ServiceNow, Inc. (NOW) Releases Q2 Financial Results; Beats Expectations

ServiceNow, Inc. (NYSE:NOW) secures a place on our list of the 12 Best Ethical Companies to Invest in 2025.

ServiceNow, Inc. (NOW) Releases Q2 Financial Results; Beats Expectations

A close-up of a laptop screen displaying a data driven workflow for onboarding new employees.

On July 23, 2025, ServiceNow, Inc. (NYSE:NOW) reported financial results for Q2, beating guidance across all areas. The company reported subscription revenues of $3.11 billion, a 22.5% YoY growth, while its total revenues reached $3.22 billion, increasing at a similar growth rate. Furthermore, its remaining performance obligations reached $10.92 billion, an increase of 24.5%. Meanwhile, its customer base expanded with a 30% increase in customers, generating $20 million in annual contract value (ACV). It reported EPS of $4.09, beating expectations by 14.63%.

Looking ahead, analysts remain positive following the company’s strong quarter. On the same day as the earnings release, Jefferies increased its price target on ServiceNow, Inc. (NYSE:NOW) from $1,025 to $1,150, maintaining a ‘Buy’ rating. Stifel also increased its target to $1,200 on the same day.

With its Now platform, ServiceNow, Inc. (NYSE:NOW) offers a cloud-based solution for digital workflows globally. It is one of the best ESG stocks.

While we acknowledge the potential of NOW to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than NOW and that has 100x upside potential, check out our report about this cheapest AI stock.

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Disclosure: None.