Why Is ServiceNow Stock Surging On Friday?

ServiceNow Inc. (NYSE: NOW ) stock is moving higher on Friday after the software company reported second-quarter financial results that beat analyst estimates and raised its full-year subscription revenue guidance.

The Nasdaq is down 0.80% while the S&P 500 has gained 0.23%.

On Wednesday, ServiceNow reported quarterly earnings of 90 cents per stock unit, beating the consensus estimate of 85 cents.

Revenue reached $3.99 billion, topping expectations of $3.93 billion.

Subscription revenue grew 24.5% year-over-year to $3.88 billion, while current remaining performance obligations (cRPO) increased 21.5% in constant currency.

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The company also increased full-year subscription revenue growth guidance to 21% and, according to McDermott, aims to sustain a “Rule of 60” by 2030.

Analyst Highlights On AI Momentum JPMorgan analyst Samik Chatterjee reiterated an Overweight rating and raised the price forecast from $145 to $150, citing AI momentum.

BofA Securities analyst Tal Liani maintained a Buy rating with a $130 price forecast, noting AI annual contract value surpassed $1 billion.

Meanwhile, Bernstein maintained an Outperform rating and raised its price forecast to $248 and BMO Capital maintained an Outperform rating with a $118 price forecast.

Trading action coincided with additional research notes published on Friday.

Macquarie maintained a Neutral rating and raised its price forecast to $110.

UBS maintained a Neutral rating while adjusting its price forecast down to $110.

Technical Analysis Even after Friday’s pop, the longer-term trend is still pressured: the stock is trading 6.8% below its 20-day SMA ($103.56), 7.3% below its 50-day SMA ($104.07), and 23.8% below its 200-day SMA ($126.69).

That stack of moving averages overhead means rallies can run into supply quickly unless price can start reclaiming the $100–$105 area.

Zooming out, the death cross that formed in August 2025 (50-day SMA falling below the 200-day SMA) still frames this as a sell-rallies-until-proven-otherwise chart for many longer-term trend traders.

Key Resistance: $114 Key Support: $89.50 NOW Stock Price Activity: ServiceNow shares were up 6% at $97.53 at the time of publication on Friday, according to Pro data.

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