Published: November 29, 2025
ServiceNow stock on November 29, 2025: off the highs, modest rebound
ServiceNow, Inc. (NYSE: NOW) heads into the weekend trading well below its 2025 peak, even after a modest bounce to close out the latest session.
As of Friday, November 28, 2025, ServiceNow shares closed at $812.41, up about 1.2% on the day, with an intraday range of roughly $805–$814 on volume just over 900,000 shares. [1]
Despite the rebound, the stock remains roughly 33% below its 52‑week high of $1,198.09 set on January 28, 2025, and is down about 24% year‑to‑date, even as the Nasdaq Composite is up around 20% over the same period. Over the past three months, NOW has fallen about 7%, versus a nearly 8% gain in the Nasdaq. [2]
Barchart data also shows ServiceNow trading below both its 50‑day and 200‑day moving averages since late July, a technical sign that the near‑term trend remains weak even as long‑term fundamentals stay intact. [3]
At the same time, ServiceNow is still up about 5% over the last 12 months, underscoring the tug‑of‑war between strong AI‑driven growth expectations and investor concern about valuation and macro risk. [4]
Q3 2025: Earnings beat, guidance raise, and a 5‑for‑1 stock split
The current debate around ServiceNow’s stock can’t be understood without looking back to its strong third‑quarter 2025 results, reported on October 29.
For Q3 2025, ServiceNow delivered: [5]
- Subscription revenue: $3.299 billion, up 21.5% year‑over‑year (20.5% in constant currency).
- Total revenue: $3.407 billion, up around 22% from the prior year.
- Current remaining performance obligations (cRPO): roughly $11.3–11.4 billion, up about 20–21% year‑over‑year.
- Total RPO: about $24.3 billion, up more than 23% year‑over‑year.
- Non‑GAAP EPS: around $4.82, beating Wall Street consensus by roughly $0.55 per share.
Management stressed that ServiceNow exceeded guidance across all key topline and profitability metrics, and raised full‑year 2025 guidance for subscription revenue, operating margin, and free cash flow. The company now expects about 250 basis points of free cash‑flow margin expansion year‑over‑year, a notable feat at this scale. [6]
Crucially for retail investors, the board also authorized a 5‑for‑1 stock split, subject to shareholder approval at a special meeting scheduled for December 5, 2025. [7]
The split won’t change ServiceNow’s underlying value, but it would reduce the per‑share price to roughly one‑fifth of current levels and increase the share count accordingly—making the stock more accessible to smaller investors and potentially boosting liquidity. Unsurprisingly, the split has become a recurring theme in recent commentary and retail chatter. [8]
AI partnerships: Microsoft, NTT DATA, Figma and more
Parallel to its financial results, ServiceNow has spent the autumn stacking up high‑profile AI partnerships that strengthen its narrative as an “AI platform for business transformation.”
Deepening integration with Microsoft
On November 18, at Microsoft Ignite, ServiceNow announced a set of new and upcoming integrations with Microsoft, including Microsoft Agent 365. The goal: deliver agentic AI orchestration and governance across Microsoft 365 and the ServiceNow AI Platform. [9]
Key points from that announcement include:
- ServiceNow’s AI Control Tower will integrate with Microsoft Foundry and Copilot Studio to manage AI agents and enforce governance policies across both ecosystems.
- The integration aims to connect copilots, agents, and enterprise data across Microsoft 365 (Teams, Outlook, Word) and ServiceNow workflows, with a focus on visibility, compliance, and measurable business outcomes. [10]
- New capabilities are expected to be generally available by year‑end 2025. [11]
Barchart notes that shares fell about 2.1% on November 18 when the Microsoft announcement was made, suggesting investors are still weighing the near‑term revenue impact versus longer‑term strategic value. [12]
Expanded partnership with NTT DATA
On November 5, ServiceNow and NTT DATA unveiled an expanded multi‑year strategic partnership. NTT DATA will become a strategic AI delivery partner, while also scaling its own use of the ServiceNow AI Platform to drive productivity and customer experience across its global operations. [13]
The companies plan to:
- Co‑develop and co‑sell AI‑powered workflow solutions across industries.
- Use ServiceNow’s AI agents and Global Business Services to accelerate digital transformation for joint customers. [14]
This deal is framed as a way to operationalize AI responsibly at scale, with NTT DATA acting both as lighthouse customer and channel partner.
From design to deployment with Figma
On November 6, ServiceNow announced a strategic collaboration with Figma. The integration allows developers to use a Figma design as a direct prompt to ServiceNow’s Build Agent, which then automatically generates a secure, scalable enterprise application on the Now Platform. [15]
According to the release, this is designed to:
- Compress the design‑to‑deployment cycle from weeks to minutes.
