Columbia Threadneedle Investments, an investment management company, released its first-quarter 2026 investor letter for the “Columbia Global Technology Growth Fund”. A copy of the letter is available to download here. In Q1 2026, the Fund’s institutional Class shares fell –6.05%, outperforming the S&P Global 1200 Information Technology Index, which declined –6.57%. Positive performance was mainly due to security selection in semiconductor and AI infrastructure companies, along with an underweight position in software and IT services. Broad markets declined amid a reversal in market dynamics, with energy and commodities surging while growth and tech fell sharply. The letter highlighted that, despite geopolitical risks and uncertainty, the U.S. economy continues to show resilience. In addition, you can check the Fund’s top 5 holdings for its best picks for 2026.
In its first-quarter 2026 investor letter, Columbia Global Technology Growth Fund highlighted ServiceNow, Inc. (NYSE:NOW). ServiceNow, Inc. (NYSE:NOW) is a cloud-based software company that provides a platform for automating and managing digital workflows. On June 15, 2026, ServiceNow, Inc. (NYSE:NOW) closed at $104.15 per share. One-month return of ServiceNow, Inc. (NYSE:NOW) was 2.28%, and its shares lost 48.18% over the past 52 weeks. ServiceNow, Inc. (NYSE:NOW) has a market capitalization of $107.41 billion.
Columbia Global Technology Growth Fund stated the following regarding ServiceNow, Inc. (NYSE:NOW) in its Q1 2026 investor letter:
“ServiceNow, Inc. (NYSE:NOW) shares declined over 30% during the quarter, as the company became a high-profile victim of the broader repricing of SaaS business models amid growing adoption of AI-native solutions. The sell-off reflected investor concerns that the company’s traditional per-seat licensing model faces structural headwinds as enterprises increasingly adopt hyperscale-based AI offerings. Despite the stock’s decline, ServiceNow raised its full-year outlook for subscription revenue growth, and the company’s AI platform continued to gain traction in large-enterprise automation deals.”
ServiceNow, Inc. (NYSE:NOW) ranks 25 on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 108 hedge fund portfolios held ServiceNow, Inc. (NYSE:NOW) at the end of the first quarter, compared to 118 in the previous quarter. In the first quarter of 2026, ServiceNow, Inc.’s (NYSE:NOW) subscription revenues increased 19% year-over-year to $3.67 billion. 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 SERVICENOW, INC. (NYSE:NOW) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered ServiceNow, Inc. (NYSE:NOW) and shared billionaire Ken Fisher’s top high-growth stock picks. In addition, please check out our hedge fund investor letters Q1 2026 page for more investor letters from hedge funds and other leading investors.
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Disclosure: None. This article is originally published at Insider Monkey.
