ServiceNow shares sank 24% on Thursday and headed for the worst day ever after the enterprise software company's third-quarter results underwhelmed, reigniting artificial intelligence disruption concerns. "This was a little bit uncharacteristic for ServiceNow standards, just in terms of the lack of upside," Citi's Tyler Radke told CNBC on Thursday. Revenue grew more than 20% during the period to $4.11 billion, which was roughly in line with a $4.10 billion estimate from analysts polled by LSEG. Adjusted earnings came up short at $1.00 per share, compared to a forecast of $1.02. The results did little to overturn recent "SaaSpocalypse" fears, or concerns that new AI capabilities will upend traditional software business models.
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