ServiceNow Launches First-Ever Share Repurchase Program

ServiceNow Inc NOW announced its first-ever share repurchase program yesterday.
The company disclosed the authorization to purchase shares up to $1.5 billion for an unspecified period.
"We are a growth company at heart, and we see a lot of runway ahead to continue investing in innovation to drive strong organic growth in a thoughtful and disciplined manner. Given the current macro environment and our strong cash flow generation, we believe that using a portion of our free cash flow to manage dilution is a strategic use of capital. This program reflects our conviction in the trajectory of our business and our commitment to driving exceptional shareholder value," stated Gina Mastantuono, CFO.
As of March 31, 2023, the company had adjusted free cash flow of $737 million.
Last Month, ServiceNow reported Q1 2023 revenues of $2.10 billion, which marginally exceeded the consensus of $2.08 billion and adjusted EPS of $2.37 surpassed the analyst expectations of $2.04.
Price Action: NOW shares are trading higher by 1.09% at $473.33 premarket on the last check Wednesday.