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ServiceNow (NOW) will release its second-quarter 2025 results on July 23, 2025. The Zacks Consensus Estimate for revenues is $3.12 billion, signifying an 18.79% increase from the same period last year. Expected earnings are $3.54 per share, indicating a 13.1% growth year-over-year.
ServiceNow anticipates second-quarter subscription revenues of $3.031 billion, reflecting a 20% year-over-year growth on a non-GAAP basis. In the first quarter of 2025, the company added 508 customers, generating over $5 million in annual contract value (ACV), a 20% growth compared to the previous year.
Despite a year-to-date drop of 9.2% in NOW shares, the company has outperformed the Zacks Computer & Technology sector’s return of 9.1% and the Computers – IT Services industry’s decline of 10.2%. The stock is currently trading below its 50-day and 200-day moving averages, and analysts suggest caution due to economic headwinds and a stretched valuation, with a forward Price/Sales ratio of 13.92X.
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