ServiceNow Set to Report Q2 Earnings: Buy, Sell or Hold the Stock? ServiceNow (NOW) is scheduled to release its second-quarter 2026 financial results on July 22, with analysts projecting revenue of $3.92 billion, representing a 22% increase compared to the same period in 2025. Earnings per share are expected to reach 86 cents, a 4.88% rise from the prior-year quarter. These estimates reflect the company’s continued growth in its AI-native platform, which includes products like Now Assist, AI Control Tower, and Autonomous Workforce. Management has noted that demand for these offerings has exceeded internal forecasts, with Now Assist NNACV surpassing expectations and customers spending over $1 million on the platform. EmployeeWorks, a recent launch, has also driven significant revenue, with multiple seven-figure deals closed shortly after its introduction. The integration of acquired companies such as Moveworks, Armis, and Veza is expected to further boost subscription growth by expanding ServiceNow’s capabilities in AI governance, identity management, and cybersecurity. These acquisitions have also enhanced the company’s AI-powered CRM and CPQ solutions, which are increasingly replacing legacy platforms. Strong traction in sales CRM, with NNACV growing more than fivefold year over year, underscores the demand for workflow automation and AI-enabled customer service. However, the company faces challenges from macroeconomic uncertainty and extended enterprise spending cycles, which may pressure margins. Operating expenses are projected to rise due to integration costs and ongoing investments in product innovation and market expansion. Competition remains a key concern, with rivals like Salesforce, Microsoft, and Oracle intensifying their efforts to embed generative AI into their platforms.#service_now #now #moveworks #armis #veza
