ServiceNow (NYSE:NOW) Trading Down 1.4% – Should You Sell?

ServiceNow, Inc. (NYSE:NOW)’s stock price fell 1.4% during trading on Wednesday . The stock traded as low as $138.33 and last traded at $139.8970. Approximately 9,806,187 shares were traded during mid-day trading, a decline of 57% from the average daily volume of 22,896,064 shares. The stock had previously closed at $141.90.

Wall Street Analysts Forecast Growth

A number of equities research analysts recently issued reports on NOW shares. BTIG Research increased their target price on shares of ServiceNow from $150.00 to $170.00 and gave the stock a “buy” rating in a research report on Tuesday, September 8th. Piper Sandler restated an “overweight” rating and issued a $140.00 price target on shares of ServiceNow in a research report on Thursday, July 23rd. Evercore reaffirmed an “outperform” rating and set a $160.00 price objective on shares of ServiceNow in a research note on Thursday, July 23rd. Bank of America raised their price objective on shares of ServiceNow from $130.00 to $150.00 and gave the stock a “buy” rating in a report on Wednesday, August 19th. Finally, TD Cowen reiterated a “buy” rating and issued a $140.00 target price on shares of ServiceNow in a research note on Monday, August 17th. One research analyst has rated the stock with a Strong Buy rating, thirty-six have given a Buy rating, three have given a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average price target of $145.71.

ServiceNow Stock Performance

The firm has a fifty day moving average of $122.82 and a 200-day moving average of $109.95. The company has a quick ratio of 0.70, a current ratio of 0.70 and a debt-to-equity ratio of 0.43. The firm has a market cap of $143.23 billion, a P/E ratio of 86.57, a PEG ratio of 2.57 and a beta of 0.97.

ServiceNow (NYSE:NOW) last issued its quarterly earnings results on Wednesday, July 22nd. The information technology services provider reported $0.90 EPS for the quarter, topping the consensus estimate of $0.86 by $0.04. ServiceNow had a net margin of 11.34% and a return on equity of 16.45%. The company had revenue of $3.99 billion during the quarter, compared to analysts’ expectations of $3.93 billion. During the same quarter in the previous year, the company earned $0.81 EPS. ServiceNow’s revenue was up 24.0% on a year-over-year basis. Research analysts predict that ServiceNow, Inc. will post 2.22 earnings per share for the current fiscal year.

Insider Activity at ServiceNow

In related news, Director Paul Chamberlain sold 2,700 shares of the business’s stock in a transaction that occurred on Thursday, August 27th. The shares were sold at an average price of $135.50, for a total transaction of $365,850.00. Following the completion of the transaction, the director owned 43,990 shares in the company, valued at approximately $5,960,645. The trade was a 5.78% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, insider Jacqueline Canney sold 7,847 shares of the business’s stock in a transaction on Friday, August 28th. The shares were sold at an average price of $138.00, for a total transaction of $1,082,886.00. Following the completion of the transaction, the insider directly owned 30,042 shares of the company’s stock, valued at $4,145,796. This trade represents a 20.71% 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. Insiders have sold 14,081 shares of company stock worth $1,937,904 in the last ninety days. Company insiders own 0.34% of the company’s stock.

Hedge Funds Weigh In On ServiceNow

Large investors have recently bought and sold shares of the company. CBIZ Investment Advisory Services LLC grew its holdings in shares of ServiceNow by 540.0% in the 4th quarter. CBIZ Investment Advisory Services LLC now owns 160 shares of the information technology services provider’s stock valued at $25,000 after acquiring an additional 135 shares in the last quarter. Blueline Advisors LLC bought a new stake in shares of ServiceNow in the 4th quarter valued at about $25,000. Measured Wealth Private Client Group LLC increased its position in ServiceNow by 560.0% during the fourth quarter. Measured Wealth Private Client Group LLC now owns 165 shares of the information technology services provider’s stock worth $25,000 after buying an additional 140 shares during the last quarter. Evolution Wealth Management Inc. increased its holdings in shares of ServiceNow by 414.3% during the 4th quarter. Evolution Wealth Management Inc. now owns 180 shares of the information technology services provider’s stock worth $28,000 after acquiring an additional 145 shares during the last quarter. Finally, DT Investment Partners LLC boosted its position in ServiceNow by 400.0% during the fourth quarter. DT Investment Partners LLC now owns 195 shares of the information technology services provider’s stock worth $30,000 after purchasing an additional 156 shares during the period. Institutional investors and hedge funds own 87.18% of the company’s stock.

About ServiceNow

ServiceNow, Inc is a cloud-based enterprise software company that provides digital workflow and automation solutions. Its Now Platform enables organizations to manage and connect business processes across information technology, customer service, human resources, finance, legal operations and other departments.

The company’s products and services include IT service management, IT operations management, customer service management, human resources service delivery, security operations, risk and compliance management, strategic portfolio management and application development tools.