ServiceNow stock price target raised to $1,185 by BMO Capital

ServiceNow (NYSE:NOW), a leading provider of cloud-based services to automate enterprise IT operations, has been consistently growing its customer base and expanding its product offerings. With a market capitalization of $236 billion and an overall financial health score rated as "GREAT" by InvestingPro, the company’s focus on innovation and customer satisfaction has been central to its strategy, which analysts like Bachman at BMO Capital find promising for future performance.

Bachman’s optimism is largely based on the potential of ServiceNow’s Plus product offerings. He expressed confidence that these could lead to performance exceeding the company’s own guidance. This potential for outperformance is a driving factor behind the analyst’s positive outlook on ServiceNow’s stock.

ServiceNow, a leading provider of cloud-based services to automate enterprise IT operations, has been consistently growing its customer base and expanding its product offerings. With a market capitalization of $236 billion and an overall financial health score rated as "GREAT" by InvestingPro, the company’s focus on innovation and customer satisfaction has been central to its strategy, which analysts like Bachman at BMO Capital find promising for future performance.

The Outperform rating by BMO Capital suggests that the analyst expects ServiceNow to perform better than the overall market or its sector in the foreseeable future. This rating, coupled with the raised price target, indicates BMO Capital’s belief in the company’s strong prospects.

ServiceNow, a leading provider of cloud-based services to automate enterprise IT operations, has been consistently growing its customer base and expanding its product offerings. With a market capitalization of $236 billion and an overall financial health score rated as "GREAT" by InvestingPro, the company’s focus on innovation and customer satisfaction has been central to its strategy, which analysts like Bachman at BMO Capital find promising for future performance.

In other recent news, ServiceNow has experienced a series of significant developments. The company’s recent earnings and revenue results revealed a 21% year-over-year increase in both subscription and total revenues for the fourth quarter of 2024, amounting to $2,866 million and $2,957 million respectively. Analysts from firms such as KeyBanc Capital Markets, Canaccord Genuity, Needham, Bernstein SocGen Group, and JMP Securities have offered mixed perspectives on the company’s stock, with price targets ranging from $1,021 to $1,300.

ServiceNow’s strategic initiatives have also been a focal point, with the introduction of AI Agent Orchestrator and the announcement of a strategic partnership with Visa (NYSE:V) to modernize their Dispute Management Service using ServiceNow’s AI technology. The company’s shift to a consumption-based monetization model set to launch in 2025 was also noted by analysts.

These recent developments reflect ServiceNow’s ongoing growth and strategic evolution. The company’s robust financial performance, innovative AI advancements, and strategic partnerships underscore its strong position in the market.

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