Here's Why ServiceNow (NOW) is a Strong Growth Stock

Taking full advantage of the stock market and investing with confidence are common goals for new and old investors alike.

While you may have an investing style you rely on, finding great stocks is made easier with the Zacks Style Scores. These are complementary indicators that rate stocks based on value, growth, and/or momentum characteristics.

Why This 1 Growth Stock Should Be On Your Watchlist

Growth investors build their portfolios around companies that are financially strong and have a bright future, and the Growth Style Score helps take projected and historical earnings, sales, and cash flow into account to uncover stocks that will see long-term, sustainable growth.

ServiceNow (NOW)

Santa Clara, CA-based ServiceNow Inc. provides cloud computing services that automate digital workflows to accelerate enterprise IT operations. The company’s Now Platform enables enterprises to enhance productivity by streamlining system processes.

NOW is a Zacks Rank #2 (Buy) stock, with a Growth Style Score of A and VGM Score of B. Earnings are expected to grow 25.4% year-over-year for the current fiscal year, with sales growth of 21.3%.

11 analysts revised their earnings estimate upwards in the last 60 days for fiscal 2024. The Zacks Consensus Estimate has increased $0.25 to $13.52 per share. NOW boasts an average earnings surprise of 12.7%.

ServiceNow is also cash rich. The company has generated cash flow growth of 33.5%, and is expected to report cash flow expansion of 33% in 2024.

NOW should be on investors' short lists because of its impressive growth fundamentals, a good Zacks Rank, and strong Growth and VGM Style Scores.

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ServiceNow, Inc. (NOW) : Free Stock Analysis Report

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