On Wednesday, ServiceNow’s revenue and revenue exceeded Wall Street’s expectations for the third quarter, and the adjusted subscription billing guide met expectations. After the broad market sell-off, ServiceNow shares rose in extended trading.
X
Santa Clara, California Current serviceThe (now) September quarterly earnings report is as follows sapOn Monday (SAP) issued a warning on the impact of the coronavirus on business trends.
ServiceNow adjusted earnings per share increased by 22% from the same period last year to $1.21. ServiceNow revenue increased by 30% to 1.15 billion US dollars.
In the same period last year, ServiceNow earned 99 cents per share on sales of $886 million. Analysts predict that as of September 30, ServiceNow’s earnings per share were $1.03 and revenue was $1.11 billion.
In addition, the software manufacturer said that subscription revenue increased by 31% to $1.09 billion, exceeding market expectations of $1.06 billion.
In after-hours trading today, ServiceNow shares rose 3.9% to near 503. In the regular meeting on Wednesday, technology stocks were widely sold, and the stock price fell 3.1%.
ServiceNow Revenue: Billing guide meets your opinion
The company’s software tracks and manages the services provided by the information technology department. Its self-service technology portal allows company employees to access management and workflow tools.
In addition, ServiceNow has expanded from its core business to human resources, customer service management and security software.
For the current December quarter, ServiceNow predicts subscription revenues between 1.14 billion and 1.15 billion U.S. dollars, while analysts’ expectations are 1.127 billion U.S. dollars.
In addition, ServiceNow said it expects the adjusted subscription account to be between $1.61 billion and $1.63 billion, compared to $1.61 billion expected.
Overpriced services are now in stock
Analysts said that although ServiceNow faces the impact of unhealthy industries such as retail, transportation and hotels, the demand for financial services, healthcare and government agencies has always been a bright spot.
Before entering the earnings report, ServiceNow stock jumped 74% in 2020. The stock is trading at approximately 20 times estimated sales in 2021, the highest valuation in history.
In addition, ServiceNow stock has tested a new purchase point of 501.92.
In addition, ServiceNow shares belong to the IBD rankings, with a relative strength rating of 99 (possibly 99).
Follow Reinhardt Krause on Twitter @reinhardtk_tech Get updates on 5G wireless, artificial intelligence, network security and cloud computing.
You might also like
IBD Live: A new tool for daily stock market analysis
Use IBD stocks of the day to find compelling growth stocks
View breakthrough inventory and technical analysis
The best growth stocks worth buying and watching: see the update of the IBD stock list
Get free IBD leaderboard
#Top #view #ServiceNow #earnings #software #inventory #climbs #market #selloff
More from Source