ServiceNow (NYSE:NOW) Shares Up 1.4% – Here’s What Happened

ServiceNow, Inc. (NYSE:NOW) traded up 1.4% during mid-day trading on Thursday . The company traded as high as $124.80 and last traded at $119.5330. 27,948,611 shares were traded during mid-day trading, an increase of 17% from the average session volume of 23,880,525 shares. The stock had previously closed at $117.90.

Trending Headlines about ServiceNow

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: William Blair reiterated a Buy rating, citing accelerating AI adoption, ServiceNow’s model-agnostic platform, and a potential path to $30 billion in revenue by 2030. Article: ServiceNow Earns Buy Rating on Accelerating AI Adoption, Model-Agnostic Architecture, and Path to $30B Revenue by 2030
• Positive Sentiment: Coverage around EmployeeWorks says the product is gaining traction quickly, with large deals and broader enterprise AI adoption potentially making it a meaningful growth driver for NOW. Article: Can EmployeeWorks Become a Major Growth Driver for ServiceNow?
• Positive Sentiment: ServiceNow’s recent conference appearances and investor commentary have kept the company in focus as a key enterprise AI name, while several pieces argue the stock has lagged fundamentals and may still have room to rerate higher. Article: Why ServiceNow Stock Skyrocketed 41% in May
• Neutral Sentiment: ServiceNow announced a $2.5 million grant to City Year, supporting student success and talent pipelines; this is positive for corporate reputation, but likely not a major near-term stock catalyst. Article: City Year Receives $2.5M Grant from ServiceNow to Power Student Success and Build Future-Ready Talent Pipelines

Wall Street Analysts Forecast Growth

Several research analysts have issued reports on the stock. Needham & Company LLC restated a “buy” rating and set a $115.00 price target on shares of ServiceNow in a report on Tuesday, May 5th. Wells Fargo & Company decreased their price objective on shares of ServiceNow from $185.00 to $160.00 and set an “overweight” rating for the company in a research report on Thursday, April 23rd. Citizens Jmp reiterated a “market outperform” rating and set a $157.00 price objective on shares of ServiceNow in a research report on Tuesday, May 5th. Citigroup increased their price objective on shares of ServiceNow from $154.00 to $158.00 and gave the stock a “buy” rating in a research report on Thursday, April 30th. Finally, Argus decreased their price target on ServiceNow from $180.00 to $134.00 and set a “buy” rating for the company in a report on Friday, April 24th. Two analysts have rated the stock with a Strong Buy rating, thirty-five have issued a Buy rating, five have given a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus price target of $141.85.

ServiceNow Stock Performance

The company has a debt-to-equity ratio of 0.13, a current ratio of 0.84 and a quick ratio of 0.84. The company has a fifty day moving average price of $98.99 and a 200 day moving average price of $122.45. The stock has a market cap of $123.24 billion, a P/E ratio of 71.24, a P/E/G ratio of 2.11 and a beta of 0.94.

ServiceNow (NYSE:NOW) last issued its earnings results on Wednesday, April 22nd. The information technology services provider reported $0.97 earnings per share (EPS) for the quarter, hitting analysts’ consensus estimates of $0.97. The company had revenue of $3.77 billion for the quarter, compared to analysts’ expectations of $3.75 billion. ServiceNow had a return on equity of 18.16% and a net margin of 12.59%.ServiceNow’s quarterly revenue was up 22.1% compared to the same quarter last year. During the same period last year, the business earned $0.81 EPS. On average, equities analysts expect that ServiceNow, Inc. will post 2.35 EPS for the current year.

Insider Buying and Selling at ServiceNow

In related news, insider Paul Fipps sold 1,048 shares of the firm’s stock in a transaction dated Monday, May 18th. The shares were sold at an average price of $98.51, for a total value of $103,238.48. Following the transaction, the insider owned 12,072 shares of the company’s stock, valued at approximately $1,189,212.72. This trade represents a 7.99% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Paul Edward Chamberlain sold 1,500 shares of ServiceNow stock in a transaction that occurred on Thursday, May 14th. The shares were sold at an average price of $87.23, for a total value of $130,845.00. Following the transaction, the director directly owned 44,930 shares in the company, valued at approximately $3,919,243.90. The trade was a 3.23% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 28,071 shares of company stock valued at $2,529,956 over the last three months. Corporate insiders own 0.34% of the company’s stock.

Hedge Funds Weigh In On ServiceNow

Several institutional investors have recently modified their holdings of NOW. Norges Bank bought a new position in shares of ServiceNow during the fourth quarter valued at approximately $2,020,992,000. World Investment Advisors lifted its stake in ServiceNow by 411.7% in the fourth quarter. World Investment Advisors now owns 47,955 shares of the information technology services provider’s stock worth $7,346,000 after acquiring an additional 38,583 shares during the period. Cohen Klingenstein LLC boosted its holdings in ServiceNow by 400.0% in 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 acquiring an additional 8,000 shares in the last quarter. Moors & Cabot Inc. increased its position in ServiceNow by 387.7% during the 4th quarter. Moors & Cabot Inc. now owns 45,630 shares of the information technology services provider’s stock valued at $6,990,000 after purchasing an additional 36,274 shares during the period. Finally, Sumitomo Mitsui Trust Group Inc. increased its position in ServiceNow by 385.9% during the 4th 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 purchasing an additional 2,064,440 shares during the period. 87.18% of the stock is owned by institutional investors.

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.