ServiceNow 주식, 뭔가 제가 놓친 게 있을까요? 🤔

Or was the market behaving irrationally as it ran up to 200? PE is still 70

The broader software selloff is bringing all of them down. I think there are gems to be found here. Hard to say how low it will go though.

What I find the weirdest is the selloff is predicated on clients vibe coding enterprise level software (and mass layoffs lowering seat counts apparently?) but the hyperscalers are getting clobbered for investing in AI serving capacity.

Can't square this circle.

Service now is an enterprise focused service business. These businesses generate revenue per employee. If AI leads to needing less white collar corporate employees, enterprise SaaS will see reduced growth or even revenue declines.

Look at AMZN for example laying off 30k corporate employees in 6 months. That’s 10% less seats on their enterprise software licenses.

Second issue, ServiceNow and most enterprise SaaS have been revenue growth plays, not EPS plays. They reinvest aggressively in sales and marketing to grow further. If growth stalls / reverses, then there is a huge future growth multiple that has to contract in the stock. And the investor base has to change from high beta risk takers to lower beta value investors, which takes time and a lot of selling.

Guidance was weak; its always guidance, nobody really cares about earnings in growth stocks.

Servicenow is bad software. I would never.

Barron's :

"The stock had fallen 31% in the past three months through to Wednesday’s close. ServiceNow has been caught up in the [software selloff] amid fears over disruption by artificial intelligence. ServiceNow provides automation tools to big businesses and has been integrating AI into its own offerings.

ServiceNow was particularly penalized when it emerged that it was looking to buy cybersecurity start-up Armis, with investors wary of another major acquisition after the company agreed to purchase AI start-up Moveworks for $2.85 billion in March.

“Bears have focused on whether ServiceNow now requires acquisitions to grow and if the consumption hockey stick materializes in 2H26,” wrote Raymond James analyst Adam Tindle in a research note. “We disagree and model 20%+ organic growth; the recent deals expand the TAM and deepen platform capability.”

Agree, i think the fundamentals and growth still looks great. I think the decline is from fears from ai, and their uptick in acquisitions indicating that organic growth is declining but the decline seems way overblown to me

You can blame yhe algos

I going to step in front of the train

$NOW

They are spending ridiculous amounts of money on acquisitions, most of it stock heavy, and it just seems like there's no clear identity with it