ServiceNow Shares Drop 18% After Earnings Despite Strong Revenue Growth
ServiceNow (NOW) shares fell 18% following earnings, driven by geopolitical deal slippage in the Middle East, despite a 22% year-over-year increase in subscription revenue to $3.67 billion and $2 billion in free cash flow. Seven Wall Street firms reduced price targets on NOW stock, though most maintained Buy ratings, suggesting the selloff may be an overreaction.
Tickers: $NOW
Topics: AI traction analyst price target changes geopolitical deal slippage ServiceNow earnings stock selloff