2Q26 Earnings Recap: Solid Print Looks Great in Context

研报英文原文证据摘录

2Q26 Earnings Recap: Solid Print Looks Great in Context

Equity Research

U.S. Software

23 July 2026

ServiceNow, Inc.

2Q26 Earnings Recap: Solid Print

Looks Great in Context

We see NOW moving higher post Q2. Concerns were elevated NOW OVERWEIGHT

entering the print following AI-related buying cycle Unchanged

disruptions seen at IBM/Pega. This does not seem to be the U.S. Software UnchangedPOSITIVE

case for NOW given the solid bookings and product traction. Price Target USD 134.00

2H guidance also seems prudent and hence the excitement Unchanged

can continue. Price (21-Jul-26) USD 102.06 Potential Upside/Downside +31.3%

Source: Bloomberg, Barclays Research

We see Q2 results as an important test for ServiceNow shares amidst heightened uncertainty

around software spending following the weaker than expected results from IBM and Market Cap (USD mn) 105223

Pegasystems that both noted sales cycle disruptions from changes in the AI market. Here, we Shares Outstanding (mn) 1031.00

believe the company passed with an overall solid quarter highlighted by an above average Free Float (%) 99.84

200bps cRPO beat (cc) in Q2 and better than expected Q3 cRPO guidance (20% vs. 19.5%). P&L 52 Wk Avg Daily Volume (mn) 16.5

results were also healthy with beats across the board that saw optical benefit from some on- Dividend Yield (%) N/A

prem deals that were pulled into the quarter. Further comforting data points came around the Return on Equity TTM (%) 16.07

1) continued progress on NOW's AI offerings (AI now over $1bn of ACV in Q2, vs. >$750mn in Q1 Current BVPS (USD) 11.37

and >$600mn in Q4), 2) positive management commentary around NOW's growing security Source: Bloomberg

business - given raised security concerns from AI were part of the issues called out by IBM that