From Nasdaq: 2024-04-25 12:25:00

ServiceNow reported first-quarter 2024 adjusted earnings of $3.41 per share, beating estimates and increasing 44% year over year. Revenues of $2.60 billion also surpassed expectations, up 24.2% year over year. Subscription revenues and remaining performance obligations saw significant growth. The company had impressive customer growth and key business successes, along with positive industry-wise performance.

In terms of operating details, ServiceNow saw an increase in non-GAAP gross margin year over year and expansion in non-GAAP operating margin. The company’s balance sheet showed growth in cash and cash equivalents and short-term investments, along with cash from operations. The company provided solid guidance for the second quarter and for 2024, with expectations for subscription revenues, operating margins, and free cash flow margin.

ServiceNow has a Zacks Rank #3 (Hold) and has underperformed the Zacks Computer & Technology sector this year. Investors may consider stocks like Pinterest, AMD, and NVIDIA in the broader sector, which have better rankings and performance. Pinterest, AMD, and NVIDIA are set to report their first-quarter results soon. For retirement funding, Zacks Investment Research has released a Special Report featuring 5 dividend stocks for a solid strategy, providing insights not typically found in financial planning.



Read more at Nasdaq: ServiceNow (NOW) Q1 Earnings Beat Estimates, Revenues Up Y/Y