- Connect Figma’s design tools with ServiceNow’s AI‑enabled workflow platform, helping teams move seamlessly from prototypes to production systems, with governance and automation built in. [16]
NVIDIA, FedEx and the broader AI ecosystem
Recent releases also highlight collaborations with NVIDIA and FedEx Dataworks that aim to bring ServiceNow’s intelligent workflows together with advanced models and logistics data to modernize supply chains and scale “trusted AI” across industries. [17]
Taken together, these announcements paint a picture of ServiceNow trying to cement itself as the orchestration layer for enterprise AI—connecting agents, copilots, and workflows across major tech platforms and large enterprise partners.
M&A spotlight: Reports of a $1 billion Veza acquisition
The sharpest “new” storyline this week is M&A chatter.
Several outlets, summarised by MarketBeat’s news dashboard, cite a report in The Information indicating that ServiceNow is in advanced talks to acquire identity‑ and security‑focused startup Veza for more than $1 billion. [18]
TipRanks’ coverage of the report notes that: [19]
- Veza sells subscription software that shows enterprises exactly which employees and AI agents can access sensitive data, and what actions they can take.
- The technology is meant to address emerging risks around AI‑driven access and credential misuse.
- A deal could be announced as early as “next week,” though nothing has been finalized.
If completed, such an acquisition would enhance ServiceNow’s security and identity capabilities at a time when AI‑driven automation is increasing the complexity of access control. It would also fit neatly with ServiceNow’s push to become the control plane for AI workflows in large enterprises.
MarketBeat’s AI‑generated summary notes that the Veza rumors, combined with interest in the upcoming stock split and analyst headlines, are helping support short‑term buying interest in the stock. [20]
Investors should note that this remains deal talk, not a closed transaction. M&A headlines can move a stock in the short term, but the strategic and financial impact will only be clear if and when terms are confirmed.
Analyst sentiment: broadly bullish, but valuation is the sticking point
Despite the recent pullback, Wall Street still skews positive on ServiceNow.
- Barchart reports a “Strong Buy” consensus from 40 analysts, with an average price target of about $1,159.94, implying roughly 45% upside from current levels. [21]
- TipRanks similarly shows a Strong Buy rating based on 26 Buys, 2 Holds, and 1 Sell over the past three months, with an average target of $1,154.04 per share—about 44% above where the stock currently trades. [22]
Other recent commentary includes:
- Motley Fool: Groups ServiceNow with Netflix as one of two “stock‑split growth stocks” that could climb more than 50% based on Wall Street targets, highlighting the combination of split momentum and AI‑driven growth expectations. [23]
- RBC and CMB International: According to Insider Monkey, both have maintained bullish ratings (Outperform/Buy) with price targets in the $1,180–$1,200 range, even after the stock fell more than 10% post‑earnings. [24]
Macquarie’s Neutral rating and downgrade headlines
Balanced against this optimism is a new, more cautious voice.
On November 28, Insider Monkey reported that Macquarie initiated coverage of ServiceNow with a Neutral rating and a $860 price target, describing it as a “great company but only a fair stock” at current levels. [25]
The firm cited:
- ServiceNow’s strong position in IT service management and workflow automation.
- A premium valuation relative to software peers.
- A lack of clear near‑term catalysts to shift sentiment meaningfully.
- Concerns that negative SaaS sentiment driven by AI‑native competitors “could take time” to improve. [26]
MarketBeat’s news feed also flags a recent Macquarie downgrade from a more bullish stance to “Hold”, reinforcing the idea that at least some analysts see limited near‑term upside after the stock’s multi‑year run. [27]
Underperformance vs. the Nasdaq and the post‑earnings slide
Barchart’s “Is ServiceNow Stock Underperforming the Nasdaq?” article lays out the performance gap: [28]
- NOW is down about 24% year‑to‑date, while the Nasdaq Composite is up ~20%.
- Over the last 52 weeks, NOW is up around 5%, against a 21% gain for the Nasdaq.
- Shares have been below their 50‑ and 200‑day moving averages since late July.
Zacks, meanwhile, highlights that ServiceNow is down roughly 14.1% since its last earnings report, attributing the move to profit‑taking and persistent worries around valuation and the macro backdrop—even though the company topped expectations and raised guidance. [29]
This divergence—strong fundamentals vs. weaker price action—is central to the current bull‑bear debate.
