ServiceNow Achieves Impressive Growth: Is It Still a Good Investment?

ServiceNow (NYSE: NOW) specializes in cloud-based workflow management software. While the company has been operational for nearly two decades, the past decade stands out as particularly impressive. Over this period, ServiceNow’s stock price has surged by over 900%. Consequently, a $1,000 investment would now be valued at just over $10,000 as of March 31.

NOW data by YCharts.

This remarkable growth is noteworthy; few companies achieve such a tenfold increase in value over ten years. It’s especially impressive considering ServiceNow experienced a decline of nearly 25% in its value during the first quarter of 2025.

Assessing the Timeliness of an Investment in ServiceNow

If your expectation is to see a tenfold return on your investment within the next decade, you may need to reconsider your rationale for investing in ServiceNow. However, if you believe in the potential growth of the cloud and enterprise software sectors—and the pivotal role ServiceNow will play—then now may still be a good time to invest.

The company’s long-term growth hinges on successfully scaling its artificial intelligence (AI) platform and tools. Management indicated that 2024 was a significant year for customer adoption of these AI tools, leading to substantial deals for the company.

While the near-term outlook may be challenging—especially for the tech sector facing various headwinds—ServiceNow remains a strong candidate for long-term investment.

Should You Invest $1,000 in ServiceNow Now?

Before diving into an investment in ServiceNow, it’s essential to consider the following:

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Stefon Walters has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends ServiceNow. The Motley Fool has a disclosure policy.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.