ServiceNow (NYSE:NOW) Price Target Cut to $190.00 by Analysts at DA Davidson

ServiceNow (NYSE:NOW) had its price target trimmed by DA Davidson from $220.00 to $190.00 in a research note published on Thursday,MarketScreener reports. The firm currently has a buy rating on the information technology services provider’s stock.

A number of other brokerages also recently commented on NOW. TD Cowen cut their price objective on shares of ServiceNow from $185.00 to $140.00 and set a “buy” rating for the company in a research report on Thursday, April 16th. UBS Group downgraded shares of ServiceNow from a “buy” rating to a “neutral” rating and cut their price target for the company from $170.00 to $100.00 in a report on Friday, April 10th. Argus upgraded shares of ServiceNow to a “strong-buy” rating in a report on Wednesday, February 4th. Stifel Nicolaus cut their price target on shares of ServiceNow from $180.00 to $135.00 and set a “buy” rating for the company in a report on Thursday, April 2nd. Finally, KeyCorp set a $85.00 price target on shares of ServiceNow and gave the company an “underweight” rating in a report on Thursday. Three investment analysts have rated the stock with a Strong Buy rating, thirty-three have issued a Buy rating, six have given a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat, ServiceNow presently has a consensus rating of “Moderate Buy” and an average price target of $147.68.

ServiceNow Stock Down 17.7%

Shares of ServiceNow stock opened at $84.85 on Thursday. The company has a market cap of $87.92 billion, a P/E ratio of 50.57, a PEG ratio of 1.73 and a beta of 1.01. The company has a debt-to-equity ratio of 0.12, a quick ratio of 1.00 and a current ratio of 1.00. ServiceNow has a one year low of $81.24 and a one year high of $211.48. The firm has a fifty day moving average of $105.18 and a two-hundred day moving average of $138.45.

ServiceNow (NYSE:NOW) last announced its quarterly earnings data on Wednesday, April 22nd. The information technology services provider reported $0.97 EPS for the quarter, hitting analysts’ consensus estimates of $0.97. The company had revenue of $3.77 billion during the quarter, compared to the consensus estimate of $3.75 billion. ServiceNow had a net margin of 12.59% and a return on equity of 18.16%. ServiceNow’s quarterly revenue was up 22.1% on a year-over-year basis. During the same quarter in the prior year, the firm earned $0.81 EPS. On average, analysts forecast that ServiceNow will post 2.49 earnings per share for the current year.

Insider Activity

In related news, Director Paul Edward Chamberlain sold 1,500 shares of the stock in a transaction dated Thursday, February 12th. The shares were sold at an average price of $101.17, for a total value of $151,755.00. Following the sale, the director directly owned 46,430 shares of the company’s stock, valued at approximately $4,697,323.10. This represents a 3.13% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider Kevin Thomas Mcbride sold 1,400 shares of the stock in a transaction dated Friday, February 13th. The shares were sold at an average price of $105.71, for a total transaction of $147,994.00. Following the completion of the sale, the insider directly owned 26,314 shares in the company, valued at approximately $2,781,652.94. The trade was a 5.05% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 16,237 shares of company stock worth $1,697,162 in the last 90 days. 0.34% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On ServiceNow

A number of large investors have recently added to or reduced their stakes in the business. iA Global Asset Management Inc. grew its stake in ServiceNow by 31.3% in the 1st quarter. iA Global Asset Management Inc. now owns 100,594 shares of the information technology services provider’s stock valued at $10,517,000 after acquiring an additional 23,989 shares during the last quarter. Peregrine Capital Management LLC grew its stake in ServiceNow by 18.0% in the 1st quarter. Peregrine Capital Management LLC now owns 530,306 shares of the information technology services provider’s stock valued at $55,443,000 after acquiring an additional 80,768 shares during the last quarter. Impact Partnership Wealth LLC acquired a new stake in ServiceNow in the 1st quarter valued at about $355,000. Premier Path Wealth Partners LLC grew its stake in ServiceNow by 48.6% in the 1st quarter. Premier Path Wealth Partners LLC now owns 13,501 shares of the information technology services provider’s stock valued at $1,412,000 after acquiring an additional 4,416 shares during the last quarter. Finally, Cross Staff Investments Inc grew its stake in ServiceNow by 8.0% in the 1st quarter. Cross Staff Investments Inc now owns 4,050 shares of the information technology services provider’s stock valued at $423,000 after acquiring an additional 300 shares during the last quarter. 87.18% of the stock is owned by institutional investors and hedge funds.

ServiceNow News Roundup

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: Q1 revenue beat and company raised its annual subscription-revenue outlook, with management citing strong adoption of ServiceNow’s AI products as a growth driver. Earnings Beat & Raise
• Positive Sentiment: Strategic momentum: deeper Google Cloud partnership and CEO comments emphasize AI-led product traction that could drive recurring revenue and long-term monetization. Google Cloud Partnership
• Neutral Sentiment: Armis acquisition completed (adds cyber?exposure capability), a strategic tuck?in that expands the product set but increases near?term integration/expense complexity. Armis Acquisition
• Negative Sentiment: Management warned the Armis deal and acquisition-related costs will weigh on margins (roughly +75 bps FY headwind; ~125 bps in Q2), spooking investors focused on near?term profitability. Margin Headwind
• Negative Sentiment: Geopolitical impact: ServiceNow cited delayed large deals in the Middle East (Iran conflict) that trimmed subscription growth this quarter — investors treated the disruption as a material near?term revenue risk. Deal Delays from Iran War
• Negative Sentiment: Wall Street reaction: multiple firms cut price targets and some trimmed forecasts after the call; that wave of downgrades magnified selling pressure. Analyst Price?Target Cuts
• Negative Sentiment: Sector contagion and positioning: ServiceNow’s miss?/guidance mix reignited AI-disruption fears across software names, triggering a broad selloff and higher short interest that increased volatility. Sector Selloff

ServiceNow Company Profile

ServiceNow (NYSE: NOW) is a cloud computing company that builds enterprise software to manage digital workflows and automate business processes. Its offerings are designed to replace manual work and legacy systems with cloud-based, service-oriented applications that support IT operations, customer service, human resources, security response and other enterprise functions.

The company’s flagship product family is the Now Platform, a suite of subscription software and platform services that includes IT Service Management (ITSM), IT Operations Management (ITOM), IT Business Management (ITBM), Customer Service Management (CSM), HR Service Delivery, Security Operations and Asset Management.