ServiceNow Seen Facing Pressure if Government Budgets Decline -- Market Talk

Dow Jones12-16 02:29

1329 ET - ServiceNow's federal business could come under pressure from lower government budgets in the coming years, KeyBanc Capital Markets analysts say in a note. Even though the Department of Government Efficiency didn't end up having as much of an effect on federal spending as feared, budgets could still get pushed down in the coming year or years due to a more hawkish stance, weighing on existing or new contracts for software vendors like ServiceNow, the analysts say. "Even in the absence of a frontal attack on the federal bureaucracy like we saw 10-12 months ago, the winds of federal spending are still likely moving against vendors," they say. (kelly.cloonan@wsj.com)

(END) Dow Jones Newswires

December 15, 2025 13:29 ET (18:29 GMT)

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