ServiceNow (NYSE: NOW) Stock: AI Adoption Drives Analyst Price-Target Hikes

• Bernstein raised its price target for ServiceNow (NYSE: NOW) to $266 from $248, citing growing adoption of the company's AI-native products.
• ServiceNow targets more than $30 billion in annual subscription revenue by 2030, with AI expected to become an important growth driver.
• TD Cowen also raised its target to $165, citing customer upgrades, security products, cross-selling opportunities and U.S. federal demand.

ServiceNow (NYSE: NOW) provides cloud-based software that helps businesses manage workflows, data and approvals. The company is increasingly integrating AI agents into its platform.

Bernstein raised its ServiceNow price target to a Street-high $266 from $248 and maintained an Outperform rating. The firm cited growing adoption of ServiceNow's AI-native products, including adoption by approximately 50% of customers during renewal cycles. At the cited share price of $145.36, the new target implies potential upside of approximately 83%.

ServiceNow aims to generate more than $30 billion in annual subscription revenue by 2030. Its Now Assist product line entered 2026 with more than $750 million in annual contract value, and the company expects AI products to account for more than 30% of total annual contract value by 2030.

TD Cowen raised its ServiceNow price target to $165 from $140 and maintained a Buy rating. Analyst Derrick Wood cited customer upgrades, ServiceNow's security position, cross-selling opportunities and demand from the U.S. federal government as potential growth drivers.

ServiceNow shares closed at $145.36 in the cited market snapshot, gaining $3.39, or 2.39%. The stock's 52-week trading range was $81.24 to $192.97, while the company's market capitalization was approximately $150.3 billion. These figures should be weighed against ServiceNow's growth expectations, elevated valuation and the risk that enterprise AI adoption develops more slowly than anticipated.