ServiceNow stock drops after Q3 profit miss and softer Q4 outlook
Published on 10/29/2026 at 17:49 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWSQuartalszahlen erhöhen den Prüfungsdruck
- ServiceNow meldete für das dritte Quartal ein kräftiges Wachstum bei Abonnements und vertraglich gebundenen Leistungen.
- Das Unternehmen hob sein Jahresziel für den KI-Vertragswert erneut an.
- Der Ausblick auf das vierte Quartal setzt den Schwerpunkt auf die weitere Entwicklung des Auftragsbestands.
ServiceNow reported its third-quarter results on October 28, 2026, for the period ended September 30. The company's investor release showed continued operational growth, but the earnings mix and forward outlook left investors demanding clearer evidence that the AI strategy will translate into near-term acceleration.
Growth remains strong, margins draw scrutiny
Subscription revenue reached USD 3.988 billion, up 21 percent year over year, while total revenue rose 20.5 percent to USD 4.106 billion. Current remaining performance obligations increased 20.5 percent to USD 13.65 billion, and total remaining performance obligations reached USD 29.7 billion.
GAAP net income was USD 277 million, or USD 0.27 per diluted share. On a non-GAAP basis, diluted earnings were USD 1.00 per share. The company also reported 19 transactions with more than USD 5 million in net new annual contract value and lifted its 2026 AI annual contract value target to USD 1.7 billion.
Forward indicators set the next test
ServiceNow guided fourth-quarter subscription revenue to USD 4.245 billion to USD 4.255 billion and expects current remaining performance obligations to grow 18.5 percent on a constant-currency basis. For the full year, it raised subscription-revenue guidance to USD 15.780 billion to USD 15.790 billion and lifted its free-cash-flow margin outlook to 36 percent.
CNBC reported that adjusted earnings fell short of the analyst forecast and said the results revived concerns about AI disruption in enterprise software. Reuters likewise described the broader software-sector reaction as a response to elevated investor expectations.
At Lang & Schwarz, ServiceNow traded at EUR 100.78 on October 29, 2026, at 5:03 p.m. Berlin time. That was 27.80 percent below the EUR 139.58 quote recorded in the latest relevant own report on October 27, 2026; this comparison is separate from any Xetra daily performance.
The real-time quote of ServiceNow stock provides the latest trading context, while the results and outlook remain the more important indicators for investors assessing the valuation and AI monetization path.
ServiceNow Inc.
- ISIN: US81762P1021
- WKN: A1JX4P
- Ticker: NOW
- Exchange: NYSE
- Lang & Schwarz quote: EUR 100.78 on October 29, 2026, at 5:03 p.m. Berlin time
- Sector: Technology
- Industry: Software - Application
Market conditions for U.S. technology shares can be followed through the S&P 500 market environment.
