After underperforming in the first half of the year, ServiceNow (NOW) stock has staged a strong recovery, rising 57.4% from its low of $81.24.
The sell-off was driven largely by a broader shift in investor sentiment toward enterprise software stocks. As artificial intelligence (AI) reshapes the software industry, investors have grown concerned that AI-powered agents could disrupt traditional software vendors. These concerns triggered widespread selling across the sector, including ServiceNow.