ServiceNow, Inc. (NYSE:NOW) was one of the Actions on Jim Cramer’s Recent Mad Money Game Plan. Cramer mentioned that he is willing to “stick his neck out” for the company and said:
Alright, there’s been a lot of selling by ServiceNow shareholders. Many former shareholders were concerned that it would now be too… (easy) for Anthropic to alter. Now when you hear that, that’s the kiss of death, you can’t seem to return it. I think we’ll get a very solid number from Bill McDermott this time around. The question is: will it matter? I think the good news will drive the stock higher and won’t be ignored like it has been in recent quarters. But I’m putting my neck on the line because it wasn’t like that.
ServiceNow, Inc. (NYSE:NOW) provides a cloud platform that supports digital workflows through artificial intelligence, automation, low-code tools, analytics and a suite of IT, security, customer service and employee experience products. Cramer broke down why Wall Street has been “ruthless” toward stocks like NOW, as he said:
ServiceNow is finally in the black for today. It has an expanded buyback and the CEO bought a ton of shares at a much higher price. Has been a chronically poor performer; it is still down 42% on the year. It can go higher… Both ServiceNow and Salesforce have some businesses that should be disruptable and others that aren’t. However, if you have any divisions that are disruptive right now, Wall Street is ruthless with your stocks.
While we recognize NOW’s potential as an investment, we believe certain AI stocks offer greater growth potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that’s also benefiting significantly from Trump-era tariffs and the offshoring trend, check out our free report on best short-term AI stock.
READ NEXT: 33 stocks that should double in 3 years and 15 stocks that will make you rich in 10 years
Disclosure: None. Follow Insider Monkey on Google News.