Sumitomo Mitsui Trust Group Inc. Reduces Position in ServiceNow, Inc. $NOW

Sumitomo Mitsui Trust Group Inc. decreased its holdings in ServiceNow, Inc. (NYSE:NOW) by 4.7% in the first quarter, Holdings Channel reports. The fund owned 2,478,497 shares of the information technology services provider’s stock after selling 120,900 shares during the period. Sumitomo Mitsui Trust Group Inc.’s holdings in ServiceNow were worth $259,127,000 at the end of the most recent reporting period.

Other institutional investors have also bought and sold shares of the company. Vanguard Group Inc. increased its holdings in shares of ServiceNow by 404.5% in the fourth quarter. Vanguard Group Inc. now owns 101,963,384 shares of the information technology services provider’s stock valued at $15,619,771,000 after purchasing an additional 81,752,460 shares during the last quarter. State Street Corp boosted its stake in ServiceNow by 406.6% during the fourth quarter. State Street Corp now owns 47,896,597 shares of the information technology services provider’s stock worth $7,337,280,000 after buying an additional 38,441,898 shares during the last quarter. Price T Rowe Associates Inc. MD boosted its stake in ServiceNow by 371.0% during the fourth quarter. Price T Rowe Associates Inc. MD now owns 32,395,663 shares of the information technology services provider’s stock worth $4,962,692,000 after buying an additional 25,517,218 shares during the last quarter. Geode Capital Management LLC grew its holdings in ServiceNow by 404.8% in the 4th quarter. Geode Capital Management LLC now owns 23,512,428 shares of the information technology services provider’s stock valued at $3,591,425,000 after buying an additional 18,854,775 shares in the last quarter. Finally, Morgan Stanley grew its holdings in ServiceNow by 335.6% in the 4th quarter. Morgan Stanley now owns 22,733,483 shares of the information technology services provider’s stock valued at $3,482,543,000 after buying an additional 17,514,679 shares in the last quarter. 87.18% of the stock is owned by hedge funds and other institutional investors.

ServiceNow Stock Performance

NYSE NOW opened at $107.87 on Thursday. The stock has a fifty day simple moving average of $101.74 and a 200-day simple moving average of $111.62. 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 stock has a market cap of $111.22 billion, a PE ratio of 64.29, a P/E/G ratio of 1.84 and a beta of 0.96. ServiceNow, Inc. has a twelve month low of $81.24 and a twelve month high of $210.20.

ServiceNow (NYSE:NOW) last issued its quarterly earnings data on Wednesday, April 22nd. The information technology services provider reported $0.97 earnings per share (EPS) for the quarter, meeting the consensus estimate of $0.97. ServiceNow had a net margin of 12.59% and a return on equity of 18.16%. The firm had revenue of $3.77 billion for the quarter, compared to analyst estimates of $3.75 billion. During the same period in the previous year, the firm earned $0.81 EPS. ServiceNow’s revenue was up 22.1% on a year-over-year basis. Equities analysts anticipate that ServiceNow, Inc. will post 2.34 earnings per share for the current year.

More ServiceNow News

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: ServiceNow shares have been lifted by a broader rotation into beaten-down software stocks, with investors moving away from high-flying semiconductors and into enterprise software names. ServiceNow (NOW) Stock Is Up, What You Need To Know
• Positive Sentiment: Traders are also reacting to a more constructive analyst tone and fresh AI product momentum, with Guggenheim reportedly dismissing the “software extinction” thesis and upgrading ServiceNow. Why ServiceNow Stock Is Climbing After Guggenheim Dismisses Software ‘Extinction’ Valuation
• Positive Sentiment: ServiceNow is gaining attention for new AI and government/defense partnerships, including work tied to mission-critical biosurveillance and state health systems, which could expand its addressable market beyond workflow automation. ServiceNow (NOW) Lands Defense And State AI Partnerships That Reach Beyond Workflows
• Positive Sentiment: Another bullish angle is that outside coverage is arguing the “AI bear case” against ServiceNow is weakening, reinforcing the idea that the stock may still have upside despite valuation concerns. ServiceNow: The AI Bear Case Is Falling Apart
• Neutral Sentiment: Several recent pieces, including comparisons with Salesforce and EPAM, are largely valuation and strategy debates rather than immediate catalysts, so they are more likely to shape longer-term sentiment than today’s trading. EPAM or NOW: Which Is the Better Value Stock Right Now?
• Neutral Sentiment: ServiceNow’s appearance in “most watched” and “final trades” media coverage is adding visibility, but these mentions do not appear to be tied to a fundamental business update. ServiceNow, Inc. (NOW) is Attracting Investor Attention: Here is What You Should Know
• Negative Sentiment: Macro risk is still present for software stocks, as Middle East tensions pressured peers like Palantir and Salesforce; that kind of market weakness could spill over into ServiceNow if risk appetite fades. Palantir Leads Software Stocks Lower

Insider Activity at ServiceNow

In other news, Director Anita M. Sands sold 16,445 shares of the company’s stock in a transaction that occurred on Thursday, May 14th. The shares were sold at an average price of $90.14, for a total value of $1,482,352.30. Following the transaction, the director directly owned 30,090 shares in the company, valued at approximately $2,712,312.60. This represents a 35.34% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, insider Paul Fipps sold 1,048 shares of the stock in a transaction that occurred on Monday, May 18th. The stock was sold at an average price of $98.51, for a total transaction of $103,238.48. Following the transaction, the insider directly owned 12,072 shares of the company’s stock, valued at $1,189,212.72. The trade was a 7.99% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 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. Insiders have sold 28,071 shares of company stock valued at $2,529,956 in the last ninety days. Insiders own 0.34% of the company’s stock.

Wall Street Analyst Weigh In

A number of analysts have issued reports on NOW shares. Deutsche Bank Aktiengesellschaft cut their target price on ServiceNow from $180.00 to $135.00 and set a “buy” rating for the company in a research note on Thursday, April 16th. BMO Capital Markets dropped their price objective on shares of ServiceNow from $120.00 to $115.00 and set an “outperform” rating for the company in a report on Thursday, April 23rd. FBN Securities dropped their price objective on shares of ServiceNow from $160.00 to $120.00 in a report on Thursday, April 23rd. Benchmark raised their price objective on shares of ServiceNow from $125.00 to $130.00 and gave the stock a “buy” rating in a research report on Monday, June 15th. Finally, Royal Bank Of Canada reaffirmed an “outperform” rating and set a $121.00 target price on shares of ServiceNow in a research note on Tuesday, May 5th. One research analyst has rated the stock with a Strong Buy rating, thirty-six have issued a Buy rating, four have assigned a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average price target of $141.22.

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.