New York, Feb 2, 2026, 20:53 ET — Market closed.
- Shares of NOW ended up 0.8% at $118 following their addition to Goldman’s Conviction List
- Through Jan. 30, the software-sector ETF IGV has dropped roughly 14.7% year-to-date
- Traders are eyeing Tuesday’s follow-through, the ISM services report on Feb. 4, and Fed minutes due Feb. 18
ServiceNow (NOW) shares rose 0.8% to close at $118 on Monday, following Goldman Sachs’ addition of the stock to its U.S. Conviction List in its latest monthly update, according to The Motley Fool. The stock’s session ranged from $115.65 to $121.61, with roughly 19 million shares traded. (The Motley Fool)
The endorsement comes as the market struggles to regain momentum following a tough January for application software. IGV, a popular software-sector ETF, dropped roughly 14.7% year-to-date through Jan. 30. (BlackRock)
ServiceNow remains around 44% off its 52-week peak, hovering just 4% above its low. That slim margin leaves little room for error—any minor rating change or market shake-up could send these shares sharply in either direction.
Goldman’s analysts, headed by Steven Kron, identified potential growth areas in customer relationship management (CRM) and human resources software—sectors where both Salesforce and Workday already have a strong foothold.
Jefferies analyst Samad Samana suggested investors might eye application-software stocks again “when growth inflects alongside AI revenues,” highlighting ServiceNow as a key name to watch. (Morningstar)
Last week, the company reported fourth-quarter subscription revenue of $3.466 billion, marking a 21% increase, while total revenue hit $3.568 billion, up 20.5%. It revealed that Now Assist, its AI suite, more than doubled net new annual contract value compared to the previous year. The firm also approved an additional $5 billion for share buybacks, with a $2 billion accelerated program set to start “imminently.” CFO Gina Mastantuono emphasized to investors, “Make no mistake, our strategy, complete with a disciplined focus on margin expansion, remains unchanged.” (ServiceNow Investor Relations)
Yet the downside risks remain alive: worries that generative AI might pressure subscription prices haven’t eased. Investors continue to react harshly to any hint of slower software growth. Adding to the uncertainty, a partial U.S. government shutdown has prompted the Bureau of Labor Statistics to delay the January jobs report. (Reuters)
The market is shut for now, but traders will be watching Tuesday for signs of follow-through and hoping for a steadier vibe heading into midweek. On Wednesday, the Institute for Supply Management will release its services index. Then, on Feb. 18, the Federal Reserve is set to publish the minutes from its Jan. 27-28 meeting. (Fxstreet)
