ServiceNow stock emerged after the software maker reported earnings and earnings that topped Wall Street’s fourth-quarter estimates. The 2022 stock earnings guide of NOW is narrowed by views.
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Santa Clara, Calif- based Service Today (NOW) reported fourth-quarter earnings after the market closed on Wednesday.
ServiceNow’s earnings climbed 25% from a year before it was $ 1.46 on an adjusted share. ServiceNow said revenue climbed 29% to $ 1.61 billion.
A year earlier, ServiceNow had earned $ 1.17 per share in sales of $ 1.25 billion. Analysts expect ServiceNow to report revenues of $ 1.43 per share on revenue of $ 1.6 billion for the period, which ended Dec. 31.
In addition, ServiceNow said subscription revenue increased 29% to $ 1.523 billion, exceeding estimates of $ 1.520 billion.
ServiceNow Stock: Revenue on Outlook Edges According to Insights
ServiceNow stock fell 8.5% to 525.66 in extended trading on the stock market today. Towards the earnings report, the NOW stock retreated 25% in 2022.
The software sector was hit hard in early 2022. The iShares Expanded Tech-Software ETF (IGV) has contracted 15% this year.
The enterprise software maker said it expects 2022 subscription revenue in the range of $ 7.02 billion to $ 7.04 billion. Analysts predicted subscription revenue of $ 7.015 billion, with an operating margin of 24.7%.
The company’s software monitors and manages the services provided by information-technology departments. Its self-service tech portal allows company employees to access administrative and workflow tools.
In addition, ServiceNow has expanded from its core business to software for human resources, customer service management and security.
Follow Reinhardt Krause on Twitter @reinhardtk_tech for updates on 5G wireless, artificial intelligence, cybersecurity and cloud computing.
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