Analysts Are Bullish on ServiceNow (NOW) - Here's Why

ServiceNow, Inc. (NYSE:NOW) is one of the best strong buy growth stocks to buy according to hedge funds. On January 14, Evercore ISI reiterated a Buy rating on ServiceNow, Inc. (NYSE:NOW) with a price target of $225. The same day, Oppenheimer also maintained a bullish outlook on the stock, maintaining a Buy rating with a $200 price target.

In another development, Citi maintained a Buy rating on ServiceNow, Inc. (NYSE:NOW) on January 12 and set a price target of $250.60. The firm expects a solid upcoming quarter, supported by factors such as early indications of a strong quarter-end, healthier sales pipelines going into 2026, and signs of incremental budget releases. It anticipates the rising contributions from AI-related offerings and consumption-based revenue next year, along with a solid fiscal Q4 finish, to propel a significant turning point for ServiceNow, Inc. (NYSE:NOW).

Citi further stated that the market is pricing the shares at unusually low valuation levels at present, especially when compared to previous cycle troughs, and this fails to provide a complete picture of the company’s fundamental trajectory.

ServiceNow, Inc. (NYSE:NOW) offers an AI platform for business transformation, boosting productivity and maximizing business outcomes. Its intelligent platform, Now Platform, provides end-to-end workflow automation for digital businesses. Now Platform functions as a cloud-based solution embedded with AI and ML.

While we acknowledge the potential of NOW as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.