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Why ServiceNow Stock Plunged This Week
The Motley Fool·
ServiceNow stock fell 31% after the company guided for slower fourth-quarter current backlog growth, despite reporting 20.5% revenue growth and raising AI revenue targets. The stock's high P/E ratio of 79 leaves little room for error, and investors are advised to wait for the next earnings report for clarity on whether backlog growth stabilizes.
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