Jim Cramer on ServiceNow: “It’s Expensive, That’s the Problem”

Jim Cramer on ServiceNow: “It’s Expensive, That’s the Problem” Syeda Seirut Javed Wed, June 10, 2026 at 5:38 PM GMT+2 2 min read NOW ServiceNow, Inc. (NYSE: NOW ) was among the stocks Jim Cramer discussed during Mad Money, as he highlighted a difficult backdrop for stocks . When a caller inquired about the stock during the episode, Cramer said: Okay, well, look, it’s expensive, that’s the problem.

And it’s one of these companies that has a lot of software as a service, but it’s been pivoting rather rapidly. I’ve been watching this, the stock, and I have mixed feelings about it. But of the stocks that are in the enterprise software business, I think it’s better than most.

Is that a lukewarm endorsement? I guess so, but then again, I’m not that bullish to begin with. ServiceNow, Inc.

(NYSE:NOW) provides a cloud platform that supports digital workflows through AI, automation, low-code tools, analytics, and a suite of IT, security, customer service, and employee experience products. Cramer mentioned the stock during the May 27 episode, as he commented: I think the stock is bottoming. I don’t think that it’s going to have a huge year because I do think that in the end, people want hardware.

But I mean, do I agree that Bill McDermott’s going to do a good job? I think the stock is, again, I mean, there’s upside, but I feel there’s a little bit upside in some of the other softwares, too. But what I really want to be in is hardware because that is what’s moving in this new era of artificial intelligence, accelerated computing and just amazing opportunity.

While we acknowledge the potential of NOW as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock . READ NEXT: 33 Stocks That Should Double in 3 Years and 15 Stocks That Will Make You Rich in 10 Years   Disclosure: None.

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