ServiceNow, Inc. (NYSE:NOW) is considered one of the best tech stocks for long-term investment due to its strong revenue growth of 21% and profit margins of 78.5%. Truist Securities reaffirmed a ‘Buy’ rating with a $1,200 price target on September 8.

The research firm asserts that ServiceNow’s seat-based growth model is not threatened by increased adoption of AI. The company has adjusted its internal hiring processes to leverage AI efficiencies, maintaining customer seat counts.

ServiceNow collaborates with the US General Services Administration and SENAI-SP in Brazil to promote AI-driven modernization and AI skills training programs. The company’s AI-powered platform enhances operational efficiency and workflow automation across various departments.

While ServiceNow shows promise as an investment, other AI stocks may offer greater upside potential with less downside risk. Those seeking undervalued AI stocks can explore opportunities in our free report on the best short-term AI stock.

Disclosure: None. Original article published on Insider Monkey.

Read more at Yahoo Finance: Truist Securities Asserts ‘Buy’ Rating on ServiceNow Inc. (NOW), Downplays Seat-Based Growth Concerns