Valuation tug‑of‑war: discounted cash flows vs. lofty multiples
The most recent in‑depth valuation work making the rounds comes from Simply Wall St, which published a detailed analysis on November 28. [30]
Their key findings:
- A discounted cash‑flow (DCF) model pegs ServiceNow’s intrinsic value at about $936.54 per share, suggesting the stock is trading at roughly a 14.3% discount to fair value.
- On this DCF basis, they label the stock “undervalued”. [31]
- However, they also note that ServiceNow’s current P/E ratio of about 96x is far above the software industry average of roughly 31x, and even above a peer group average of ~53x.
- Their proprietary “fair” P/E multiple for ServiceNow is 49.5x, implying that on earnings alone, NOW looks overvalued relative to fundamentals. [32]
That leads them to a nuanced conclusion: the stock scores only 2 out of 6 on their valuation checks, even though the DCF suggests upside. The article frames ServiceNow as a case where the story, growth assumptions, and AI narrative heavily influence whether an investor sees the current price as attractive or stretched.
In short, the valuation debate is not settled:
- Bulls emphasize strong revenue growth, rising margins, expanding RPO, and a growing AI ecosystem that could support continued compound growth. [33]
- Bears and skeptics focus on the premium multiples, technical underperformance, and the risk that high expectations for AI monetization are already priced in. [34]
Micro‑signals: SEC filings and insider activity
Recent SEC filings add some color but little drama.
StockTitan’s feed shows multiple Form 144 filings on November 28, including one from a major shareholder seeking to sell 265 shares—worth roughly $215,000 at recent prices. The filer explicitly stated they are not aware of any non‑public negative information about the company. [35]
Given that ServiceNow’s public float is roughly 207 million shares, this potential sale amounts to well under 0.001% of the float, a rounding error in practical terms. [36]
The same feed highlights recent Form 4 insider sales earlier in November, but nothing on the scale that would typically signal a shift in management’s long‑term conviction. [37]
For now, these filings look more like routine portfolio moves than a meaningful change in the investment case.
How the story looks as of November 29, 2025
Putting the pieces together, the current ServiceNow story looks like this:
- The business is executing well: Q3 showed +20%‑plus growth, margin expansion, and higher guidance. [38]
- The strategic narrative is strengthening, with new AI integrations (Microsoft, NTT DATA, Figma, NVIDIA, FedEx Dataworks) positioning ServiceNow as a central platform for enterprise AI workflows and governance. [39]
- M&A rumors around a potential $1 billion Veza acquisition add another dimension to its AI and security story, but the deal is not yet confirmed. [40]
- The stock, however, is stuck in a funk: down double digits since earnings, lagging the Nasdaq, and trading well below its 52‑week high. [41]
- Analysts are mostly bullish with price targets implying ~40–45% upside, but key voices like Macquarie are urging caution on valuation and near‑term catalysts. [42]
- Valuation models disagree: DCF‑style approaches hint at moderate undervaluation, while multiple‑based comparisons flag a very expensive stock versus peers. [43]
The next major catalysts investors are watching include:
- The December 5, 2025 special shareholder meeting to approve the 5‑for‑1 stock split. [44]
- Any official announcement on Veza or other AI/security acquisitions. [45]
- ServiceNow’s Q4 2025 results and 2026 outlook, which will either reinforce or challenge the current AI‑driven growth story. [46]
References
1. www.investing.com, 2. www.barchart.com, 3. www.barchart.com, 4. www.barchart.com, 5. www.servicenow.com, 6. s205.q4cdn.com, 7. s205.q4cdn.com, 8. finviz.com, 9. www.stocktitan.net, 10. www.stocktitan.net, 11. www.stocktitan.net, 12. www.barchart.com, 13. www.stocktitan.net, 14. www.stocktitan.net, 15. www.stocktitan.net, 16. www.stocktitan.net, 17. www.stocktitan.net, 18. www.marketbeat.com, 19. www.tipranks.com, 20. www.marketbeat.com, 21. www.barchart.com, 22. www.tipranks.com, 23. finviz.com, 24. www.insidermonkey.com, 25. www.insidermonkey.com, 26. www.insidermonkey.com, 27. www.marketbeat.com, 28. www.barchart.com, 29. finviz.com, 30. simplywall.st, 31. simplywall.st, 32. simplywall.st, 33. futurumgroup.com, 34. www.barchart.com, 35. www.stocktitan.net, 36. www.stocktitan.net, 37. www.stocktitan.net, 38. s205.q4cdn.com, 39. www.stocktitan.net, 40. www.tipranks.com, 41. www.barchart.com, 42. www.barchart.com, 43. simplywall.st, 44. www.stocktitan.net, 45. www.tipranks.com, 46. futurumgroup.com
