Why BHF and NOW are Among Today’s Winners

Life insurance firm Brighthouse Financial (BHF) and software maker ServiceNow (NOW) are climbing 15% and 5%, respectively, today.

According to a report, BHF is looking to sell itself. Meanwhile, NOW rose in response to one of its large peers reporting higher-than-expected fourth-quarter revenue.

A technician in a lab coat operating a simulation software for a project lifecycle.

BHF Is Reportedly Seeking To Be Acquired

BHF, which sells life insurance and offers annuities, is looking to be bought, The Financial Times reported today. “Some of the most prominent private capital managers” are reportedly interested in bidding for the firm. What’s more, BNF has already hired Goldman Sachs (GS) and Wells Fargo (WFC) to work on a potential deal, the publication noted, adding that an acquisition may still not wind up taking place.

NOW Rises After SAP’s Top-Line Beat

Germany-based SAP (SAP), which, like NOW, markets software for companies, reported higher-than-expected fourth-quarter revenue today. Specifically, it generated Q4 revenue of 9.38 billion euros, versus analysts’ average estimate of 9.14 billion euros. The company’s top line jumped 27% versus the same period a year earlier to €4.71 billion.

On a negative note, SAP reported Q4 earnings per share of 1.40 euros, below analysts’ average outlook of 1.45 euros.

NOW has surged 12% in the last month and 25% in the last three months.

While we acknowledge the potential of NOW, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. 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.

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Disclosure: None. This article is originally published at Insider Monkey.