8 High Growth Software Stocks That Are Profitable In 2024

2. ServiceNow Inc. (NYSE:NOW)

TTM Net Income: $1.14 Billion

5-Year Net Income CAGR: 233.07%

5-Year Revenue CAGR: 27.02%

Number of Hedge Fund Holders: 97

ServiceNow Inc. (NYSE:NOW) is an American software company that ranks second on our list of the 8 high-growth software stocks that are profitable in 2024. The company focuses on cloud-based solutions for managing digital workflows across various industries. ServiceNow Inc. (NYSE:NOW) offers a robust platform that uses artificial intelligence and machine learning to automate and enhance business processes. This helps organizations improve efficiency, achieve better outcomes, and drive digital transformation.

The company has established itself as a major player in the enterprise software market through strategic collaborations and investments in innovation. In 2020, it launched an industry solutions strategy aimed at creating customized workflows for industries like banking and telecommunications. ServiceNow Inc. (NYSE:NOW) is collaborating with firms such as Deloitte and Accenture to tackle specific industry challenges and increase market reach.

The company is also expanding its global footprint with plans to introduce a UAE Cloud on Microsoft Azure by mid-2025. This service will support both public and private organizations in the UAE with advanced tools for business transformation. Moreover, ServiceNow has invested in inMorphis to strengthen its presence in India and the ASEAN region.

ServiceNow Inc. (NYSE:NOW) reported impressive financial results for Q2 2024, surpassing its growth expectations. Subscription revenues reached $2.54 billion, a 23% increase year-over-year, while total revenues grew by 22% to $2.62 billion. The company’s remaining performance obligations also rose significantly, indicating a strong pipeline for future revenue.

Over the past five years, ServiceNow Inc. (NYSE:NOW) has achieved an average annual growth rate of 27.02% in revenue and an impressive 233.07% growth in net income. These results reflect the strong demand for its services and the company’s ability to capitalize on market opportunities, positioning it well for continued success in the future.