ServiceNow (NYSE:NOW) Given “Buy” Rating at Needham & Company LLC

ServiceNow (NYSE:NOW)‘s stock had its “buy” rating reaffirmed by investment analysts at Needham & Company LLC in a research report issued on Tuesday,Benzinga reports. They currently have a $115.00 price target on the information technology services provider’s stock. Needham & Company LLC’s price objective would indicate a potential upside of 25.11% from the stock’s current price.

Several other research firms have also issued reports on NOW. Truist Financial reduced their price target on ServiceNow from $125.00 to $120.00 and set a “buy” rating on the stock in a research report on Thursday, April 23rd. Citigroup raised their price target on ServiceNow from $154.00 to $158.00 and gave the stock a “buy” rating in a research report on Thursday, April 30th. HSBC reduced their price target on ServiceNow from $226.00 to $171.00 and set a “buy” rating on the stock in a research report on Thursday, April 16th. JPMorgan Chase & Co. reduced their price target on ServiceNow from $195.00 to $145.00 and set an “overweight” rating on the stock in a research report on Thursday, April 23rd. Finally, Wells Fargo & Company reduced their price target on ServiceNow from $185.00 to $160.00 and set an “overweight” rating on the stock in a research report on Thursday, April 23rd. Two analysts have rated the stock with a Strong Buy rating, thirty-four have given a Buy rating, six have issued a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average price target of $145.92.

ServiceNow Price Performance

Shares of ServiceNow stock opened at $91.92 on Tuesday. The company has a current ratio of 0.84, a quick ratio of 0.84 and a debt-to-equity ratio of 0.13. The firm has a market capitalization of $94.77 billion, a PE ratio of 54.78, a price-to-earnings-growth ratio of 1.61 and a beta of 0.82. The business’s 50-day moving average price is $103.45 and its 200-day moving average price is $134.58. ServiceNow has a 12 month low of $81.24 and a 12 month high of $211.48.

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, meeting the consensus estimate of $0.97. The firm had revenue of $3.77 billion for the quarter, compared to analyst estimates of $3.75 billion. ServiceNow had a return on equity of 18.16% and a net margin of 12.59%.The company’s revenue was up 22.1% on a year-over-year basis. During the same period in the prior year, the company earned $0.81 EPS. Sell-side analysts forecast that ServiceNow will post 2.35 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, insider Jacqueline P. Canney sold 8,927 shares of ServiceNow stock in a transaction that occurred on Friday, April 24th. The stock was sold at an average price of $89.60, for a total value of $799,859.20. Following the sale, the insider directly owned 29,531 shares in the company, valued at approximately $2,645,977.60. This trade represents a 23.21% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Paul Edward Chamberlain sold 1,500 shares of ServiceNow stock in a transaction that occurred on Thursday, February 12th. The stock was sold at an average price of $101.17, for a total value of $151,755.00. Following the completion of the sale, the director owned 46,430 shares in the company, valued at approximately $4,697,323.10. This represents a 3.13% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 25,164 shares of company stock valued at $2,497,021 in the last 90 days. 0.34% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On ServiceNow

A number of large investors have recently made changes to their positions in NOW. Cohen Klingenstein LLC raised its stake in ServiceNow by 400.0% during the fourth quarter. Cohen Klingenstein LLC now owns 10,000 shares of the information technology services provider’s stock valued at $1,532,000 after buying an additional 8,000 shares during the last quarter. Sumitomo Mitsui Trust Group Inc. raised its stake in ServiceNow by 385.9% during the fourth quarter. Sumitomo Mitsui Trust Group Inc. now owns 2,599,397 shares of the information technology services provider’s stock valued at $398,202,000 after buying an additional 2,064,440 shares during the last quarter. Torray Investment Partners LLC raised its stake in ServiceNow by 390.5% during the fourth quarter. Torray Investment Partners LLC now owns 40,629 shares of the information technology services provider’s stock valued at $6,224,000 after buying an additional 32,345 shares during the last quarter. Jennison Associates LLC raised its stake in ServiceNow by 280.1% during the fourth quarter. Jennison Associates LLC now owns 8,432,389 shares of the information technology services provider’s stock valued at $1,291,758,000 after buying an additional 6,213,762 shares during the last quarter. Finally, Narwhal Capital Management raised its stake in ServiceNow by 763.5% during the fourth quarter. Narwhal Capital Management now owns 16,977 shares of the information technology services provider’s stock valued at $2,601,000 after buying an additional 15,011 shares during the last quarter. 87.18% of the stock is currently owned by institutional investors.

ServiceNow News Summary

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: Management unveiled long?term growth targets and product traction: ServiceNow laid out a plan to roughly double subscription revenue to about $30B by 2030 and said its Now Assist product surpassed $750M in annual contract value — a concrete sign AI-driven offerings are already monetizing. ServiceNow lays out path to $30 billion
• Positive Sentiment: Company projects very large TAM expansion: ServiceNow told investors it expects revenue could roughly double to ~$32B by 2030, reinforcing the long?range growth story and investor thesis for durable SaaS revenue expansion. ServiceNow Expects Revenue Will Double
• Positive Sentiment: Enterprise AI partnerships and customer wins highlighted: A new multi?year DXC agreement (DXC as an early adopter) and other partnership momentum were cited ahead of Analyst Day, supporting expectations for scaled AI deployments in core workflows. QuiverQuant coverage of DXC deal
• Positive Sentiment: Analyst support: BTIG reiterated a Buy rating with a $150 price target, signaling confidence from at least some sell?side analysts and offering potential upside to consensus targets. BTIG Buy rating
• Neutral Sentiment: Investor day themes expected: BNP and other outlets expect the company to emphasize AI product innovation and pricing/monetization at Analyst Day — these are informational catalysts that could be market?moving depending on specifics. BNP preview of Investor Day
• Negative Sentiment: Some analysts trimmed targets amid mixed near?term dynamics: Wolfe Research cut its price target to $125 (from $175) while keeping an Outperform rating, citing conservatism after delayed on?prem deals in the Middle East — a reminder of near?term execution and regional timing risks. Wolfe Research lowers PT
• Negative Sentiment: Investor worry about AI “displacement” and acquisition strategy: Media and some investors remain concerned that AI could compress SaaS pricing or that recent acquisitive moves are masking organic growth issues — these narratives have pressured the stock recently. CEO message on acquisitions

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.