historical multiples at which the stock has previously traded, coupled with past business growth and future projected performance. For more comprehensive data, please refer to the ServiceNow Inc (NOW) Summary page.
