Analyst raises price target citing software multiple expansion and easing AI disruption fears for enterprise software.
Bank of America analyst Tal Liani increased ServiceNow’s price target to $150 from $130, maintaining a Buy rating. The adjustment follows the stock reaching the prior $130 target and reflects broader software multiple expansion and reduced concerns over AI disrupting enterprise workflow platforms.
Liani’s revised target stems from sentiment shifts rather than changes in ServiceNow’s fundamentals. Earlier in 2026, fears that AI agents would replace platforms like ServiceNow weighed on valuations, but Q2 2026 results showed AI annual contract value (ACV) exceeding $1 billion, countering those concerns.
The re-rating aligns with improving growth trends among select infrastructure names and a broader market correction of perceived undervaluation in enterprise software.