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Goldman Sachs Likes ServiceNow’s (NOW) “Robust Expansion Opportunities in New Domains”

ServiceNow Inc. (NYSE:NOW) is one of the 11 Best Beaten Down Growth Stocks to Buy Now.

On February 2, Goldman Sachs added ServiceNow to its US Conviction List, citing its belief that the company can grow 20% YoY organically through 2029, given its “still robust expansion opportunities in new domains.” The firm currently has a Buy call on the shares, with a target price of $216.

This addition to the US Conviction List came after ServiceNow released its Q4-2025 results last January 28. Their earnings briefing showed revenue metrics growing at over 20% across the board. Total revenue grew 20.5% YoY to $3.6 billion (from $3.0 billion), subscription revenue grew 21.0% YoY to $3.5 billion (from $2.9 billion), current remaining performance obligations grew 25.0% YoY to $12.9 billion (from $10.3 billion), and remaining performance obligations grew 26.5% YoY to $28.2 billion (from $22.3 billion).

For 2026, ServiceNow’s management expects to grow subscription revenue by 20.5%-21.0%. This growth will primarily be driven by industry expansion through strategic partnerships. On January 28, ServiceNow announced two strategic partnerships. The first is with Fiserv, under which Fiserv will expand its use of an AI-embedded ServiceNow Assist for financial services operations (FSO) and information technology service management (ITSM). The second is with Panasonic Avionics Corporation, wherein Panasonic will use ServiceNow’s AI-driven customer relationship management software.

In addition to organic growth, ServiceNow has two acquisitions in the pipeline, in addition to the Moveworks acquisition, which closed on December 15. The first is Armis, which will allow ServiceNow to expand its presence in the AI cybersecurity space. The second is Veza, which will enhance ServiceNow’s AI-driven workflow capabilities. Both deals are expected to close in the first half of 2026.

ServiceNow Inc. (NYSE:NOW) provides cloud-based and AI-embedded end-to-end workflow automation solutions for enterprises. The company is located in Santa Clara, California, and was founded in June 2004 by Frederic B. Luddy.

While we acknowledge the risk and potential of ServiceNow Inc. (NYSE:NOW) as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than NOW and that has 10,000% upside potential, check out our report about this cheapest AI stock.

READ NEXT: 12 Best Cheap Stocks to Buy Right Now and Cathie Wood’s Stock Portfolio: Top 10 Stocks to Buy.

Disclosure: None. This article is originally published at Insider Monkey.

The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

Dr. Inan Dogan

Dr. Ian Dogan

Co-Founder and Research Director at Insider Monkey

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.

Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

The answer lies in a breakthrough so powerful it’s redefining how humanity works, learns, and creates.

And this breakthrough has already set off a frenzy among hedge funds and Wall Street’s top investors.

What most investors don’t realize is that one under-owned company holds the key to this $250 trillion revolution.

In fact, Verge argues this company’s supercheap AI technology should concern rivals.

Before I reveal the details, let’s talk about how some of the richest people on the planet are positioning themselves.

  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

When billionaires from Silicon Valley to Wall Street line up behind the same idea — you know it’s worth paying attention to.

Even as we admire what Tesla, Nvidia, Alphabet, and Microsoft have built, we believe an even greater opportunity lies elsewhere…

But the real story isn’t Nvidia — it’s a much smaller company quietly improving the critical technology that makes this entire revolution possible.

And judging by what I’m hearing from both Silicon Valley insiders and Wall Street veterans…

This prediction might not be bold at all:

A few years from now, you’ll wish you’d owned this stock.

The best part? You can discover everything about this company and its groundbreaking technology right now.

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Wall Street calls this $3 stock a “Melting Ice Cube.” They said the same thing about BTI before it returned 90%.

Dr. Inan Dogan

Dr. Ian Dogan

Co-Founder and Research Director at Insider Monkey

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We alerted our subscribers, and BTI returned 90% in just 16 months.

Now if you had invested just $10,000 in BTI in June 2024, you’d be sitting on $19,000 in October 2025.

Today, we have identified a nearly identical pattern in a digital-first giant trading at $3.

While the market panics over a surface-level revenue decline, our PhD-led research shows management has actually surgically cut $100 million in waste to focus on high-margin growth.

This pattern is a hallmark of our 16.5% annual return track record. The current opportunity offers a 400% upside potential—dwarfing even our 90% BTI return.

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