NOW News
R40 coverage for ServiceNow, Inc. (NOW).
R40 Coverage
Our Own Explainer Says the Rule of 40 Captures Stock Compensation 'Not Perfectly'. Here Is How Imperfectly.
The four companies our Rule of 40 explainer holds up as the metric working properly pay between 14.5% and 21.5% of revenue in stock-based compensation. Subtract it and two of the four fall below 40. Between a third and four fifths of the free cash flow making up the profitability half of those scores is matched, in the same quarter, by stock issued to employees.
ServiceNow Q2 2026: A Beat That Cleared the Real Bar, Not Just the Official One
ServiceNow fell 6.5% before earnings on sector-wide AI anxiety, then rallied 5% after beating every guided metric and crossing $1 billion in AI annual contract value. We unpack why this beat was solid rather than spectacular once measured against what sophisticated investors already expected, and how it differs from April's guidance-cut crash.
ServiceNow Is Down 45% While Beating Every Estimate. The Market Is Scared of the Wrong Thing.
ServiceNow beat on revenue, EPS, and guidance — then lost half its value. The SaaS-is-dead narrative is overblown. Here's why.