ServiceNow (NOW) Surges 4.6%: Is This an Indication of Further Gains?

ServiceNow NOW shares soared 4.6% in the last trading session to close at $928.6. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 9.2% loss over the past four weeks.ServiceNow is benefiting from the rising adoption of workflows by enterprises undergoing digital transformation.This maker of software that automates companies' technology operations is expected to post quarterly earnings of $4.22 per share in its upcoming report, which represents a year-over-year change of +13.4%. Revenues are expected to be $3.35 billion, up 19.9% from the year-ago quarter.While earnings and revenue growth expectations are important in evaluating the potential strength in a stock, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.For ServiceNow, the consensus EPS estimate for the quarter has remained unchanged over the last 30 days. And a stock's price usually doesn't keep moving higher in the absence of any trend in earnings estimate revisions. So, make sure to keep an eye on NOW going forward to see if this recent jump can turn into more strength down the road.The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>ServiceNow is part of the Zacks Computers - IT Services industry. Accenture ACN, another stock in the same industry, closed the last trading session 0.4% lower at $256.17. ACN has returned -6.2% in the past month.Accenture's consensus EPS estimate for the upcoming report has changed +0.2% over the past month to $2.98. Compared to the company's year-ago EPS, this represents a change of +6.8%. Accenture currently boasts a Zacks Rank of #3 (Hold).Zacks Names #1 Semiconductor StockThis under-the-radar company specializes in semiconductor products that titans like NVIDIA don't build. It's uniquely positioned to take advantage of the next growth stage of this market. And it's just beginning to enter the spotlight, which is exactly where you want to be.With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $971 billion by 2028.See This Stock Now for Free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report ServiceNow, Inc. (NOW): Free Stock Analysis Report Accenture PLC (ACN): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks