{"id":49338,"date":"2026-05-18T11:35:37","date_gmt":"2026-05-18T11:35:37","guid":{"rendered":"https:\/\/quickassetsmarket.com\/index.php\/2026\/05\/18\/servicenow-stock-flashes-a-death-cross-amid-rising-saaspocalypse-concerns-2\/"},"modified":"2026-05-18T11:35:37","modified_gmt":"2026-05-18T11:35:37","slug":"servicenow-stock-flashes-a-death-cross-amid-rising-saaspocalypse-concerns-2","status":"publish","type":"post","link":"https:\/\/quickassetsmarket.com\/index.php\/2026\/05\/18\/servicenow-stock-flashes-a-death-cross-amid-rising-saaspocalypse-concerns-2\/","title":{"rendered":"ServiceNow stock flashes a death cross amid rising SaaSpocalypse concerns"},"content":{"rendered":"
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ServiceNow stock price has tumbled in the past few months, erasing billions of dollars in value as the market capitalization has dropped from $233 billion to $98 billion. NOW has tumbled amid the rising concerns that artificial intelligence tools will disrupt its business model. So, is it safe to buy the dip or sell the rip?<\/p>\n

Why ServiceNow stock has plunged this year<\/h2>\n

ServiceNow and most software companies like Adobe, Intuit, and Atlassian have all plunged in the past few months amid concerns that the SaaSpocalypse<\/a> is happening. Investors are simply concerned that companies will abandon these services and embrace AI tools made by companies like Anthropic and OpenAI. <\/p>\n

The stock has also plunged amid fears that its revenue growth will slow in the future as this transition continues. At the same time, the company is simply going through a valuation reset, as its price-to-earnings ratio was at an elevated level a few years ago.<\/p>\n

Most importantly, the company has executed several acquisitions in the past few months. It spent $7.75 billion acquiring Armis<\/a>, a company integrating artificial intelligence tools. It also acquired Moveworks in a $2.85 billion deal. In most cases, investors tend to question whenever a company is focusing on growth through acquisitions.<\/p>\n

Wall Street analysts have continued to slash their estimates for the stock. The average estimate among analysts is $144. While this is much higher than the current $95, it is significantly lower than $212 12 months ago.<\/p>\n

ServiceNow\u2019s growth is continuing<\/h2>\n

The most recent results showed that ServiceNow\u2019s business is doing well this year, with its revenue continuing. Data showed that its total revenue jumped by 22% in Q1 to over $3.77 billion.<\/p>\n

Similarly, its remaining performance obligations (RPO) rose by 25% to over $27.7 billion. Analysts now expect its business will continue to grow in the near term, with the average revenue coming in at $3.93 billion, up by 22% YoY. In most cases, the company tends to do better than estimates. <\/p>\n

The company\u2019s earnings-per-share (EPS) is also expected to continue growing, moving from 82 cents to 86 cents. Bernstein\u2019s Peter Weed has a target of $236, while Barclays hiked from $132.<\/p>\n

ServiceNow stock price technical analysis<\/h2>\n
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NOW stock chart | Source: TradingView<\/em><\/p>\n

The weekly chart shows that the NOW stock has crashed in the past few months, moving from a high of $240 in January 2025 to the current $95.07. It formed a death cross as the 50-week and 200-week moving averages crossed each other. This cross happened on April 24.<\/p>\n

The stock has moved below the 78.6% Fibonacci Retracement level. It has formed a bearish flag pattern, a common continuation sign in technical analysis. This pattern is made up of a vertical line and a horizontal channel.<\/p>\n

Therefore, the stock will likely remain under pressure in the near future, with the next key target to watch being at $81.36, its lowest point this year. In the future, however, the stock will likely bounce back, potentially to the key resistance at $110. <\/p>\n

The post ServiceNow stock flashes a death cross amid rising SaaSpocalypse concerns<\/a> appeared first on Invezz<\/a><\/p>\n

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ServiceNow stock price has tumbled in the past few months, erasing billions of dollars in value as the market capitalization has dropped from $233 billion to $98 billion. NOW has tumbled amid the rising concerns that artificial intelligence tools will disrupt its business model. So, is it safe to buy the dip or sell the <\/p>\n","protected":false},"author":1,"featured_media":49339,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[],"class_list":{"0":"post-49338","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-investing"},"_links":{"self":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/posts\/49338","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/comments?post=49338"}],"version-history":[{"count":0,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/posts\/49338\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/media\/49339"}],"wp:attachment":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/media?parent=49338"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/categories?post=49338"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/tags?post=49338"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}