ServiceNow (NOW) Expands Portfolio With New Product Launch

ServiceNow NOW recently announced the launch of its new Procurement Service Management (PSM) solution to automate simple procurement services and accelerate enterprise operations.

ServiceNow is of the opinion that procurement solutions modernization is a must for every company trying to digitally transform operations and redirect resources toward more strategic activities.

A recent analysis by the company indicates that only half of all requests received by the procurement team are regarding procuring new products or services. As such, ServiceNow has launched PSM solutions to automate lower value tasks so that teams can direct attention to high-priority matters and enhance productivity.

The launch of the recent product will help diversify its product offerings and is in sync with ServiceNow’s plans to bring robotic process automation, which will provide hyper-automation to companies.

ServiceNow, Inc. Price and Consensus

ServiceNow, Inc. price-consensus-chart | ServiceNow, Inc. Quote

ServiceNow’s New PSM Solution to Aid Top Line

NOW platform is the foundation of the company’s cloud-based services. The launch of the PSM solution will enable the NOW platform to cater to a diversified customer base and expand its presence beyond IT.

The company is rapidly expanding into non-ITSM markets like human resources, finance and security solutions by launching new products and services and seamlessly collaborating them on the NOW platform.

The latest offerings are helping ServiceNow to attract new customers to address its customers’ needs.

Also, buyouts have played a crucial part in ServiceNow’s growth trajectory over the years. ServiceNow acquired Gekkobrain in 2021 to strengthen the company’s creator workflows to help organizations identify and understand custom code in the various ERP processes.

ServiceNow’s acquisition of Gekkobrain helped in launching its latest PSM solution that aids enterprises in automating procurement services by utilizing pattern matching and trend analysis and reducing inefficiencies that increase operating expenses. The launch of the new product will help ServiceNow evolve the PSM solution into an end-to-end platform for the finance department in various organizations.

Zacks Rank and Stocks to consider

ServiceNow currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

ServiceNow shares have fallen 30.5% in the year-to-date period, compared with the Zacks Computers - IT Services industry and the Computer and Technology sector’s decline of 30.5% and 28.5%, respectively.

Here are some better-ranked stocks worth considering in the broader Computer and Technology Sector.

Analog Devices ADI currently sports a Zacks Rank #2 (Buy).

ADI’s shares have fallen 6.3% in the year-to-date period compared with the Zacks Semiconductor - Analog and Mixedindustry’s decline of 17.3%.

Avnet AVT flaunts a Zacks Rank #1.

Avnet’s shares have increased 14.7% in the year-to-date period against the Zacks Electronics - Parts Distributionindustry’s decline of 8.2%.

Axcelis Technologies ACLS carries a Zacks Rank #2.

ACLS’ shares have fallen 21.1% in the year-to-date period compared with the Zacks Electronics - Manufacturing Machineryindustry’s decline of 28.4%.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.