Core Insights - NowVertical Group Inc. is participating in the 37th Annual ROTH Conference, highlighting its strong market position in data and AI solutions [1][2] - The conference will take place from March 16-18, 2025, in Dana Point, CA, and will feature various growth sectors, providing a platform for engagement with institutional investors [2][3] - NowVertical offers a comprehensive suite of AI and data analytics solutions, enabling clients to transform data into business value and improve operational efficiency [4] Company Overview - NowVertical is a global data and analytics company focused on helping clients leverage data for measurable business outcomes [4] - The company is growing both organically and through strategic acquisitions, emphasizing its commitment to enhancing client decision-making and long-term value [4]

Core Viewpoint - ServiceNow announced the acquisition of Quality 360, a solution aimed at the manufacturing industry, which positively impacted its stock performance, increasing by over 2% [1][2]. Group 1: Acquisition Details - ServiceNow acquired Quality 360 from Advania, a Sweden-based IT services provider, although the financial terms of the deal were not disclosed [2][5]. - Quality 360 is designed to empower manufacturers with proactive, data-driven insights to address quality issues, thereby minimizing operational costs and reputational risks [3][4]. Group 2: Strategic Implications - The integration of Quality 360 into ServiceNow's platform is expected to provide manufacturers with AI-driven insights and automation, enhancing operational efficiency and customer trust [4][5]. - The acquisition is seen as a strategic win for ServiceNow due to the compatibility of Quality 360 with its existing solutions and the potential for a lucrative user base in the manufacturing sector [5].

Core Settlement Overview - NowVertical Group Inc. has settled historical obligations totaling CAD$3.025 million through the issuance of 9,168,418 Class A subordinate voting shares at a deemed price of $0.33 per share [1] - The settlement includes US$1,250,000 (CAD$1,792,875) to former owners of CoreBI S.A. and CoreBI S.A.S, with a lock-up period of 36 months for the shares issued [2] - An additional US$815,000 (CAD$1,172,703.50) was settled with former owners of Acrotrend Solutions Ltd., including key executives of NowVertical [3] Additional Settlements - The company issued CAD$60,000 worth of shares to Andre Garber, the Chief Development Officer, to settle an outstanding debt of US$151,200 related to a 2021 cash bonus [4] - Both Acrotrend Vendors and Andre Garber are subject to a 12-month lock-up period for the shares issued [5] Ownership Changes - Following the debt settlement transactions, Sandeep Mendiratta's ownership of subordinate voting shares will increase from approximately 10.3% to 11.8% [6][7] - The acquisition of shares by Mendiratta was completed for investment purposes in connection with the debt settlement [7] Regulatory Compliance - The press release is issued in compliance with National Instrument 62-104, requiring an early warning report to be filed [8] - The company aims to enhance cash flow flexibility and align management interests with shareholder value through these transactions [9] Company Profile - NowVertical Group Inc. is a global data and analytics company focused on transforming data into business value using AI [10]

Core Insights - Advance Solutions collaborates with ServiceNow.org for the 2025 Partnership for Good Grant initiative, providing up to $2 million in technology donations and consulting services to four nonprofit organizations [1][2][4] Group 1: Partnership and Grant Details - The Partnership for Good Grant aims to help nonprofits streamline operations and maximize resources, offering each recipient a ServiceNow instance, software, licenses, and services valued at up to $250,000 over three years, along with 1,200 expert resource hours and a $100,000 monetary grant [2][4] - Advance Solutions leads the Disaster and Community Support Grant, focusing on supporting underserved communities and enhancing disaster response efforts [4][5] Group 2: Company Commitment and Expertise - Advance Solutions is dedicated to easing operational burdens for nonprofits, allowing them to focus on their core missions of helping those in need [5] - The company is recognized as a ServiceNow Elite Partner, with over 1,000 successful implementations and a client base that includes more than 25% of Fortune 100 companies [7][8] Group 3: Technology and Impact - By combining technology with nonprofit expertise, Advance Solutions and ServiceNow.org aim to empower nonprofits to scale their impact and create lasting change [5][10] - Advance Solutions specializes in custom workflow applications tailored to nonprofit needs, enhancing efficiency, security, and service delivery [10]

Core Insights - Sopra Steria has been recognized as one of Europe's top suppliers of ServiceNow-related services, achieving a 'Best-in-Class' overall rating in 2024, being one of only five providers to receive this distinction [1][6] - The PAC INNOVATION RADAR evaluated 20 different providers based on their portfolio, vision, strategy, and client engagements, highlighting Sopra Steria's strengths and capabilities [1][2] Company Strengths - Sopra Steria has demonstrated significant strengths in ServiceNow services, particularly in the public sector, showcasing its overall capability in this area [2][3] - The company maintains a strong focus on the European market, leveraging its expertise in IT services, digital transformation, and consulting across various industries, including public sector, financial services, and healthcare [3][4] ServiceNow Capabilities - PAC highlighted Sopra Steria's ability to extend ServiceNow capabilities beyond traditional IT service management (ITSM) to include customer service, HR service delivery, and risk management [4][6] - The company's deep understanding of regulatory environments and established relationships with governmental bodies enhance its position as a trusted partner for ServiceNow implementations across Europe [4][5] Regional Approach - Sopra Steria's pan-European approach facilitates the transfer of best practices between countries, fostering a robust knowledge-sharing ecosystem that enhances its ServiceNow capabilities [5] - With offices and innovation centers in regions such as France, the UK, Spain, and the Nordics, the company provides local support and understands market-specific challenges, enabling effective responses to regulatory and cultural factors affecting digital transformation initiatives [5][6]

