Why ServiceNow Stock Rallied Today

ServiceNow shares jumped Wednesday, rising as much as 8.5% and still up 7% by 1:39 a.m. ET. The move was driven by bullish remarks from BofA analyst Tal Liani, who reiterated a buy rating on NOW and lifted his price target to $150 from $130, implying 26% upside versus Tuesday’s close. Liani pointed to improving sentiment around software stocks as fears of AI disruption ease, with evidence from other infrastructure names suggesting growth is stabilizing. The stock has fallen 33% from its peak but trades at 31 times forward earnings, below its three-year average multiple of 49.