ServiceNow Stock Tumbles Thursday: What’s going on? – ServiceNow (NYSE: NOW)

ServiceNow Inc. NOW Shares trading lower Thursday after the company reported soft financial results for the fourth quarter. Here’s what you need to know.

• Q4 Revenue: $ 2,957 billion versus estimates of $ 2,961 billion

• Q4 adjusted EPS: $ 3.67 per Stock in line with estimates

Total revenue and subscription income increased by 21% in the year by year. The remaining performance obligations amounted to $ 10.7 billion at the end of the quarter, an increase of 19% year-over-year. ServiceNow said it now has almost 500 customers with more than $ 5 million in annual contract value, which represents growth of 21% over the year.

“AI is burning a top-to-bottom-up-order of the company’s technology landscape. Managers embrace the ServiceNow platform as their AI-Agent Contract Tower to unlock exponential productivity and seamless orchestrate end-to-end-business transformation,” said Bill McDermottChairman and CEO of ServiceNow.

“We are still in the early days of a massive option. Service’s innovation, growth and profitability put us in a class of one.”

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ServiceNow expects subscription revenue from the first quarter of $ 2,995 billion to $ 3 billion. The company expects a full -year subscription revenue of $ 12,635 billion to $ 12,675 billion.

Service’s Board of Directors approved further repurchase of shares of up to $ 3 billion. The company had $ 266 million left during its existing repurchase at the end of the quarter.

ServiceNow also announced extended partnerships with Visa, Oracle, Google Cloud and SoftwareOne.

Following the company’s quarterly results, Needham Analyst Mike Cikos ServiceNow maintained a purchase and raised the price target from $ 1,150 to $ 1,200. JMP Securities -Inalyst Patrick Walravens repeated a market competition -rating and maintained a price target of $ 1,300.

Now Price Action: ServiceNow shares dropped 11.4% of $ 1,013.95 at the time of publication Thursday, according to Benzinga Pro.

Photo: Shutterstock.