Why ServiceNow Stock Skyrocketed 41% in May
2026-06-03 09:03:47 ET
ServiceNow (NYSE: NOW) stock soared 41% higher in May, according to data provided by S&P Global Market Intelligence . It had plunged due to worries about software-as-a-service (SaaS) stocks , but the market is feeling reassured about ServiceNow's future. That was helped by a thumbs-up from a Wall Street analyst.
It's been a terrible year for SaaS stocks as customers move toward agentic artificial intelligence (AI). Many of the services that SaaS companies provide can be performed by AI agents, pushing some of them toward becoming obsolete. At the very least, AI can speed up some of the processes, so even if clients hang on, they might need smaller packages.
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