ServiceNow ITSM Out-of-the-Box Recommended Actions

Monday, Sep 29, 2025 5:08 am ET2min read

ServiceNow provides out-of-the-box recommended actions for ITSM, including AI Search Recommendation, Assignment Group Classification, and Configuration Item Classification. Other recommended actions include creating known error articles for high-impact problems, creating problem records for major incidents, and suggesting similar open incidents and PRBs with same CI and Service. These actions use predictive intelligence and task intelligence to automate and streamline ITSM processes.

ServiceNow (NYSE: NOW) has been making significant strides in leveraging artificial intelligence (AI) to automate workflows across various enterprise functions, including IT, HR, customer service, and CRM. As of September 2025, the company's subscription revenues hit $3.11 billion, representing a 22.5% year-over-year (YoY) increase ServiceNow’s AI Revolution: Record Growth, Stock Insights & Bold Moves in 2025[1]. This performance has prompted a “beat-and-raise” quarter, underscoring the critical role of ServiceNow's AI platform.

The stock performance of NOW has been mixed. While the stock trades around the mid-$900s with a market cap near $200 billion, it has seen a ~12% year-to-date dip, lagging large-cap software peers that have seen an ~9% increase. Despite this, Wall Street remains bullish, with over 30 analysts covering the stock and an average 12-month price target around $1,100, representing a ~15-20% upside from current levels . Notably, Morgan Stanley upgraded NOW to “Overweight” with a $1,250 target, citing consistent execution and a well-positioned roadmap for generative AI capabilities .

In September 2025, ServiceNow launched its “Zurich” platform release, delivering enhanced enterprise security features, natural language developer tools, and improved support for autonomous AI workflows . This update, alongside new integrations with risk management partner PlexTrac and contact-center leader Genesys, highlights ServiceNow's accelerating AI momentum and broadened adoption across industries .

ServiceNow is also expanding through strategic deals. A landmark “OneGov” agreement with the U.S. General Services Administration (GSA) aims to modernize federal IT, potentially boosting government workflow efficiency by up to 30% . The company has also committed $750 million to invest in Genesys (AI-powered customer experience), partnered with NVIDIA on next-gen AI agents, and became the official workflow partner for Ferrari’s hypercar racing team .

Analysts and executives are bullish on ServiceNow's AI strategy. Over 85% of the Fortune 500 are customers, with high-90% renewal rates, reflecting deep entrenchment in enterprise IT. CEO Bill McDermott stated, "Every business process in every industry is being refactored for agentic AI. ServiceNow has never been more differentiated as a full-stack agentic operating system for the enterprise" . Morgan Stanley agrees that investors may be "missing the forest for the trees," with the firm projecting ~20% annual subscription growth and 20% free cash flow growth through 2027 .

ServiceNow's stock performance and financial analysis show a mix of growth and volatility. As of late September 2025, the stock trades around $940–$950 per share, down ~12% year-to-date . The dip reflects broader market rotation out of high-valuation tech and specific concerns around slower U.S. federal IT spending and generative AI impacts . Despite this, analysts remain overwhelmingly bullish, with 31 out of 34 rating NOW a “Buy” or “Strong Buy” . The consensus price target is ~$1,122, implying ~17% upside from mid-$900s levels .

ServiceNow provides out-of-the-box recommended actions for ITSM, including AI Search Recommendation, Assignment Group Classification, and Configuration Item Classification. These actions use predictive intelligence and task intelligence to automate and streamline ITSM processes . The company's financial momentum from Q2 2025 underpins a lot of the current optimism, with revenue and adjusted EPS ahead of forecasts, and management raising full-year guidance .

ServiceNow ITSM Out-of-the-Box Recommended Actions

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