ServiceNow price target raised to $630 from $586 at Morgan Stanley

Morgan Stanley analyst Keith Weiss raised the firm’s price target on ServiceNow to $630 from $586 and keeps an Overweight rating on the shares. A “solid” quarter and increased full year guide “likely take a back seat” to the building momentum behind ServiceNow’s GenAI strategy, the analyst tells investors in a post-earnings note. While ServiceNow showed “solid execution in a difficult spending environment,” investor focus likely centers on a “swath of updates” on the company’s Generative AI strategy, the analyst added.