Top 10 AI News Stories For The Weekend

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1. ServiceNow, Inc. (NYSE:NOW)

Number of Hedge Fund Holders: 78

ServiceNow, Inc. (NYSE:NOW) is a cloud-based platform that leverages AI and machine learning to enable enterprises to streamline workflow automation, enhance IT service management, and optimize other enterprise applications. On December 5, Analyst Michael Turrin of Wells Fargo assigned a “Buy” rating on ServiceNow with a price target of $1,250.00. Gina Mastantuono, company CFO, expressed cautious optimism regarding 2025 IT budgets, indicating potential growth beyond 2024. The company is well-suited to provide clients with both revenue-generating and cost-saving solutions.

In particular, ServiceNow’s strong focus on artificial intelligence, predominantly through initiatives such as its early adoption through the Xanadu initiative and the Now Assist platform, puts it on track for future growth. The company’s focus on enhancing customer service through AI and database offerings, including RaptorDB Pro and Knowledge Graph, further emphasizes innovation and efficiency. Lastly, increased operating leverage and ongoing cost efficiencies solidify the buy rating.

While we acknowledge the potential of NOW as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than NOW but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock.

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