NOW 2Q26 Earnings - You Odyssey This Growth!

研报英文原文证据摘录

NOW 2Q26 Earnings - You Odyssey This Growth!

Enterprise Software

Enterprise Software - Market Overweight

SERVICENOW, INC. (NOW) July 22, 2026

NOW 2Q26 Earnings - You Odyssey This Growth! Rating:

Outperform

The Wolfe Byte Price: $95.46

NOW reported a strong 2Q26 with beats across all key metrics, with cRPO +21.5% Price Target:

CC (~200bps beat) and Security/AI pull customer demand and shortening sales $140

cycles. The modest FY raise reflects prudence, not weakness. Reiterate OP, PT to Prior: $125

% Upside:

$140. 46.7%

View NOW Model

Key Thoughts. With some co's flagging AI budget cannibalization and elongating View Comp Table

cycles, NOW did the opposite posting larger beats with better margins. Security Company Information

was the calls loudest message, with NOWs cyber franchise eclipsing $1B+ 52-Week Range $83 - $199

growing faster than anyone else, with Mythos actively pulling deals forward and Market Cap. (MM) $98,449

Enterprise Value (MM) $96,508

compressing sales cycles, Armis + Veza + AI Control Tower landing in 16/20 top Shares Out. (MM) 1,031.3

deals (Armis alone ~10% of the cRPO beat ahead of plan), with the CISO becoming Avg. Value Traded (MM) $1,961.90

NOW's 2nd-largest buying center. cRPO +21.5% CC ($13.2B), beat by 200bps (vs. SI% of Float 6.1% EV/ Revenue 6.3x

60bps LQ), CC subs revs of $3.877B (+23%), 150bps beat (vs.50bps LQ) and op EV/ FCF 17.5x

margin of 29.5% beat by ~300bps. The cRPO beat was solid, with ~half coming from

early renewals and half from NNACV outperformance, with management stressing 220

that customers are pulling forward to ADD AI functionality and/or lean into security/ 200

risk, rather than pricing changes. The 150bps revenue beat was split om 50bps from 180160

NNACV and 100bps of higher on-prem mix from strong U.S.