Core Viewpoint - ServiceNow's shares have declined 10.7% following the release of its fourth-quarter 2024 earnings, despite beating revenue and earnings estimates, primarily due to a modest subscription revenue growth projection for 2025 [1][2]. Revenue and Earnings Summary - For 2024, ServiceNow reported subscription revenues of $10.639 billion, reflecting a 22.5% increase from 2023 [2]. - The 2025 subscription revenue growth is projected to be between 19.5% and 20% at constant currency, with total expected revenues of $12.635-$12.675 billion, indicating an 18.5% to 19% rise from 2024 on a GAAP basis [3][4]. - The Zacks Consensus Estimate for 2025 revenues is $13.07 billion, suggesting an 18.96% growth over 2024 [15]. Customer and Market Position - As of the end of Q4 2024, ServiceNow had 2,109 customers with over $1 million in annual contract value (ACV), marking a 14% year-over-year growth [8]. - The company closed 170 deals greater than $1 million in net new ACV, with 19 deals exceeding $5 million [8]. AI and Technology Integration - ServiceNow is leveraging AI and machine learning to enhance its solutions, with Pro Plus AI growing 150% sequentially [9]. - The collaboration with major partners like Amazon, Microsoft, and NVIDIA is expected to bolster ServiceNow's market share and enhance its GenAI capabilities [10][11][12]. Stock Performance and Valuation - ServiceNow shares have returned 30.1% over the past 12 months, outperforming the Zacks Computer & Technology sector and the Computers – IT Services industry [6]. - The stock is currently considered overvalued, with a forward 12-month Price/Sales ratio of 15.8X, higher than its median of 14.03X and the industry's 11.24X [16]. Future Outlook - The company's strategy to accelerate the adoption of its Agentic AI may negatively impact subscription revenue growth in 2025 [4]. - Despite the challenges posed by unfavorable forex and a tough macroeconomic environment, ServiceNow's strong GenAI portfolio and partner base are expected to drive client growth and subscription revenues [22].

Group 1 - The article discusses the role of a Wealth Management Advisor and Portfolio Analyst, emphasizing the use of financial, technical, and macroeconomic analysis to support clients and develop investment theses [1] - It highlights the importance of identifying both short-term trends and long-term opportunities in the investment landscape [1] - The advisor aims to find winning investments to grow portfolios while mitigating risks through various valuation methods and modeling techniques [1] Group 2 - The content is presented as informational and does not constitute financial advice or recommendations for specific investments [3] - There is a disclosure indicating that the author has no current positions in the mentioned companies but may initiate a long position in the near future [2] - The article emphasizes the necessity for readers to conduct their own research and consult with qualified financial professionals before making investment decisions [3]

Company Overview - ServiceNow (NYSE: NOW) is leading innovation in the enterprise software sector, focusing on AI-driven solutions for workflow automation and cost efficiency [1]. Industry Insights - The demand for improved workflow automation and cost efficiencies is driving the growth of AI offerings in enterprise software, with orchestration and automation of advanced agents being key components [1].

Core Insights - NowVertical Group Inc. has successfully negotiated a deferral of USD $998,000 in outstanding liabilities with the sellers of Affinio Inc., demonstrating confidence in its strategic direction [1][2] - The deferral allows NowVertical to focus on its organic growth initiatives, aiming for a revenue run rate of USD $50 million and a 20% EBITDA margin [2] Company Overview - NowVertical is a global data and analytics company that transforms data into business value using AI, offering a comprehensive suite of solutions and services [3] - The company is focused on organic growth and strategic acquisitions to enhance its market position and drive measurable outcomes for clients [3]

Investment Rating - The report maintains a "BUY" rating for ServiceNow, indicating a potential return of over 15% over the next 12 months [18]. Core Insights - ServiceNow reported 4Q24 results with total revenue increasing by 21% YoY to US$2.96 billion, and non-GAAP operating profit growing by 22% YoY to US$872 million, both in line with consensus estimates [1]. - For FY25, management guides subscription revenue to increase by 19.5-20% YoY on a constant currency basis, slightly below the consensus estimate of 20.5% YoY [1]. - The target price has been raised to US$1,220 based on a 55x FY25E EV/EBITDA, up from a previous target of US$1,075 at 48x FY25 EV/EBITDA [1][11]. Financial Performance - FY24 total revenue was up by 22% YoY to US$10.98 billion, with non-GAAP operating profit margin (OPM) increasing by 1.9 percentage points YoY to 29.6% [1]. - The adjusted net profit for FY24 was US$2.90 billion, reflecting a YoY growth of 31% [2]. - The forecast for FY25E total revenue is US$13.04 billion, with a projected YoY growth of 21.1% [2]. Market Position and Growth Drivers - ServiceNow is expected to benefit from growing enterprise demand for digitalization and agentic AI, with significant growth in large deals [1]. - The number of customers generating over US$1 million and US$20 million in annual contract value grew by 12% and 35% YoY, respectively, in 4Q24 [8]. - Management reported a 150% QoQ growth in Now Assist deals, indicating strong momentum in AI adoption [8]. Valuation Metrics - The current market capitalization of ServiceNow is approximately US$211.82 billion [3]. - The stock is currently trading at a price of US$1,018.38, with an upside potential of 19.8% to the target price of US$1,220 [3]. - The P/E ratio for FY25E is projected at 120.8x, which is a premium compared to the sector average [2][11].