Salesforce vs. ServiceNow: Which AI Software Stock Has the Edge?
- CRM
- NOW
Salesforce CRM and ServiceNow NOW are expanding their businesses with artificial intelligence (AI), automation and autonomous AI agents. Salesforce is using its strong customer relationship management (CRM) business to build a broader AI-powered enterprise platform, while ServiceNow is embedding AI into business workflows and IT service management.
Both companies have attractive long-term growth opportunities as businesses invest in AI. However, differences in revenue growth, AI adoption, earnings estimates and stock valuations make Salesforce the more appealing choice at present.
The Case for Salesforce Stock
Salesforce has long been a leader in CRM software, but it is now looking beyond traditional customer management to drive its next growth phase. The company is building an integrated platform that combines customer data, collaboration tools, enterprise applications and AI-powered automation.
Its acquisitions support this strategy. Slack has strengthened its collaboration capabilities, while Informatica has expanded its data management offerings. Acquisitions such as Doti AI and Spindle AI further support Salesforce’s AI ambitions.
The biggest opportunity lies in converting its large customer base into a growing market for AI products. Early results are encouraging. In the second quarter of fiscal 2027, Agentforce annual recurring revenues (ARR) exceeded $1.5 billion, rising more than 240% year over year. Combined AI and Data ARR, including Agentforce, Data 360 and Informatica Cloud, surged 210% to $3.9 billion.
These figures show that Salesforce’s AI business is gaining traction. However, the company still needs to translate this momentum into faster overall revenue growth. Second-quarter fiscal 2027 revenues rose 11% to $11.3 billion. Although this is solid growth for a company of its size, the gap between AI growth and total revenue growth remains significant.
Non-GAAP earnings per share (EPS) jumped 102.7% to $5.90, but the increase was partly influenced by gains on strategic investments, including Salesforce’s investment in Anthropic. Investors should not interpret the entire EPS increase as evidence of stronger underlying operations.
Salesforce, Inc. Price, Consensus and EPS Surprise
Salesforce, Inc. price-consensus-eps-surprise-chart | Salesforce, Inc. Quote
The Case for ServiceNow Stock
ServiceNow is also making progress in AI-powered automation. Its products help businesses automate IT support, manage incidents and streamline workflows across departments. In the second quarter of 2026, AI annual contract value (ACV) exceeded $1 billion, surpassing management’s expectations. AI net new ACV growth also accelerated by more than 40% sequentially. ServiceNow is progressing toward its goal of generating 30% of ACV from AI by 2030.
